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Paying for the liberal state : the rise of public finance in nineteenth century Europe

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  • Cardoso, José Luís
  • Lains, Pedro

Abstract

Public finance is a major feature of the development of modern European societies, and it is at the heart of the definition of the nature of political regimes. Public finance is also a most relevant issue in the understanding of the constraints and possibilities of economic development. This paper is about the rise and development of taxation systems, expenditure programs, and dept regimes in Europe from the early nineteenth century to the beginning of World War I. Its main purpose is to describe and explain the process by which financial resources were raised and managed. We analyse nine countries or empires that are considered highly representative of the widest European experience on the matter and discuss whether there are any common patterns in the way the different European states responded to the need for raising additional resources to pay for the new tasks they were performing

Suggested Citation

  • Cardoso, José Luís & Lains, Pedro, 2009. "Paying for the liberal state : the rise of public finance in nineteenth century Europe," IFCS - Working Papers in Economic History.WH wp09-03, Universidad Carlos III de Madrid. Instituto Figuerola.
    • Handle: RePEc:cte:whrepe:wp09-03
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    Cited by:

    1. Karaman, K. Kıvanç & Pamuk, Şevket & Yıldırım-Karaman, Seçil, 2020. "Money and monetary stability in Europe, 1300–1914," Journal of Monetary Economics, Elsevier, vol. 115(C), pages 279-300.
    2. Jorge Martinez-Vazquez & Richard M. Bird, 2014. "Sustainable development requires a good tax system," Chapters, in: Richard M. Bird & Jorge Martinez-Vazquez (ed.), Taxation and Development: The Weakest Link?, chapter 1, pages 1-24, Edward Elgar Publishing.
    3. Giorgio Brosio, 2018. "Coercion and equity with centralization of government: how the unification of Italy impacted the southern regions," Public Choice, Springer, vol. 177(3), pages 235-264, December.
    4. Cristián Ducoing & José Peres-Cajías & Marc Badia-Miró & Ann-Kristin Bergquist & Carlos Contreras & Kristin Ranestad & Sara Torregrosa, 2018. "Natural Resources Curse in the Long Run? Bolivia, Chile and Peru in the Nordic Countries’ Mirror," Sustainability, MDPI, vol. 10(4), pages 1-25, March.
    5. Patrick K. O'Brien & Nuno Palma, 2023. "Not an ordinary bank but a great engine of state: The Bank of England and the British economy, 1694–1844," Economic History Review, Economic History Society, vol. 76(1), pages 305-329, February.
    6. Ane Karoline Bak & Matilde Jeppesen & Anne Mette Kjær, 2021. "Fiscal states in sub-Saharan Africa: conceptualization and empirical trends," WIDER Working Paper Series wp-2021-182, World Institute for Development Economic Research (UNU-WIDER).
    7. Sara Torregrosa Hetland, 2015. "Did democracy bring redistribution? Insights from the Spanish tax system, 1960–90," European Review of Economic History, European Historical Economics Society, vol. 19(3), pages 294-315.
    8. Mr. Timothy C Irwin, 2013. "Shining a Light on the Mysteries of State: The Origins of Fiscal Transparency in Western Europe," IMF Working Papers 2013/219, International Monetary Fund.
    9. Sergey Zhavoronkov & Konstantin Yanovskiy & Kirill Rodionov, 2015. "Political Factors of the Cuts and Surges in Government Spending: The Effects on Old Market Democracies and Post-Communist Countries," Working Papers 146, Gaidar Institute for Economic Policy, revised 2015.
    10. Richard M. Bird, 2018. "Are global taxes feasible?," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 25(5), pages 1372-1400, October.
    11. Javier San-Julián-Arrupe, 2011. "Economic ideas and redistributive policy in the Spanish parliament: the 1900 debate on fiscal progressivity," Documentos de Trabajo (DT-AEHE) 1102, Asociación Española de Historia Económica.
    12. Comín, Francisco, 2012. "Default, rescheduling and inflation: public debt crises in Spain during the 19th and 20th centuries," Revista de Historia Económica / Journal of Iberian and Latin American Economic History, Cambridge University Press, vol. 30(3), pages 353-390, December.
    13. Hantke, Max & Spoerer, Mark, 2010. "The imposed gift of Versailles: the fiscal effects of restricting the size of Germany’s armed forces, 1924–1929," MPRA Paper 20054, University Library of Munich, Germany.
    14. Patrik Winton, 2016. "The political economy of strategic default: Sweden and the international capital markets, 1810–1830," European Review of Economic History, European Historical Economics Society, vol. 20(4), pages 410-428.
    15. Comín, Francisco, 2012. "Default, rescheduling and inflation : debt crisis in Spain during the 19th and 20th centuries," IFCS - Working Papers in Economic History.WH wp12-06, Universidad Carlos III de Madrid. Instituto Figuerola.

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    More about this item

    Keywords

    Nineteenth Century Europe;

    JEL classification:

    • G20 - Financial Economics - - Financial Institutions and Services - - - General
    • N23 - Economic History - - Financial Markets and Institutions - - - Europe: Pre-1913
    • N43 - Economic History - - Government, War, Law, International Relations, and Regulation - - - Europe: Pre-1913
    • O16 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance
    • O23 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Fiscal and Monetary Policy in Development

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