Jean-Baptiste Say on Decadence and Industrial Progress in Spain

Abstract

J.-B. Say’s theory of economic development culminates in the industrious nation, and is a touchstone for Spanish authors situating the nation within the context of European economic development. This article presents his interpretation of the case of Spain. Included amongst the «badly civilized» countries, Spanish institutions prevented industrial powers from remedying the country’s retarded growth. But both the awakening of the people and an increase in relations with prosperous neighbours allowed Spain to momentarily join the group of industrialised countries. Notwithstanding his recommendations, Say pointed to the fragility of this privileged situation in the face of political change. He does not contemplate economic convergence
between nations as a spontaneous process but, rather, proposes a policy of development based on industrial education in order to remove prejudice from decision-making processes.