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631:: "The cause of so many people annually emigrating from this country". His essay included attacks on, among other matters, the staple towns policy, rural trade prohibitions, manufacturing subsidies, and government export policies. This work was considered so radical and controversial that the Academy refused to publish it. In heated debates at Riksdag assemblies
345:
470:, a sign of industrialization, did not occur in Sweden during this time. A major indicator of specialization is rural populations moving closer to urban centres. While Swedish population grew by over 50% between 1738 and 1805, the ratio of urban population to overall population remained roughly the same.
175:
consisted of minting copper tokens which could be used to cheaply buy supplies and arms. The thought was that once the war was over, these tokens could be redeemed in silver, however, Charles went too far and flushed the economy with tokens to the point there was no chance they would be redeemable in
336:
system where, in tiny villages, each farmer would have his own narrow strip to cultivate with his neighbour's strips beside him. This was inefficient as farmers would have to travel long distances from one strip to another to collect their crops. This also meant they had less time to attend to their
149:
would be remembered as a tactician with a strong aptitude for warfare. It could be argued, however, that this trait is what brought the eventual downfall of the
Swedish Empire. From an early age, he was taught to be wary of an aggressive war, but to never back down if Sweden were attacked. The young
162:
attacked Sweden in 1700, Charles refused any and all peace offers after his initial string of victories in the first half of the war. Even after the failure at
Poltava and consequent defeats, he refused peace deals that could have yet saved his empire. Between 1709 and 1716, Sweden's population had
368:
During this age, the consolidation was rarely more than 43 strips to 6 or 30 strips to 6, but efficiency did increase. Faggot also advocated for abolition of domestic harvesting restrictions, better field maintenance, and establishment of state warehouses for stockpiling grain during good harvest
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factory. They also encouraged home production, as merchants co-ordinated with peddlers to organize merchandise of homemade products. This push for manufacturing came at a cost, however, mostly to the consumers who were paying higher taxes to receive goods that were of lower quality than imported
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established a
Manufacturing Office in 1739. They also legislated free land for factories, tariff exemptions of specific imported raw materials and machines, and tax exemptions for factory owners and employees. For instance, in 1741 they wrote off a loan worth 413000 myntsedlar (equivalent to
682:
since the only nations that could export these goods as domestic produce were farther away, increasing freight costs which in turn increased prices for Swedes. On the other side of the trade balance, the value of bar iron, Sweden's most valuable export, fell as its main customers, the
99:
policy errors by the various
Riksdag parties in power, as well as to technological and economic shifts which allowed Sweden's rivals and neighbours get ahead on the global stage. It was, however, the agricultural reforms, the early industrial developments, and the gradual change from
555:. Besides the obvious aim of creating a trade surplus, the Commodity Act had another protective measure specifically to reduce exports of timber so they could be secured for iron production, which was Sweden's main export and where they had historically held a strong monopoly.
942:. It is a matter of debate whether or not the Caps' economic policy was warranted. The immediate economic effects were severely negative, but the industries swept away were mainly ones propped up by government subsidies. Older and larger factories made it through the crisis.
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silver once the time came. Merchants began demanding more for goods if they were paid in copper than in silver. This led to the king banning silver outright, demanding that all of it be handed into the government in exchange for copper.
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for the state the country had fallen to. In their view, the ideology had allowed the young king to enact supreme rule and drive a nation to war with no regard for its people. Once the king died, shot by an unknown soldier during the
695:
which diverted farmers from fields to factories. In a nation that was yet to experience a true agricultural revolution, this meant a shortage of food in towns exacerbated by the aforementioned rise in grain prices.
990:
in its place. Gustav's other financial reform was continuing the progress made during the Age of
Liberty in regards to trade freedoms. He further removed restrictions to trade and reduced the influence of
503:, foreign trade was prohibited in all inland towns. Goods had to be first sold to "staple towns" before they could be traded internationally. In Sweden there were over 20 such towns, the most active being
167:
for
Charles' unyielding war effort, combined with bad harvests, meant a population that was perishing from hunger. To add to these issues, Charles' methods of paying for the war caused further strife.
379:. These pioneering efforts, along with the liberalization and commercialization of land plots, laid the groundwork for the nationwide agricultural reform that would follow in the 19th century.
360:
he advocated for redivision of crop fields so each worker would have his own fields consolidated in one space. The reformation came slowly, and for the most part, it occurred only in the province of
163:
fallen from around 1,550,000 to under 1,400,000. Most of these losses were able bodied young men, leaving the population back home mostly women, children, and elderly. The constant levying of
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over the bar iron trade meant they could sell their exports at high markup; this, however, drove competition as other nations were able to undersell Sweden. The main purchaser of Sweden's iron was
699:
Chydenius' assertions line up with statistics on foreign trade from the period. Between 1738 and 1809, Sweden's total trade doubled, but exports slightly decreased due to a decrease in price of
438:
only to import back the produced goods at a markup. Alströmer wanted to bring these industries to Sweden so they could produce their own finished goods. His first goal was establishing a
390:
was responsible for popularizing the potato in Sweden. While farmers were initially unconvinced of the new crop's value, failure of other crops in 1771-1773 eventually persuaded them.
454:. The factory failed to turn a profit, but it paved the paths for others to innovate and also introduced new techniques. Alströmer's industrial endeavours were also encouraged by the
63:, which reduced their power, that had brought the downfall of the country. Thus, after Charles' death, they established a system of quasi-democratic rule that ushered in the "
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were forced to sell off their machinery to pay off debts, and workers suddenly lost their jobs. Many of them had no choice but to leave the country, resulting in a small scale
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was written that effectively began a second age of absolutism in Sweden. Under the laws of 1772, the king held the majority of the power and only had to consult with the
67:". This period would bring economic and social upheaval as well as industrial development; however, by the time the Age of Liberty had ended (as a result of a
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who preceded him. Chydenius made his first formal critique of the old mercantilist system as a written response to a prize question put forth in 1763 by the
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power. The RIksdag elected council members and these members answered to the
Riksdag. In this new system, all matters of importance were handled by a
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which concentrated wealth into the hands of rich merchants based in the largest staple towns at the expense of the rest of the country. In his view,
902:' grandiose financing of industry and their constant involvement in wars forced them to take several loans, amounting to a total debt of 60,000,000
966:. During his reign he abolished torture and granted religious freedoms. The first of his financial reforms was fixing an error left over by the
16:
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to deal with the uncertainty. This financial mismanagement meant the end of the Hats, as they were ousted from government in 1765 and the
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and grants to continue the expansions of his industrial works. The industrial developments of this time cannot be compared to large scale
204:
for his alleged betrayal of the country by his financial policy and his close association with the late king
Charles. In 1721, individual
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that occurred in the later part of his tenure, for he feared these policies would upset the foreign relations he wished to maintain. The
292:, a role akin to a prime-minister, and served from 1710 to 1719 and then again from 1720 to 1738. Horn's economic policy sought moderate
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1184:
906:. Once they could no longer take loans, they flushed the economy with paper money in the hopes of redeeming it later. As it was with
711:. The English, no longer wanting to be dependent on Sweden's iron, sought other markets. After 1765, England imported more iron from
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trade policy. This dictated that economic success of a nation was derived from strong state control over the economy, having more
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Sweden's warrior-king was shot dead. Its empire waned as its many enemies pounced on the opportunity to attack it after
Charles'
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930:, however, they went swiftly to the other economic extreme. They immediately cut off state loans to industries and forced the
547:. It decreed that a foreign nation could export to Sweden only those products that were produced domestically by said nation.
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on the most pressing of matters. In the early parts of his reign. Gustav could be considered a king of his time, a so-called
196:, would be allowed the throne only if she abolished the absolute monarchy and restored power to the Riksdag. In 1719 a new
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of later eras. Even in 1759 industries employed only 18,000 workers, fewer than a percent of the population. Furthermore,
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was written. In the same year, the
Riksdag enacted their first act of justice: the imprisonment and execution of
75:) and the 19th century was at the doorstep, Sweden was by all objective measures a weaker nation than it was during its
1124:"Assessing trade in the mercantilist era: evidence from a new database on foreign trade of Sweden – Finland, 1738–1805"
316:, who held power briefly between 1765 and 1769, represented the interests of smaller businesses who were in favour of
986:. To correct this, Gustav's government bought all the old currency in its devalued state and injected the new silver
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201:
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143:. Its once strong military was weakened. The humbled nation stepped into the 18th century firmly on the back foot.
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995:. Agricultural reform would follow from the early inroads made during the Age of Liberty, led this time by
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in 1718, The Riksdag were quick to ensure that absolutism fell alongside its master. The new Queen,
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should also be credited for the rise of the new crop. In 1748 she discovered a method of creating
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1174:"New Swedish Historical National Accounts since the 16th Century in Constant and Current Prices"
662:), a scorching critique of mercantilism. The main subject of his criticism was the Commodity act
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was not involved in drafting this law, as his party was against trade policy that would upset
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wanted to expand Sweden's merchant marine, and they sought this through the Commodity Act (
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172:
171:, a Holstein statesman, was the minister of Sweden and a trusted advisor to the king. His
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1303:. American-Scandinavian Foundation. Minneapolis: University of Minnesota Press. pp.
358:"Swedish Agriculture's Obstacles and Assistance" (Svenska landtbrukets hinder ock hjälp),
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Hildebrand, K.-G. (1958-01-01). "Foreign markets for Swedish iron in the 18th century".
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over the bar iron trade was gone, and it was lagging behind in the race towards early
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worked, the different political parties that held power during the age, and their
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than they did from Sweden, spelling the end for Sweden's monopoly over bar iron.
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wanted peace and neutrality to help rebuild the nation. Horn was a statesman and
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1100:. Augustana Book Concern. pp. 237–246, 249–250, 260–261, 278, 282, 284–285.
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Like other European states the during the early 18th century, Sweden followed a
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between 1718 and 1772. The economic factors that contributed to the fall of the
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Anders Chydenius was a pioneer of trade policy reform during the Age of Liberty
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assembly of 1765-1769 Chydenius published "The Source of the Nation's Weakness
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insofar as to secure Sweden's Baltic trade. He was opposed to the more robust
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who had previously served as a confidant and trusted general of the late king
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ideas he promoted in this book preceded future free-trade advocates, such as
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Caps in power - Cancellation and collection of all state loans to industries
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animals. The demands of a rising population and the political push towards
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1352:. Vol. 12 (11th ed.). Cambridge University Press. p. 262.
543:) which was signed in 1724. This set of laws was similar to the English
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that occurred during this period which pioneered the path for Sweden's
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had two. This mean the monarch had little in the way of real power.
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Sources of British bar iron in percentage of total bar iron import
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Peace and war: armed conflicts and international order, 1648-1989
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Hats in power - Government subsidized manufacturing industries
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collect all their credits. This led to economic downturn as
571:. Prime among their goals was establishing a strong Swedish
1208:
A History of Sweden from the Earliest Times to Present Day
1444:"The Swedish realm in the eighteenth century / Chydenius"
999:, leading to widespread population growth which preceded
623:, considered himself a pupil of Anders Nordencrantz, the
352:
One of the main figures of early agricultural reform was
1122:
Edvinsson, Rodney; Gad, Christoffer Tarek (2018-09-02).
1183:. No. 140. pp. 5, 11, 14, 16. Archived from
527:
had the same rights. Critics of this system called it
422:'s first industries. A leading figure amongst Swedish
386:, which was partly responsible for population growth.
150:
king took this advice to heart. When the coalition of
1249:. Cambridge: Cambridge University Press. p. 69.
434:. During this time, he noted how Swedes would export
910:'s copper tokens, this did not work. It caused wild
442:, which he did by encouraging selective breeding of
1210:. Cornell University Library. pp. 80, 95, 132.
982:' sudden borrowing restrictions had caused extreme
674:was struggling to pay for its necessary imports of
567:came into power, there was a stronger push towards
458:once they came into power. He was provided various
382:Another key innovation was the introduction of the
265:. Each of the 17 councillors had one vote, and the
1508:"The Source of Our Country's Weakness / Chydenius"
1296:
51:in a state of economic and demographic ruin. When
580:approximately 10,000,000 US Dollars in 2015) for
1222:"The Carolean death march - Armfeldts Karoliner"
1420:"Jonas Alströmer - Svenskt Biografiskt Lexikon"
179:These policies were largely unpopular with the
120:Aftermath of the Great Northern War (pre 1718)
241:it first necessary to understand how the new
8:
1393:"Jacob Faggot - Svenskt Biografiskt Lexikon"
1369:"Arvid B Horn - Svenskt Biografiskt Lexikon"
922:then took power. The Caps were in favour of
26:economic history of Sweden's Age of Liberty
20:Stockholm after the end of Riksdag assembly
1577:Popularhistoria.se entry on Age of Liberty
341:meant this inefficiency was not feasible.
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954:reclaimed monarchic power in 1772, a new
208:were signed with the belligerents of the
87:. This decline can be attributed both to
59:were convinced that it was the system of
1488:"Life and career up to 1765 / Chydenius"
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402:from potatoes, reducing the risk of
328:In the early 18th century, Sweden's
1572:Swedish National Biography database
1172:Lennart Schön; Olle Krantz (2015).
666:Chydenius argued the law created a
635:Chydenius advocated free trade and
237:To understand the economics of the
28:examine the changes to the Swedish
1206:Cronholm, Neander Nicolas (1902).
14:
1339:"Görtz, Georg Heinrich von"
1007:in the mid to late 19th century.
629:Royal Swedish Academy of Sciences
116:in the mid to late 19th century.
1602:18th century in economic history
1597:Sweden during the Age of Liberty
1464:"Historical Currency Converter"
1181:Lund Papers in Economic History
446:and by creating Sweden's first
79:. Its land was diminished, its
1542:10.1080/03585522.1958.10416429
290:President of the Privy Council
47:which lasted two decades left
1:
1141:10.1080/03585522.2018.1516234
914:and consumers started buying
619:. Chydenius, a member of the
253:, the RIksdag alone had true
114:large scale industrialization
1468:www.historicalstatistics.org
1336:Bain, Robert Nisbet (1911).
1299:Sweden, the nation's history
529:"Bothnian trade prohibition"
450:in 1721, in his hometown of
220:Age of Liberty (1718 - 1772)
1295:Scott, Franklin D. (1977).
1618:
1592:Economic history of Sweden
1017:Economic History of Sweden
660:Källan till Rikets Vanmakt
639:economics a decade before
141:decisive defeat at Poltava
112:in the 1790s and eventual
1567:Anders Chydenius website
615:most famous of whom was
604:There were opponents to
533:bottniska handelstvĂĄnget
169:Georg Heinrich von Görtz
36:and the shift away from
1349:Encyclopædia Britannica
1096:Grimberg, Carl (1935).
553:international relations
468:economic specialization
418:saw the development of
110:agricultural revolution
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573:manufacturing industry
410:Industrial Development
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212:. Thus began Sweden's
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1052:Industrial Revolution
645:The Wealth of Nations
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369:seasons. Some of the
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232:
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1134:(3): 229, 230, 242.
225:Political Background
190:Siege of Fredriksten
134:"Era of Great Power"
77:"Era of Great Power"
1098:A History of Sweden
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495:, and striving for
324:Agricultural Reform
128:spelled the end of
1424:sok.riksarkivet.se
1397:sok.riksarkivet.se
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474:Economic Policies
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288:. He was elected
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1224:(in Swedish)
1216:
1207:
1185:the original
1180:
1131:
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1001:urbanization
993:mercantilism
956:constitution
949:
924:deregulation
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351:
348:Jacob Faggot
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314:Younger Caps
312:policy. The
310:mercantilist
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198:constitution
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156:Frederick IV
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940:brain drain
908:Baron Gortz
703:. Sweden's
511:, while in
406:in Sweden.
392:Eva Ekeblad
330:agriculture
202:Baron Görtz
160:Augustus II
147:Charles XII
1586:Categories
1514:2019-05-16
1493:2019-05-16
1473:2019-05-16
1449:2019-05-16
1429:2019-05-16
1402:2019-05-16
1378:2019-05-16
1228:2019-05-16
1058:References
952:Gustav III
928:free trade
878:1790-1799
864:1780-1789
850:1770-1779
836:1760-1769
822:1750-1759
808:1740-1749
794:1730-1739
780:1720-1729
766:1710-1719
752:1700-1709
641:Adam Smith
549:Arvid Horn
509:Gothenburg
318:free trade
278:Arvid Horn
185:absolutism
106:free trade
55:died, the
38:absolutism
1550:0358-5522
1536:(1): 10.
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988:riksdaler
693:subsidies
563:Once the
505:Stockholm
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978:and the
932:Riksbank
705:monopoly
701:bar iron
687:and the
668:monopoly
585:AlingsĂĄs
517:Helsinki
452:AlingsĂĄs
282:diplomat
274:Old Caps
259:judicial
93:monetary
81:monopoly
1346:(ed.).
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730:Russia
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608:in the
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537:Riksdag
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489:exports
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384:potato
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689:Dutch
680:grain
521:Turku
515:only
491:than
460:loans
444:sheep
396:flour
362:SkĂĄne
165:taxes
1546:ISSN
1319:OCLC
1309:ISBN
1261:OCLC
1251:ISBN
1146:ISSN
1003:and
980:Caps
972:Hats
920:Caps
900:Hats
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300:and
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