How Similar to South-Eastern Europe were the Islands of Cyprus and Malta in terms of Agricultural Output and Credit? Evidence during the Interwar Period
Alexander Apostolides
London School of Economics and Political Science
ABSTRACT
The islands of Cyprus and Malta have been considered as similar economically to other South-Eastern European states, despite the lack of historical evidence to prove it. The paper uses recently complied primary sector output estimates for the interwar period (1921 – 1938) to evaluate that the economic structure of the islands was different from each other, as well as from other South-Eastern European states. The agricultural sector of the islands failed to keep up with the other states due to growth constraints. Due to the lack of a healthy system, rural credit was particularly problematic as it prevented a shift to products for which the islands held a comparative advantage.
Keywords: Cyprus; Malta; Depression; Rural credit; Historical national accounts; Southeastern Europe.
JEL classification:N14; N34; N54; 013; E01; E23.
Acknowledgements: An earlier version of the paper was presented in the Thesis Workshop of Economic History at the London School of Economics in February 2006 and the author would like to thank the participants for their useful comments. The author also acknowledges and thanks for comments and suggestions made by Şevket Pamuk, Max-Stephan Schulze and Tirthankar Roy.
Alexander Apostolides
London School of Economics and Political Science
Economic History Department
Houghton Street, London, WC2A 2AE, UK
e-mail: http://www.bankofgreece.gr/publications/a.apostolides@lse.ac.uk or www.econcyma.blogspot.co