Industrial Policy

Robert A. Brady

The Journal of Economic History, 1943, vol. 3, issue S1, 108-123

Abstract: German imperial expansion, begun under Bismarck, swiftly unfolded with the aid of industrial technology along lines that adapted it ideally for the organization, not of a national state, but of a continent or even the world. In this fact lies a major contrast between the neo-mercantilism which followed 1879 and the cameralism borrowed from the Burgundians by the German princes in the sixteenth century. The system extolled by Becher was designed to meet the power needs of dwarf states perpetually torn, by a mule-and-the-two-haystacks dilemma, between the fractioning particularism of the lay princes on the one hand, and the centrifugal pull of a meaningless imperial universalism on the other. The ‘new age’ for which, as Schulze- Gavaernitz once remarked, Bismarck played the role of ‘obstetrician,’ employed a machinery for internal unification that fitted the national—in particular the German—state almost as badly as it did the political fractions of which it was compounded.

Date: 1943
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