Skip to main content

Conclusions

  • Chapter
  • First Online:
  • 142 Accesses

Part of the book series: Palgrave Studies in the History of Finance ((PSHF))

Abstract

Detailed examination of Brazil’s monetary and banking history between 1850 and 1889 has allowed for a number of points of historical fact to be clarified. Additionally, it has shed light on the nature of State-society relations during the Second Reign.

This is a preview of subscription content, log in via an institution.

Buying options

Chapter
USD   29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD   69.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD   89.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info
Hardcover Book
USD   119.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Learn about institutional subscriptions

Notes

  1. 1.

    Furtado (1970, chapter 27).

  2. 2.

    Bordo and Rockoff (1996).

  3. 3.

    Thus, suggestions in the literature that adherence to the gold standard tended to advance British interests, however plausible, tend to miss these crucial points. See, for example, Granziera (1979) and Levy and Andrade (1993). These contributions appear to overlook the undisputed fact that exchange-rate stability is a public good and, as such, it can be enjoyed by both domestic and foreign agents.

  4. 4.

    See, for example, Soares (1984).

  5. 5.

    Sweigart (1987).

  6. 6.

    See for example, Levy and Andrade (1985) and, less emphatically, Peláez and Suzigan (1976).

  7. 7.

    Peláez (1976). The book has also shown that suspension of convertibility occurred on 27 November, not 11 November, as usually claimed.

  8. 8.

    A further clarification brought out by the research involves the nature of the remarkable recovery of the exchange rate in the aftermath of the war against Paraguay. It was noted that the milréis already appreciated markedly prior to Rio Branco’s appointment as President of the Council of Ministers (and Minister of Finance) in March 1871. In addition, the book argued that subsequent appreciation of the exchange rate—leading up, eventually, to the attainment of the 27d/1$000 parity in 1875—took place independently of the monetary and fiscal policies carried out by the Rio Branco administration.

  9. 9.

    Barman (1981).

  10. 10.

    Schulz (2013, p. 102), on the contrary, maintains that both the 1875 and the Souto crises originated in Europe and the United States. The author offers scant evidence to support either claim, however.

  11. 11.

    See Section 5.3.

  12. 12.

    For a detailed analysis of the debates and decisions on monetary and banking matters in the Seção de Fazenda of the Council of State, Villela (2000).

  13. 13.

    Saes (1986) and Andrade (1987).

  14. 14.

    See, for example, Levy and Andrade (1985), Mello (1984), Guimarães (1998, 2012), and Gambi (2013).

  15. 15.

    Its president, Dias de Carvalho, openly manifested the Bank’s independence from the government in 1858. Speaking in the Senate on the operation to defend the exchange rate, Carvalho was emphatic: ‘never had the Minister of Finance sent orders to the bank to draw, or not to draw (bills of exchange). The Minister agreed with the bank on this point (…), each part proceeded according to its sphere of action, and I can guarantee the Senate that if the bank’s board of directors were convinced that it was not convenient to undertake the operation with drafts, it would not submit to orders from the Minister’. Session of 14 May, in ASI 1858, Tome I, p. 146.

  16. 16.

    ‘The law of 22 August of last year (…) could not have been applied to our establishment without gravely offending our rights, without violating a bilateral contract that cannot be altered without the necessary mutual consent’. Cf. Banco do Brasil, Parecer Apresentado á Assembléa (1861, p. 5).

  17. 17.

    See, for example, Guimarães (1998, pp. 58–9).

  18. 18.

    As discussed along the text, the 1860 Law of Impediments would make things worse, as it mandated prior authorization for incorporation. It would not be until 1882 that legislation would be passed relaxing the rules for incorporation, which became a right.

References

  • de Andrade, Ana Maria R. 1987. 1864: conflito entre metalistas e pluralistas. MSc. dissertation, Universidade Federal do Rio de Janeiro.

    Google Scholar 

  • Banco do Brasil. 1861. Parecer Apresentado á Assembléa Geral dos Accionistas do Banco do Brasil pela Commissão Especial Eleita em 2 de Maio de 1861. Rio de Janeiro: Villeneuve.

    Google Scholar 

  • Barman, Roderick J. 1981. Business and Government in Imperial Brazil: The Experience of Viscount Mauá. Journal of Latin American Studies 13 (2): 239–264.

    Article  Google Scholar 

  • Bordo, Michael, and Hugh Rockoff. 1996. The Gold Standard as a Good Housekeeping Seal of Approval. Journal of Economic History 56 (2): 389–428.

    Article  Google Scholar 

  • Brasil, Senado. Annaes do Senado do Império do Brasil, various years.

    Google Scholar 

  • de Holanda, Sergio B. 1972. História Geral da Civilização Brasileira. Tome II, Vol 1. São Paulo: Difel.

    Google Scholar 

  • Furtado, Celso. 1970. Formação Econômica do Brasil. 10th ed. São Paulo: Companhia Editora Nacional.

    Google Scholar 

  • Gambi, Thiago F.R. 2013. O Banco da Ordem: política e finanças no Império brasileiro (1853–1866). São Paulo: Alameda.

    Google Scholar 

  • Granziera, Rui G. 1979. A Guerra do Paraguai e o Capitalismo no Brasil: moeda e vida urbana na economia brasileira. São Paulo: Hucitec/Unicamp.

    Google Scholar 

  • Guimarães, Carlos Gabriel. 1998. Bancos, Economia e Poder no Segundo Reinado: o caso da Sociedade Bancária Mauá, MacGregor & Companhia (1854–1866). Ph.D. dissertation, Universidade de São Paulo.

    Google Scholar 

  • ———. 2012. A Presença Inglesa nas Finanças e no Comércio do Brasil Imperial: os casos da Sociedade Bancária Mauá, MacGregor & Cia. (1854–1866) e da firma inglesa Samuel Phillips & Cia. (1808–1840). São Paulo: Alameda.

    Google Scholar 

  • Levy, Maria Barbara, and Ana Maria R. de Andrade. 1985. Fundamentos do Sistema Bancário no Brasil: 1834–1860. Estudos Economicos 15 (Special Issue): 17–48.

    Google Scholar 

  • ———. 1993. El Sector Financiero y El Desarollo Bancario en Río de Janeiro (1850–1888). In La Economia Financiera y la Formación de la Banca Central en España y Latinoamerica, ed. C. Marichal and P. Tedde, 209–254. Madrid: Banco de España.

    Google Scholar 

  • de Mello, Evaldo C. 1984. O Norte Agrário e o Império, 1871–1889. Rio de Janeiro: Nova Fronteira.

    Google Scholar 

  • Peláez, Carlos Manuel. 1976. The Theory and Reality of Imperialism in the Coffee Economy of Nineteenth-Century Brazil. Economic History Review 29 (2): 276–290.

    Article  Google Scholar 

  • Peláez, Carlos Manuel, and Wilson Suzigan. 1976. História Monetária do Brasil. 2nd ed. Brasília: Editora da Universidade de Brasília.

    Google Scholar 

  • de Saes, Flavio M. 1986. Crédito e Bancos no Desenvolvimento da Economia Paulista, 1850–1930. São Paulo: IPE/USP.

    Google Scholar 

  • Schulz, John. 2013. A Crise Financeira da Abolição. 2nd ed. São Paulo: Edusp.

    Google Scholar 

  • Soares, Luis Carlos. 1984. A Manufatura na Sociedade Escravista: o surto manufatureiro no Rio de Janeiro e nas suas circunvizinhanças (1840–1870). In La Préindustrialization du Brésil: essais sur une économie en transition, ed. F. Mauro. Paris: CNRS.

    Google Scholar 

  • Sweigart, Joseph E. 1987. Coffee Factorage and the Emergence of a Brazilian Capital Market, 1850–1888. New York: Garland Publishing.

    Google Scholar 

  • Villela, André A. 2000. Brazil in Mid-Empire: The Council of State and the Banking Question, 1850–1870. Estudos Economicos 30 (4): 629–651.

    Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to André A. Villela .

Rights and permissions

Reprints and permissions

Copyright information

© 2020 The Author(s)

About this chapter

Check for updates. Verify currency and authenticity via CrossMark

Cite this chapter

Villela, A.A. (2020). Conclusions. In: The Political Economy of Money and Banking in Imperial Brazil, 1850–1889. Palgrave Studies in the History of Finance. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-030-32774-3_6

Download citation

  • DOI: https://doi.org/10.1007/978-3-030-32774-3_6

  • Published:

  • Publisher Name: Palgrave Macmillan, Cham

  • Print ISBN: 978-3-030-32773-6

  • Online ISBN: 978-3-030-32774-3

  • eBook Packages: Economics and FinanceEconomics and Finance (R0)

Publish with us

Policies and ethics