The Economy of Modern Malta

From the Nineteenth to the Twenty-First Century

verfasst von: Paul Caruana Galizia

Verlag: Palgrave Macmillan US

Buchreihe : Palgrave Studies in Economic History

Enthalten in: Springer Professional "Wirtschaft+Technik" , Springer Professional "Technik" , Springer Professional "Wirtschaft"

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Über dieses Buch

This book provides the first wide-ranging account of the Maltese economy in the modern era, from colonialism to European Union membership. It sets arguments about growth and development, and the impact and legacy of colonization, against detailed histories of agriculture, manufacturing and trade, and different economic policy regimes. It is based on volumes of newly collected archival evidence and the latest thinking in economic history. By extending coverage up to the present, the book explains how one of the world's smallest nation-states achieved lasting economic development, quintupling its per capita income level since 1970, when many other postcolonial and advanced economies stagnated.

Inhaltsverzeichnis

Frontmatter

Chapter 1. Introduction: Development in the Long Run

Abstract

This chapter makes the case for a wide-ranging, empirical account of Maltese modern economic history. It shows that many of the institutions and industries that define success or failure in the modern economy are directly linked to past legacies, particularly colonialism. This chapter then develops a discussion of Malta’s long-run development around the following aggregate measures of welfare: real wages, per capita GDP, and population growth. It compares these measures to other colonial and developed economies to provide an assessment of Malta’s progress, and an assessment of the consensus critique of colonial rule. It concludes with a survey of development in post-colonial Malta.

Paul Caruana Galizia

Chapter 2. Agriculture, 1800–1964

Abstract

This chapter starts with an overview of the country’s geographical setting: its soils, climate, and topography. It then looks at how these characteristics affect agricultural yields and productivity. This discussion extends back to the state of the rural economy before colonialism, under the Order of the Knights of St John. The following section covers the agricultural sector’s performance during World War II, followed by an analysis of the various attempts and failures in the modernization of agriculture. The final section deals with crises in the rural economy, from the system of land tenure to the various food riots that shaped anti-colonial movements.

Paul Caruana Galizia

Chapter 3. Industry and Trade, 1800–1938

Abstract

This chapter first analyses the impact of the colonial state on manufacturing and trade, going from investments in education and infrastructure to trade policy. It then provides a novel analysis of the effect of colonial trade policy on the cotton handicrafts sector, and the failure of Malta to experience broad-based and fast industrialization. Next is analysis of the distortive effect of British military expenditure, with a particular focus on the Royal Dockyards. A section on Malta’s role as an entrepôt follows; how its integration into the global economy made it a major coaling and shipping centre for a while, and how this led to the development of its first merchant banks. The concluding section covers the difficulties Malta faced in diversifying its economy.

Paul Caruana Galizia

Chapter 4. The State and the Economy, 1939–1986

Abstract

This chapter takes a political economy approach to economic development in the run up to independence and in the post-colonial period. It starts with a section on the economic effects of World War II on Malta, the expansion of the military’s presence, and the early protectionist experiments that the War led to. It then moves into the reconstruction efforts by the Maltese government, funded by British grants and concessionary loans, which later became an integral part of economic development. A series of economic development plans followed the War, many falling between the cracks wrought by party politics. The chapter then covers institution building in the post-Independence period up to 1971, and the consolidation of state control over the economy until 1986.

Paul Caruana Galizia

Chapter 5. The Liberal Age, 1987–2008

Abstract

This chapter covers the liberalization, or reglobalization, of Malta’s economy from 1987 onwards, when the country’s economic institutions went from an inward to outward orientation in the run-up to European Union (EU) membership. The chapter covers the root-and-branch overhaul of the economy that this process required. The change is shown by detailed analyses of individual sectors and policies. It looks at the effect of trade liberalization in inequality and welfare, and on structural change, particularly the shift towards a more financial economy.

Paul Caruana Galizia

Chapter 6. Final Remarks

Abstract

This concluding chapter gives an overview of Malta’s contemporary economic institutions. It focuses on the size of the public sector, corruption, and the current state of the economy. It concludes with an argument for more inclusive growth.

Paul Caruana Galizia

Backmatter

Titel: The Economy of Modern Malta
verfasst von: Paul Caruana Galizia
Verlag: Palgrave Macmillan US
Electronic ISBN: 978-1-137-56598-3
Print ISBN: 978-1-137-56597-6
DOI: https://doi.org/10.1057/978-1-137-56598-3