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Anatomy of a Premodern State

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  • Leonor Freire Costa
  • António Henriques
  • Nuno Palma

Abstract

We provide a blueprint for constructing measures of state capacity in premodern states, offering several advantages over the current state of the art. We argue that assessing changing state capacity requires considering the composition of revenues, expenditure patterns, and local-level budgets. As an application, we examine the case of Portugal (1367–1844). Our findings demonstrate that throughout most of this extended period, Portugal maintained comparatively high fiscal and legal capacities. This challenges claims that Portugal’s economic decline from the second half of the eighteenth century was due to low state capacity.

Suggested Citation

  • Leonor Freire Costa & António Henriques & Nuno Palma, 2022. "Anatomy of a Premodern State," Economics Discussion Paper Series 2208, Economics, The University of Manchester, revised May 2024.
    • Handle: RePEc:man:sespap:2208
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    Cited by:

    1. António Henriques & Nuno Palma, 2023. "Comparative European Institutions and the Little Divergence, 1385–1800," Journal of Economic Growth, Springer, vol. 28(2), pages 259-294, June.

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    More about this item

    Keywords

    state capacity; fiscal capacity; premodern economic growth; Portugal;
    All these keywords.

    JEL classification:

    • H20 - Public Economics - - Taxation, Subsidies, and Revenue - - - General
    • N43 - Economic History - - Government, War, Law, International Relations, and Regulation - - - Europe: Pre-1913
    • O23 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Fiscal and Monetary Policy in Development

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