Landschaften as Credit Purveyors—The Example of East Prussia

Kirsten Wandschneider

The Journal of Economic History, 2015, vol. 75, issue 3, 791-818

Abstract: Landschaften were cooperative mortgage associations that emerged in Prussia after the Seven Years War (1756–1763) to support the Prussian landed nobility. Landschaften issued covered mortgage bonds, called Pfandbriefe, which helped re-capitalize the Prussian estates. Relying on mortgage data for 554 estates, this article provides a detailed look at one of these institutions—the Landschaft of East Prussia. The article offers insights into the self-selection of participants and the distribution of credit. It also gives a quantitative assessment of the economic effects of the Landschaften with respect to ownership patterns and estate size.

Date: 2015
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