Income, Management and Economic Thinking

Baroque castles, conspicuous consumption and prodigality were used in historiography to describe the nobility as the ruling social group in the early modern period. Literature on noble elites in the Habsburg monarchy likewise reflects such topics and topoi. This project, however, focuses not on expenditures, but on the income and the economic role of the nobility. Based on the assumption that the aristocracy must raise the means for their distinguished lifestyle as public display of power, I consider noble entrepreneurship and management strategies as important factor for economic development regarding both, the family itself and the monarchy. Due to the nobilitys privileged status, the aristocracy possessed the capital, the infrastructure and the manpower to make investments in agriculture, industry, technology and banking. Income and family strategies diversified in the eighteenth century since traditional fields of activity such as military service became less important. I will explore noble engagement in the Habsburg economy on the basis of Schumpeters pre-capitalist model of entrepreneurship. This approach will enable me to discover long-term family strategies in the economy that in the end increased income and risk management. Secondly, I will focus on innovations and management strategies in agriculture, estate administration, industry, banking and joint stock companies. Thirdly, I am interested in the economic training and courses of education of nobles as a precondition of the professionalization of noble economic activity. My project is designed as a qualitative study. Five families from different regions of the Habsburg monarchy will serve as objects of investigation. The princes of Schwarzenberg and the counts of Harrach will provide key case-studies for the Austro-Bohemian core lands. Examples from the Austrian Netherlands, the houses of Arenberg and Merode, as well as the counts of Goss from Carinthia will complete the collection. With these three regions my study covers the economically strongest regions that contained important branches of the economy, such as textiles, glass, mining and trade. Therefore, the accounts of the families general treasury, economic correspondence, instructions as well as travel itineraries and diaries in the family archives will be analyzed. My project thus contributes both to studies of ruling elites and the economic history of the Habsburg monarchy. The outcomes of my project will advance our understanding of the economic role of the Habsburg aristocracy, one of the most neglected noble social formations in early modern Europe. Innovative aspects are expected with regard to trans-territorial and international business relations of noble economic undertakings. This will open up exciting new perspectives on the Habsburg economy as the most important global player in Central Europe.