Finance & History

Hyperinflation as a catalyst for transformation?  Nathan Marcus (Ben Gurion University in Beer Sheva) & Carmen Hofmann (eabh) discuss the extreme acceleration of inflation and its consequences at the end of the Austro- Hungarian Empire in 1918. The transition from a single economic space in Central Europe into separate national economies was marred by the experience of hyperinflation. Nathan explains why hyperinflation is so bad, why it is explicitly a modern phenomenon and how it intrinsically connects the financial with the political sphere. 

Are all wars fought for money? Kevin Clancy (Royal Mint London) & Carmen Hofmann (eabh) in conversation about 500 years of experience with currency in Britain. Kevin  reveals some extraordinary cases in history that remind us of the close relationship between money and power, wars' influence over currency and currency reform, the public relations of money and the role of new money for new states. #eabhPodcast!

A story of empires, of financing war and risk and reward in uncertain times.  Larry Neal (Illinois) & Carmen Hofmann (eabh) in conversation about the underrated role of individuals in financial history - compared to the role of political actors; the Louisiana Purchase as an 'unprecedented financial deal'; the emergence of internationally marketable sovereign debt and other options of financing empires and revolutionary states.

Is there good beyond profit?  Lilia Costabile (University of Naples) and Carmen Hofmann (eabh) take a long view back at the creation and functioning of the Public Banks of Naples in the 16th century. These banks developed as auxiliary departments of charitable institutions and became the backbone of the Kingdom's financial and economic success. How did they achieve long-lasting success and resilience? And can we take inspiration for current debates about how to create a resilient financial system or how finance makes a significant contribution to society as whole? 

In their talk about Gentlemen Bankers, Susie Pak (St.John's University) & Carmen Hofmann (eabh) focus on the social and economic circles of one of America's most renowned and influential financiers: J.P. Morgan. Susie tells an intriguing story about how economic and political interests intersected with personal rivalries and friendships among the Wall Street aristocracy during the first half of the twentieth century. These historical precedents are all the more relevant in a time when we redefine trust in the financial sector, the concepts of risk and responsibility and the inclusiveness of our work and social lives.

Are we back to the inflationary environment of the 1970s? During these tumultuous times of post covid recovery, unprecedented monetary policies, and the War in Ukraine, Thomas Mayer (Flossbach von Storch) & Carmen Hofmann (eabh) talk about money and debt in historical perspective, about what drives inflation, the role of the state and the revolutionary idea of digital currency competition as the way forward for the Euro.

Hugo Bänziger (eabh) and Walter Kielholz (Swiss Re), two leading figures in finance in the 1980s and 90s give true insights into the banking and insurance business in a period of change from nationalisation to privatisation, when the spreads between lending and borrowing were immense and the states involvement in the business resulted in endless piles of paper rather than countries economic development. The core topic of their conversation is ethics, conflicts of interest, liability and risk in the financial world;  how these changed over time and ultimately let to the Great Financial Crises that started in 2007. 

Filipe Fernandes (Banco de Portugal) & Carmen Hofmann (eabh) talk about the Bank of Portugal, modern Portuguese history, the vast extent of the Bank's archive and one of the most famous cases of financial fraud. 

Hugo Bänziger (eabh) and Thomas Mayer (Flossbach von Storch Research Institute) discuss Monetary Unions from the Latin Currency Union to the European Monetary Union of today. Why are monetary unions created? Which are the drivers? If monetary unions are mere devices to obtain political power, what motivates independent countries to join? Do political aspirations always dominate economic reason? Or is the facilitation of international trade the one most important factor to participate in these standard setting unions? Inflationary monetary policies (seignorage) are ancient techniques of financing the state, as much as the migration of paper money towards the North of Europe has historical precedent for a variety of reasons. Now, how do these insights give perspective to what is happening on the stage of international monetary policy? Does Europe today compare to the late Roman Empire? *The topic will further be discussed at the 2022 eabh annual conference in cooperation with the Bulgarian National Bank on 1 July 2022 in Sofia, Bulgaria. We are still open for submissions: http://bankinghistory.org/wp-content/uploads/2022_Sofia_Monetary-Unions-in-History.pdf

Carmen Hofmann (eabh) and April Miller (The World Bank Group) talk about archival material from Afghanistan to Zimbabwe and how to inspire history research. April gives fascinating insights into the workings of the World Bank Group, the oldest and largest global multi-regional and multi-sectoral development bank; a Bank that was set up to reconstruct Europe first and bring peace and prosperity to the globe thereafter. The conversation revolves around the vital role of archives in setting up modern societies' public institutions, the concept of accountability through documentary evidence, the necessity of the archives being part of the entire lifecycle of a record, why metadata is everything and how to stay relevant within the orbit of a company's many priorities.