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Colonial Institutions and Cross-Cultural Trade: Repartimiento Credit and Indigenous Production of Cochineal in Eighteenth-Century Oaxaca, Mexico

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  • BASKES, JEREMY
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    Abstract

    Colonial societies exhibit peculiar institutions frequently attributed to the unequal and exploitative nature of the relations between colonizer and colonized. Repartimiento has been depicted as a coercive system of production and consumption designed by Spaniards to draw reluctant Amerindians into the market. An examination of repartimiento through the lens of New Institutional Economics provides an alternative understanding of this credit system. Characteristics of the repartimiento most often identified as exploitative are better explained as institutional adaptations designed to facilitate contract enforcement and economize on transaction costs in this cross-cultural trade. Consequently, this peculiar colonial institution served to expand trade.

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    Bibliographic Info

    Article provided by Cambridge University Press in its journal The Journal of Economic History.

    Volume (Year): 65 (2005)
    Issue (Month): 01 (March)
    Pages: 186-210

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    Handle: RePEc:cup:jechis:v:65:y:2005:i:01:p:186-210_05

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    Cited by:
    1. Dobado González, Rafael / R & García Montero, Héctor / H, 2010. "Colonial Origins of Inequality in Hispanic America? Some reflections based on new empirical evidence," MPRA Paper 28738, University Library of Munich, Germany.
    2. Marc Prat Sabartes, 2008. "Cotton manufacturers as bankers: the textile trade and credit in spain (1840-1913)," Working Papers in Economics 189, Universitat de Barcelona. Espai de Recerca en Economia.

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