Funding and product specialisation: The credit market in Malaga at the end of the eighteenth century

Authors

  • José Luis Peña-MIr

DOI:

https://doi.org/10.1016/j.ihe.2016.06.001

Keywords:

Financial markets, Agricultural credit, Social networks, N2

Abstract

The role played by financial services is a key element in favouring the growth potential of an economy, especially for those who move from one subsistence framework to one dominated by market relations, and integration into broader commercial circuits. In this paper, an analysis is made of the functioning of the credit market in Malaga through a type of loan/obligation contract during a period of economic expansion at end of the eighteenth century, linking financial development with the situation of the local economy, dominated by the production and the subsequent export of wine derivatives. The generalisation of certain market practices among multiple lenders seems to respond to the need to mould the lending instruments to local material reality, with the aims of ensuring greater market efficiency, and overcoming the obstacles to an optimal allocation of resources.

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How to Cite

Peña-MIr, J. L. (2019). Funding and product specialisation: The credit market in Malaga at the end of the eighteenth century. Investigaciones De Historia Económica, 12(3), 133–143. https://doi.org/10.1016/j.ihe.2016.06.001

Issue

Section

RAMÓN CARANDE PRIZE