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Technology, Transaction Costs, and the Transition to Factory Production in the British Silk Industry, 1700–1870

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  • Jones, S. R. H.

Abstract

Scholars still disagree about why nineteenth-century Britain adopted the factory system. Traditional historians emphasize the scale requirements of new technology; radical economists stress the possibilities that factory production held for worker exploitation; other economists and economic historians argue that the factory system was preferred because of its superior transaction-cost properties. This paper tests these competing hypotheses by examining the technological and organizational developments in the British silk industry. It concludes that in this Industry technological factors were primarily responsible for the adoption of the factory system.

Suggested Citation

  • Jones, S. R. H., 1987. "Technology, Transaction Costs, and the Transition to Factory Production in the British Silk Industry, 1700–1870," The Journal of Economic History, Cambridge University Press, vol. 47(1), pages 71-96, March.
    • Handle: RePEc:cup:jechis:v:47:y:1987:i:01:p:71-96_04
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    Cited by:

    1. Hashino, Tomoko & Otsuka, Keijiro, 2012. "Hand looms, power looms, and changing production organizations: the case of the Kiryu weaving district in the early 20th century Japan," Economic History Working Papers 41659, London School of Economics and Political Science, Department of Economic History.
    2. Mokyr, Joel, 2001. "The rise and fall of the factory system: technology, firms, and households since the industrial revolution," Carnegie-Rochester Conference Series on Public Policy, Elsevier, vol. 55(1), pages 1-45, December.
    3. Tomoko Hashino & Keijiro Otsuka, 2013. "Hand looms, power looms, and changing production organizations: the case of the Kiryū weaving district in early twentieth-century Japan," Economic History Review, Economic History Society, vol. 66(3), pages 785-804, August.
    4. Chandan ROY, 2017. "The artisanal silk industry of West Bengal: A study of its history, performance and current problems," Turkish Economic Review, KSP Journals, vol. 4(4), pages 444-451, December.
    5. Hoogenboom, Marcel & Kissane, Christopher & Prak, Maarten & Wallis, Patrick & Minns, Chris, 2018. "Guilds in the transition to modernity: the cases of Germany, United Kingdom, and the Netherlands," LSE Research Online Documents on Economics 87476, London School of Economics and Political Science, LSE Library.
    6. Tomoko Hashino & Keijiro Otsuka, 2011. "From Smithian Growth to Schumpeterian Development: An Inquiry into the Development of the Kiryu Weaving District in the Early 20th Century Japan," Discussion Papers 1121, Graduate School of Economics, Kobe University.
    7. Chris DOUCOULIAGOS, 1993. "The Economics Of Capital Hiring Labour And Labour Hiring Capital," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 64(2), pages 227-256, April.
    8. Carmen Sarasúa, "undated". "Technical innovations at the service of cheaper labour in pre-industrial Europe. The Enlightened agenda to transform the gender division of labour in silk manufacturing," UHE Working papers 2006_13, Universitat Autònoma de Barcelona, Departament d'Economia i Història Econòmica, Unitat d'Història Econòmica.

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