Financing the Commune

The connection between public spending and the ambitions of urban elites is a common topic in the historiography of the late Middle Ages. However, it is still unclear how city finances and private capital interacted before the use of sophisticated financial systems of the late 13th to early 14th cen...

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Main Author: Severgnini Carlo Ludovico
Format: Article
Language:deu
Published: De Gruyter 2025-05-01
Series:Jahrbuch für Wirtschaftsgeschichte
Subjects:
Online Access:https://doi.org/10.1515/jbwg-2025-0006
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author Severgnini Carlo Ludovico
author_facet Severgnini Carlo Ludovico
author_sort Severgnini Carlo Ludovico
collection DOAJ
description The connection between public spending and the ambitions of urban elites is a common topic in the historiography of the late Middle Ages. However, it is still unclear how city finances and private capital interacted before the use of sophisticated financial systems of the late 13th to early 14th centuries. The case study of Siena provides an analysis of many different archival sources that date back to the first half of the 13th century. Data show a cycle starting with deficit spending by the city to support the war effort. The deficit was financed by the municipality with large-scale borrowing from wealthy citizens, later repaid with revenues from direct taxes. For the lenders, this was a very low-risk investment that yielded medium-low returns. However, loans to the city were more a political tool to secure a position of power, rather than just an economic opportunity.
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series Jahrbuch für Wirtschaftsgeschichte
spelling doaj-art-0f3c2dc71b094428a38ed774bbbdf8ec2025-08-20T01:54:18ZdeuDe GruyterJahrbuch für Wirtschaftsgeschichte0075-28002196-68422025-05-0166113115510.1515/jbwg-2025-0006Financing the CommuneSevergnini Carlo Ludovico0Dipartimento di Storia Culture Civiltà, University of Bologna, Piazza San Giovanni in Monte, 2, 40121BolognaItalyThe connection between public spending and the ambitions of urban elites is a common topic in the historiography of the late Middle Ages. However, it is still unclear how city finances and private capital interacted before the use of sophisticated financial systems of the late 13th to early 14th centuries. The case study of Siena provides an analysis of many different archival sources that date back to the first half of the 13th century. Data show a cycle starting with deficit spending by the city to support the war effort. The deficit was financed by the municipality with large-scale borrowing from wealthy citizens, later repaid with revenues from direct taxes. For the lenders, this was a very low-risk investment that yielded medium-low returns. However, loans to the city were more a political tool to secure a position of power, rather than just an economic opportunity.https://doi.org/10.1515/jbwg-2025-0006italy13th centurysienacity-statepublic financeitalien13. jahrhundertsienastadtrepubliköffentliche finanzenn 23n 43n 93
spellingShingle Severgnini Carlo Ludovico
Financing the Commune
Jahrbuch für Wirtschaftsgeschichte
italy
13th century
siena
city-state
public finance
italien
13. jahrhundert
siena
stadtrepublik
öffentliche finanzen
n 23
n 43
n 93
title Financing the Commune
title_full Financing the Commune
title_fullStr Financing the Commune
title_full_unstemmed Financing the Commune
title_short Financing the Commune
title_sort financing the commune
topic italy
13th century
siena
city-state
public finance
italien
13. jahrhundert
siena
stadtrepublik
öffentliche finanzen
n 23
n 43
n 93
url https://doi.org/10.1515/jbwg-2025-0006
work_keys_str_mv AT severgninicarloludovico financingthecommune