praxeologist on Nostr: ... There remains a credible hypothesis that #China's problems were as much financial ...
... There remains a credible hypothesis that #China's problems were as much financial as they were resource-based. For one thing, the unitary structure of the Empire prevented the kind of fiscal #competition that drove financial innovation in #Renaissance #Europe and beyond. Additionally, the ease with which the Empire could finance its deficits by #printing #money discouraged the development of European-style capital markets.
Coinage was also more readily available in China than in Europe, thanks to the trade surplus with the West. In short, the Middle Kingdom had far fewer incentives to develop commercial bills, bonds, and equities. When modern financial institutions eventually arrived in China in the late nineteenth century, they were introduced as part of Western imperialism, and, as we’ll see, were always vulnerable to patriotic backlashes against foreign influence.
#FiatHistory #Bitcoin #NiallFerguson
Coinage was also more readily available in China than in Europe, thanks to the trade surplus with the West. In short, the Middle Kingdom had far fewer incentives to develop commercial bills, bonds, and equities. When modern financial institutions eventually arrived in China in the late nineteenth century, they were introduced as part of Western imperialism, and, as we’ll see, were always vulnerable to patriotic backlashes against foreign influence.
#FiatHistory #Bitcoin #NiallFerguson