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27. Tibor Rutar - Capitalism for Realists

Ideas Having Sex

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The Industrial Revolution in England

Robert Allen's explanation for the industrial revolution is that you had this lopsided relationship between the price of labor and the price of capital. And he says that it would be beneficial for businessmen to try to introduce labor saving technology in the production process, because workers were so expensive. That then led for him to the industrial revolution. It was sort of a way to deal with the problem of expensive workers to try to reduce your cost as a businessman. But I think you would then have to go to quote unquote, my explanation, which I actually borrow from Robert Brenner and Christopher Dyer.

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