Just Finished Reading: Global Economic History – A Very Short Introduction by Robert C Allen (FP: 2011) [147pp] 

Much like the movement of people, indeed the movement of whole peoples, trade including global trade has a very long history. The Roman Empire traded directly with India and, no doubt, other world empires had similar trading arrangements. But it was only in the 16th century that regular trade in quantity emerged as a factor in global history. With the search for a quicker and more profitable source of spice the Portuguese (to begin with) sought ways to bypass the expensive Spice Road and go directly to the source. Opening up trading posts along the way they began carving out the first global empire. Other European powers were not long behind with Spain, the Dutch, French and finally the British expanding their reach and the reach of global trade itself to every continent on Earth. Empires would rise and fall bolstered or destroyed by changes in global trading patterns. Items, such as pepper and sugar, which had once been affordable only by the rich dropped dramatically in price but still made their traders vast fortunes. Before long everything that could be traded was traded – from cotton to slaves, from tea to opium. A countries economy could be made or broken by the arrival of a fleet of ships off the coast. Some countries became the bread-baskets of faraway empires whilst others, willing and able to practice European style economics, became local powerhouses themselves. Global trade and global history became inseparable. 

As a useful foundation for a knowledge of global economic history this definitely lived up to the reputation of the Very Short Introduction series. Through my other readings I was already familiar with the highlights covered here but was particularly intrigued by the authors analysis of why some countries are rich and why others stay poor. Much of it seems to be timings with Europe getting ‘lucky’ by a combination of readily available resources – especially coal – and a culture that required rapid innovation to maintain profits in a high-wage economy. I think I grasped the basics of this idea but will see if I can follow up with some other readings. From what I understood it certainly made sense but then I do sometimes struggle getting my head around economic theory! 

If you’ve ever wondered about certain aspects of economic history – especially on a global scale – but didn’t know where to start reading about it, this is a pretty good choice to do so. Obviously covering 5-600 years in less that 150 pages means it's all very high level but it does give the flavour of things and points out areas of further study – helped, as always, by a decent bibliography. Recommended and more VSI books to come.