Patterns of Iberian economic growth in the early modern period

In the sixteenth century Spain and Portugal were among the most affluent nations in the world, and had income levels which were similar to those of other Western European countries. Three hundred years later the Iberian economies had lost their economic supremacy and fell behind all the main European powers. When did the first two global empires in history lose their hegemony to become secondary actors? What were the foundations of the collapse that explains the divergence from northwestern Europe? In this chapter we address these issues and describe what we now know about the long-term trends of Iberian economies between 1500 and 1800.