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The High Wage Economy and the Industrial Revolution: A Restatement

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  • Robert C. Allen

    (University of Oxford - Department of Economics)

Abstract

This article responds to Professor Jane Humphries’ critique of my assessment of the high wage economy of eighteenth century British and its importance for explaining the Industrial Revolution. New Evidence is presented to show that women and children participated in the high wage economy. It is also shown that the high wage economy provides a good explanation of why the Industrial Revolution happened in the eighteenth century by showing that increases of women’s wages around 1700 greatly increased the profitability of using spinning machinery. The relationship between the high wage economy of the eighteenth century and the inequality and poverty in Britain in the nineteenth century is explored.

Suggested Citation

  • Robert C. Allen, 2013. "The High Wage Economy and the Industrial Revolution: A Restatement," Published Papers dok24, Russian Presidential Academy of National Economy and Public Administration.
  • Handle: RePEc:rnp:ppaper:dok24
    Note: Language: english
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    More about this item

    Keywords

    high wage economy; industrial revolution;

    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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