The Economic Role of the Greek City
John Salmon
Greece & Rome, 2nd Ser., Vol. 46, No. 2. (Oct., 1999), pp. 147-167.
Stable URL
http: flinks.jstor-org/sici?sici=0017-3835% 281999 10%292%3A46%3A2%3C 147% 3A TEROTG%3E2.0.CO%3B2-Q
Greece & Rome is currently published by The Classical Association.
Your use of the ISTOR archive indicates your acceptance of JSTOR’s Terms and Conditions of Use, available at
bhupulwww.jstororg/about/terms.hunl. JSTOR’s Terms and Conditions of Use provides, in part, that unless you
have obtained prior permission, you may not download an entire issue of « journal or multiple copies of articles, and
you may use content in the JSTOR archive only for your personal, non-commercial us.
Please contact the publisher regarding any further use of this work. Publisher contact information may be obtained at
bhupswww jstor-org/journals/classical htm.
Each copy of any part of a JSTOR transmission must contain the same copyright notice that appears on the screen or
printed page of such transmission,
JSTOR is an independent not-for-profit organization dedicated to ereating and preserving a digital archive of
scholarly journals. For more information regarding JSTOR, please contact support @jstor.org,
hupuhvwwjstororg/
Fri Nov 3.02:12:52 2006Greece & Rome, Vol. xvi, No.2, October 1999
THE ECONOMIC ROLE OF THE GREEK CITY!
By JOHN SALMON
‘The economic role of the state is controversial, even after the collapse of
communism and the election of New Labour. The demand that
governments get off the backs of wealth-creators has barely diminished
since the 1980s; but some still urge control of private and corporate
greed in the public interest. There is no sign of such controversy in
Greek antiquity; but I shall suggest that the practice of the cities
depended on political considerations which reveal comparable prin-
ciples. All governments, whatever their complexion, now accept some
responsibility for general economic well-being, even if their actions may
amount to little more than a claim that prosperity will ‘trickle down’
from top to bottom, Numerous functions which would now be identified
as economic were performed by Greek cities; after brief preliminaries to
set the economic scene, I shall explore them, and try to determine why
they were undertaken,
‘The commonest economic activity was the growing of food for
consumption by the producer and his family: it is in this context that
city economic activity must be assessed. In modern terms, overwhelm-
ingly the most significant sector of production was agriculture; more
importantly, the most frequent economic unit was the peasant house-
hold.? Thus the most important economic factor was access to land,
which the city controlled: land ownership was mainly restricted to
citizens. That, however, is a political, not an economic phenomenon.”
‘The cities were enforcing a traditional practice: the communities from
which cities grew were made up of those who farmed land in their
territories. Even in the early period, some may have survived without
plots, by crafts like pottery or metalwork; but their status is unknown; no
doubt it differed from city to city. When we can investigate such issues,
the landless were sometimes citizens: in 403, an unsuccessful proposal
was made to restrict citizenship at Athens to landowners. It would, itis,
reported, have disfranchised some 5,000. That was about a quarter of
the citizen body; the context suggests that it was an overestimate.’ A
quarter of citizens without land is a far higher proportion than else-
where, for two reasons: many cities restricted citizenship to landowners;18 THE ECONOMIC ROLE OF THE GREEK CITY
and there were far more opportunities for earning a living without land
in Athens than elsewhere.
‘The norm in Athens, and probably in other cities, was that the
producer owned his own plot. Tenant farming occurred, but was less
‘common.° The pattern of peasant proprietors, alongside élite owners of
larger plots, severely limited the possibilities for economic change; basic
peasant agriculture altered little throughout our period. Wealthier
households could devise more intensive methods," but the opportunities
available to the ordinary peasant household were less effective.
‘The Provider City
‘What was arguably the earliest and most extensive economic interven-
tion concerns access to land: colonization in the eighth to the sixth
centuries. The purpose was certainly in some sense economic; but the
old explanation, that colonies were to improve conditions for trade
conducted from the mother cities, is wrong in almost all cases. The trade
explanation is still canvassed for Pithecusae, the earliest foundation,
where there was much lively commercial activity: but here, the involve-
‘ment of the city is in question. There are many typical colonial features,
especially an acropolis; but many residents were not Greek, and the
excavator’s collaborator emphasizes doubts about the status of the
settlement by pointedly referring to it as merely an ‘establishment’.”
‘The Greek settlers came from Chalcis and Eretria; but the formal
involvement of those cities remains unclear.
Nevertheless, a broadly economic motive for other foundations is
evident — and not excluded at Pithecusae: the main purpose was to
export from the mother cities part of a population which was growing
too large. Land was therefore stolen from the inhabitants of Sicily and
elsewhere; Sparta, significantly, stole instead from Greek neighbours in
Messenia. In some cases, colonists were subjected to compulsion,
especially at Thera when Cyrene was founded.” The export of excess
population continued from the eighth century to c.500; Greek settle~
ments were scattered over most Mediterranean coasts, and even beyond.
This form of action thus naturally had a much wider than merely
economic effect: it considerably increased both the number of Greek
cities and their geographical spread.”
This is a clear example of intervention in the basic economic feature
of land distribution. The city controlled inheritance patterns too:THE ECONOMIC ROLE OF THE GREEK CITY M9
normally sons inherited equal plots on the death of their father."° Details
differed: in some cities, including Sparta, daughters also enjoyed
(unequal) inheritance rightss'' but all cities controlled access to this,
most significant economic resource, upon which at least some 50% of
economic activity depended: that is the minimum Athenian figure,
though it was probably usually a good deal higher than that;"? elsewhere
it may sometimes ~ probably often — have exceeded 90%.
After colonization, cities did not intervene to such drastic effect again;
there was never such a direct and far-reaching attempt to improve the
economic position of citizens by altering the balance between population
and resources. Itis difficult to tell whether intervention on such a scale
did not recur because there was never again such a pressing need, but
there may have been something of that in it: by c.500, when colonization
was largely over, there were more economic opportunities in the Greek
world at large, if not in all cities, and mobility was greater. Those
without viable plots could survive in other ways; but they could not
always do so at home,
In what follows I shall trace and try to explain two broad forms of
action by the cities. The first is direct, when they provided goods or
services themselves, and the second indirect, when they facilitated or
intervened in the activity of those under their authority.
‘The Purchaser City
‘The most obvious direct activity of the cities was as purchasers, perhaps
‘most conspicuously of public buildings; thus craftsmen, even odd-job
‘men, were provided with employment. Cities built numerous structures:
sanctuaries, with temples and other sacred buildings, public amenities
such as fountains, market places, fortifications, harbours and ship sheds.
‘The scale of activity differed enormously from city to city. The building
of the Periclean generation in Attica was the most impressive: it included
(among other things) the Parthenon and the Propylaea, and on its own,
accounted for about three times the work done in Corinth in the three
centuries from 700 to 400. Put another way, between 450 and 425
Athens built 30 or 40 times as much as an average Corinthian
generation; yet Corinth was more active in this respect than anywhere
else in the Greek world apart from Athens."? This Athenian generation
‘was the most productive; but those before and after were not negligible:
rather under half as much work was done in 480-450, and about a150 ‘THE ECONOMIC ROLE OF THE GREEK CITY
quarter even during the Peloponnesian War, in 425-400. Naturally
other cities undertook far less.
‘Comparisons can be made between public building and other kinds of
activity. Figures for the temple at Epidaurus enable estimates of the
number of craftsmen involved in that scheme to be made; the results can.
be used to determine the number employed elsewhere too. They suggest
that something of the order of 800 masons, quarrymen and others
worked on the stone of the Parthenon, from quarry to finished building;
the total work force would not have exceeded 1,000 by much, if at all."*
‘That puts the significance of such structures into proper perspective
In this Athenian generation, public building was more extensive than
ever again, even when some cities enjoyed the patronage of Hellenistic
kings, or when much of the Greek world enjoyed that of Hadrian, Even
so, the workforce was probably less than 2% of the total adult male
population; at other periods it was far less.'® Athens stood out at the top
Of this scale. Most other cities had defensive walls by the late fourth
century, and some had considerable complements of temples and
related buildings: Epidaurus began a scheme in the first half of the
fourth century which lasted into the thirds" but none of this brought
other cities to anything like even the Corinthian, let alone the Athenian
level.
Construction of naval vessels is more difficult to quantify. We do not
know how long triremes lasted, and have no evidence for the total size of,
the Athenian complement over a lengthy period;!” but naval construc
tion must have been significant, and was probably more consistent than
public building: it was presumably maintained at an even level, as far as
possible, throughout the period of Athenian supremacy at sea, from the
late 480s to 322 - with a gap of a decade or so after the end of the
Peloponnesian War. Other coastal cities undertook some activity; but
few could build a fleet even a tenth as large as Athens.
Triremes, like fortifications, were military resources. Other military
requirements demanded little public capital expenditure. Land warfare
mainly involved the delivery of armed hoplites; normally they provided
their own armour. A more important item was pay: at least in Athens
both hoplites and rowers in action received it regularly."*
Cities did not only purchase material items; Athens spent much on
political services. This was a central feature of democracy: Thucydides
has Pericles say in the Funeral Speech (2.37.2): ‘No-one, so long as he
has it in him to be of service to the state, is kept in political obscurity
because of poverty.’ That does not imply that wealth brought noTHE ECONOMIC ROLE OF THE GREEK CITY 151
advantages, for men of influence were always wealthy; rather, ordinary
citizens who performed political tasks were paid. Our sources, wealthy
contemporaries (not excluding Thucydides: cf. 8.97), saw the principle
as a means of enrichment for ordinary Athenians.'? One consideration
may have been self-interest; but the political purpose was important too:
all citizens were equally qualified. Unless pay was provided, many would
be excluded because they could not afford time away from their daily
tasks of earning a living. Significantly, political tasks were established
first, and pay attached to them later. The political consideration was
primary; pay made the principle real” We should not rely for our
judgement of political pay on exactly those wealthy contemporaries
whom it deprived of political control; naturally they complained bitterly
when they had to pay for its implementation,
‘The extent to which such payments were made elsewhere is unclear.
We have details only for Athens; pay is recorded in other cities, and
plays a significant role in Aristotle’s Polizics,”' but we cannot determine
its importance elsewhere. The scale of Athenian payments cannot be
calculated precisely; but it eventually became large (Ath, Pol. 62.2). At
least thirty times a year, 5,000 citizens received a drachma each for
attending the assembly; at ten further meetings the payment was 1% dr.
Lower payments were made to jurors each day when the courts sat - that
is, all days but holidays; councillors and archons, and probably other
magistrates,” were paid larger amounts as often. Hansen calculates the
total in the second half of the fourth century as rather under 100
talents? Payments for attendance at festivals (theorika), cannot be
quantified.
A standard daily wage in the early 320s was 2 dr.s* the total citizen
population was perhaps some 30,000.* On these figures, political pay of
100 T would provide 5% of citizens with 400 dr. p.a. each. Naturally 5%
of citizens did not receive such payments full time; they were distributed
among a much greater number. It would be more accurate to suggest
that over a period the average Athenian family derived 5% of its income
from political pay than that 5% of Athenians derived all their income
from that source.
This factor alone accounts for a considerable shift away from the
pattern of producer consumption as a result of city activity. Other
factors are negligible in comparison, but add to the shift. Even in the
Periclean generation, public building and the construction of triremes
together accounted for, at most, 5% of adult males at a time of high
population, when political payments were limited. Thus political pay182 THE ECONOMIC ROLE OF THE GREEK CITY
supported 5% of citizens, and construction wages no more than 5% of
adult males. The two percentages are of different totals and for different
times, and cannot be added together; well under 10%, perhaps no more
than 5%, both of citizens and of total adult males, were supported by the
city at any one time.
‘There are further implications. Those Athenians who received such
payments had to buy food in the market. Other city activity, again
politically driven, explains the development of a market for precisely the
complementary reason: the need of producers to raise cash. City
expenditure was not covered by income; some of the shortfall was
made up by liturgies: they were parly a means of ensuring, in the
absence of progressive taxation, that the wealthy paid for city services in
proportion to their wealth. Osborne draws attention to an important
consequence.”* Most liturgies demanded cash expenditure; the Athen-
ian élite sold produce on the market to obtain that cash.
Estimates can be made for liturgies as for political pay. The total cost
of agonistic liturgies was 20 T in a Panathenaic year, and rather less in
others. The total for trierarchies varied with the number of vessels at sea
A conservative estimate is 3,000 dr. (¥ T) each: at that rate, the 120
ships which served in 356 cost 60 talents.”” The total of 80 T is
remarkably close to that of pay for conversion into food. The closeness
of the two figures may be coincidence; but the total sums raised for
liturgies by the wealthy and spent after political service by citizens were
of the same order of magnitude.
The city also devoted much effort to ensuring, as far as possible, that
its inhabitants who needed imported cereals to survive could buy them
fon the market, and there were even payments for those unable for
various reasons to support themselves; for these further instances of
provision, see below, p. 158.
The Vendor City
It was not only as purchasers that cities offered economic opportunities:
they also sold them — mainly to the wealthy, since capital was required.
Cities paid to have their various functions performed. There was little
employment in a civil service; tasks were let out to contract. In Athens,
the right to work silver mines was sold. Presumably that was a standard
pattern: where a city’s territory enjoyed resources, especially mines, it
sold the right to exploit them. Even cities without such raw materials‘THE ECONOMIC ROLE OF THE GREEK CITY 183
could sell contracts for the collection of taxes and let out, for example,
shops or pitches in the agora; and public property could be rented.”*
‘The scale of sales will have varied considerably from city to city and
from time to time.
Alll these activities had economic consequences, sometimes major
ones; but it is most unlikely that they were undertaken for economic
purposes except in the obvious sense that some of them raised income.
Public buildings provided jobs; but that was probably not their inten-
tion, even in part. In the most active Athenian generation, no more than
2% of the adult male population was involved in the work. The status of
workers also makes it unlikely that the provision of employment was a
motive. Inscriptions give the status of those who worked on the
Erechtheum, and they were probably broadly typical: among the work-
men whose status is known, metics outnumbered citizens in every
group; slaves of metics were also more numerous than those of
citizens.” Since citizens gained less benefit than metics, it is improbable
that any significant part of the purpose was to provide employment. The
(Old Oligarch often accuses the Athenians of greed for other kinds of
pay, but not for this (Ps.-Xen. Ath. Pol: see esp. i.13; ii.9). This is an
argument from silence; but, given the author’s prejudices, the silence is,
loud. Outside Athens, the desire to provide employment is even more
improbable. Epidaurus had to import workers. The building accounts,
show that the same is true of Delphi; no doubt Olympia was similar.
Aristotle suggested a political reason, if an improbable one, for public
buildings: he noted the works of the Cypselids at Corinth, the Peisis-
tratids at Athens, and Polycrates at Samos not to mention the builders,
of the pyramids in Egypt — and argued that they were designed to engage
the population in work so that they had no time for political activity
(1313 b 18-25). He suggests, strangely, that ‘all of these have the same
consequences, both lack of leisure and poverty among the subjects?
(1313 +b 24-5). It is not clear why they mean poverty. Perhaps he
assumes that the work was unpaid; if so, he was probably wrong, at least
for his Greek examples.
Aristotle as a revealing further passage. He considers how oligarchies
may best be preserved, and argues that when magistrates in oligarchies,
enter office ‘they should make magnificent sacrifices and construct some
public work, so that the people share in the banquets and observe that
the city is made beautiful, and see the constitution maintained because
they are pleased by the offerings and the buildings. At the same time154 THE ECONOMIC ROLE OF THE GREEK CITY
there will be reminders of the expenditure of the wealthy. But now the
members of oligarchies do not do this, but the opposite, for they want
the material gains no less than they want the honour’ (1321 a 35-42).
‘That is good evidence that public buildings were more likely to be
provided by democratic or (as Aristotle has already observed) tyrant
régimes. There is no question here of construction in order to provide
employment, even though Aristotle’s explicit intention is to explain what
can reconcile the ordinary population to an oligarchic constitution.
Oligarchs were ungenerous: in this respect, as often, they ignored
Aristotle's sound advice.”” He never suggests that a motive for such
schemes was the desire to provide employment. Aristotle was perfectly
capable of ignoring the obvious; but he could not have written as he did
if a commonly accepted motive for public building schemes was to
provide work.
‘The reasons for public building differed from case to cases but we
should follow Aristotle in characterizing them as broadly political
Triremes and fortifications were military necessities. Temples and
other structures for the gods were not so obviously utilitarian; but
their political content is clear. Tyrants built many of the early examples.
Aristotle correctly identified the motive as political, but was wrong about
its nature; the tyrants were not only demonstrating the magnificence of
the gods, but also their own. Athens was similar: the Periclean pro-
gramme celebrated and demonstrated the city’s achievements: it was
conspicuous consumption by the city.
City Facilities
Inall these way’ cities undertook direct economic action; but the motive
was generally not to generate economic activity, but to secure desirable
goods or services. They also undertook indirect action, by facilitating or
intervening in the economic activity of others. Building schemes in
which the city was both purchaser and facilitator provide a link between
direct and indirect activity. The first examples are Corinthian: the work
of Periander. The harbour he had constructed at Lechaeum was large
enough to serve Corinthian needs for centuries, even though it was one
of the busiest ports in the Greek mainland, He considered cutting a
canal through the isthmus, but in fact built a dragway which enabled
ships to be carried across it: the diolkos. In each case, he probably
intended to benefit merchant shipping.” Polycrates built a harbour moleTHE ECONOMIC ROLE OF THE GREEK CITY 155
at Samos (Hdt. 3.60.3). The Peiraeus became Athens’ port when
‘Themistocles as archon observed its potential (Thuc. 1.93.3). The
original motive was probably military, since it was more easily defensible
than the beach at Phalerum; but facilities were provided for merchants,
beginning in the second half of the fifth century or perhaps earlier.”
Even inland settlements boasted comparable structures; by Hellenistic
times, most cities made public provision for the convenience of market
traders in the agora, the market place.”
‘These facilities may have been designed to encourage the activities
which they served, from long-range merchants who could exploit the
diolkos ot harbour facilities to (at the other end of the scale) retail sellers
in the agora; but that conclusion would be premature. Charges could be
levied for their use. By the Hellenistic period a major reason was the
cities’ self-regard: it was a mean place which did not provide an agora.
Pausanias looked down his sophisticated nose at Panopeus in Phocis
because it possessed none of the expected facilities of a city, including
precisely that (10.4.1)
Corinth is a useful test: Periander did not build the dioikos to
encourage trade for its own sake, It cut out the perilous journey round
Cape Malea and shortened many voyages; but not only did it fail to
benefit merchants who worked out of Corinthian ports, it did them
positive damage. They already had access both to the Saronic and to the
Corinthian Gulf; but the diolkos opened the western route to com-
petition from others, including Aegina. If Periander’s purpose had been
to improve conditions for merchants, he must have had those who
worked out of Corinth in mind; since their interests were harmed by the
diolkos, it was not built primarily to help merchants. An obvious
alternative is to hand: it was to earn income.
‘The Lechaeum harbour could benefit those who worked out of
Corinth; but the diolkos strongly suggests that Periander’s main
motive was to earn income. That fits admirably with a fragment of
the Cor. Pol. (Constitution of the Corinthians), which reports that he was
content with taxes on markets and harbours (Ar. ft. 611.20 Rose). That
is not strictly the same as dues for the harbour and the diolkos, though
they might well be included in such a description; but it firmly identifies
his commercial facilities as generators of income. The report has a
special call on our credit: it emphasizes Periander’s moderation. That
must reflect the general truth: it contradicts the traditional view,
endorsed by Aristotle himself (Pol. 1313 a 34-7), that he was a typical
repressive tyrant.156 ‘THE ECONOMIC ROLE OF THE GREEK CITY
The Regulator City
It was not only by providing facilities that cities intervened in economic
activity. They regulated it, precisely in the facilities which they provided.
Aristotle lists the essential functions of magistrates, and begins, ‘the first
is control of the marketplace’.’* Sadly, what follows is unhelpful in
detail: those in charge of the agora are ‘to oversee agreements and ensure
‘good order’ (1321 b 13-14). Other related matters are the maintenance
of the city’s physical appearance, carried out mostly by astynomoi (city-
controllers: 1321 b 18-24); more detail is revealed by the names given to
offices in the more populous cities: wall-makers, guards of the harbours,
and those responsible for fountains (1321 b 24-7)
Economic intervention was mainly performed through agoranomoi.
By the Hellenistic period, we have much evidence for their functions,
mainly from inscriptions; earlier, almost everything is Athenian, pre-
served by Ath. Pol. They ‘are responsible for everything that is sold, to
ensure that what is on sale is pure and without blemish’ (51.1)
Hellenistic evidence demonstrates that one aspect of their function
elsewhere was to control the weights and measures against which
goods for sale were quantified; but in Athens that was the duty of
‘metronomoi (weights and measures controllers), who ‘take care of all the
measures and weights, so that the sellers use just ones’ (51.2). Such
measures are not infrequently found in excavation.”
‘The astynomoi ‘take care that none of the dung-collectors leaves dung
within ten stades of the city wall; they prevent the construction of
buildings on the streets, of balconies above the streets, of pipes above
ground level with outlets onto the street, and of windows which open
onto the street; they remove those who die on the streets, for they have
control of public slaves’ (50.2). The fullest information about astynomoi
is given in a Pergamene law, Hellenistic in origin, which makes often
highly sophisticated attempts to ensure that individuals create no
nuisance to the general public or to neighbours.”
Part of the duties of Athenian astynomot is surprising, but introduces
an important factor: price control. “They see to it that the gir! players of
the pipes, the harp and the lyre are not hired for more than two
drachmae; and if quite a number of men are keen to take the same
girl, they draw lots and hire her out to the successfull man’ (50.2). It was
once famously asserted that you cannot buck the market; when govern-
ments have tried, speculators have usually overwhelmed them. InTHE ECONOMIC ROLE OF THE GREEK CITY 137
‘Athens, however, chance prevented the market from determining who
got a desirable commodity,
‘That is a minor instance of price control, and we cannot tell how
successful it was: regulations have rarely deterred the wealthy from
colluding to evade them.” A much more interesting example of price
control is found in the duties of other Athenian magistrates, the
sitophylakes (corn-guardians: 51.3). ‘Their number reflects their import-
ance. ‘The standard number of such magistrates was ten: five each for
Athens and the Peiraeus (50.2-51.2: astynomoi, agoranomoi, and metro-
nomoi). The same was originally true of sitophylakes, but their numbers
increased to 20 for Athens and 15 for the Peiraeus.”” ‘Their functions
explain their significance: ‘they take care, first, that the underground
‘com is sold justly in the agora, and then that the millers sell the barley-
meal at prices which relate to those of the barley, and that the bread-
sellers sell their loaves at the weights which they fix and at prices which
relate to those of the wheat’ (51.3).
Price control is evident: but apart from the matter of weight, which
is similar to the function of metronomoi, it is control over profit
margins. Athens could not control the price of imported cereals, but
it was possible to ensure that what consumers were charged was
related to the import price: that neither millers nor bakers made
excessive profits. A speech of Lysias, Against the Corn Dealers (xxii),
gives further clues. The charges are serious: they carry the death
penalty. The case concerns retailers, who could not buy more than 50
phormoi (literally, baskets: possibly a measure): the purpose was
presumably to stop hoarding. A maximum profit of an obol was
fixed; but it is unclear whether that means an obol per phormos or per
drachma: the former would mean a low, the latter a high profit”
Garnsey reports that the assembly fixed cereal prices artificially low in
the crisis of the 320s.*" That is accurate, but perhaps misleading: the
reference is to the sale of small quantities received in dues by the
sanctuary at Fleusis. It was not an attempt to fix prices for an
imported commodity.
‘The importance of the control of cereal prices is not to be measured
by the proportion of the inhabitants of Attica who relied on the market
for their food because they received payments from the city: many
others used imported cereals. In an average year, perhaps a third of the
cereals consumed were imported: it may have been either more or less."?
‘The duties of sizophylakes are a specific example of attempts to ensure
fair dealing in the market place in general; but because of the enormous158 THE ECONOMIC ROLE OF THE GREEK CITY
importance of imported cereals for Athens, intervention was more
extensive in this matter than in any other.
Athens used other methods to ensure the food supply which go well
beyond mere regulation; we return here to the function of the city as
provider. It was a stated item of business at the principal monthly
assembly meeting; beyond regular administrative and legal matters,
there were only two such other items: whether the magistrates were
performing their functions properly, and the defence of the territory
(Ath, Pol. 43.4). What the assembly might do if difficulties arose is
unclear; but attempts were made to encourage, and sometimes to
require, merchants to bring cereals to the Peiraeus.*” Diplomatic and
legislative methods were used. The evidence for the former is concen-
trated on the Bosporan kingdom, but other efforts may have been made
elsewhere. Legislation required all merchants whom Athens could
control to ship cereals there, No resident of Attica might carry cereals
anywhere but to the Peiraeus; and since trade was heavily dependent on
maritime loans, all such loans made by residents of Attica had to issue in
a voyage carrying cereals to Athens.** Again, death was the punishment
for contravention,
In all these ways, Athens tried to secure food supplies for her
inhabitants; there is no sign of advantages for citizens except on the
few recorded occasions when cereals were distributed free.“* The
methods did not require major expenditure; that was only needed in
times of crisis, such as the 320s, Benefactors then gave money when
cor commissioners were appointed to raise funds to purchase cereals;
others sold large quantities at as litte as a third of the market price. The
former is the only known Athenian example of the raising of funds to
buy food.
‘These measures were taken for the benefit of many in a general crisis.
‘The city made other payments regularly to fewer people, but equally as a
result of crisis. Sons of Athenians who died in battle were maintained at
public expense until they reached manhood; the practice was not only
Athenian (Ar, Pol. 1268 a 8-11). Athens even had a rudimentary form
of social security: ‘there is a law which requires the council to examine
men who own less than three minae’ (thus, a means test) ‘and are so
disabled in their bodies that they are unable to do any work, and to give
each of them, at public expense, two obols a day’ (Ath. Pol. 49.4)
Comparisons are difficult; but these rates were probably even lower than
social security is now: see above, n. 24.
Almost all this evidence for regulation, and sometimes more, is‘THE ECONOMIC ROLE OF THE GREEK CITY 159
Athenian; it represents the interventionist end of the spectrum in the
classical period. There is Hellenistic material from many more cities.
Some indirect evidence suggests price controls. The agoranomos is
prohibited from fixing them for sales at a festival at Andania (SIG
736). Paradoxically, that may imply that normally he could fix them; at
least it shows that price fixing was not unknown. Prices figure promin-
ently in the classic statement of the virtues of an agoranomes, from
Astypalaea: “he looked after the people with all enthusiasm, and took
care of the affairs of the market place and saw to it that goods were sold
as cheaply and justly as possible’ (SIG? 946)
Some inscriptions record regulatory laws. Among the earliest is a
fourth-century example from Erythrae concerning the sale of wool. It
‘must, among other things, be sold by proper measures, in the agora, and
at specified times. It must not be displayed while it is raining: wet wool is
heavier than dry."® Perhaps the most interesting document regulates the
sale of wood and charcoal at Delos.‘” The case is comparable to that of
Athenian cereal imports. Wood used on Delos had to be imported: the
island can have produced little, if any, itself. If sellers were given too
hard a time, they would not sell. Nevertheless, the law skilfully uses
‘market mechanisms to make conditions as favourable for purchasers as
possible. Sellers must declare prices before they begin business: they are
forbidden not only to raise prices after they have made their declaration,
but also to reduce them. The intention will have been to fix a price, not
as high as the market would bear, but as low as profit margins would
allow. It may be impossible to buck the market; but regulations can
influence it for the general benefit.
It was in respect of the food supply that Athens intervened most
extensively; Hellenistic cities shared that preoccupation. They some-
times made loans to merchants to import cereals.** Agoranomoi might
persuade retailers to sell below the market price.” In times of difficulty,
wealthy citizens loaned or gave money to secure cereals for purchase,
pethaps at a subsidized price." In Samos, a permanent fund was set up
from which loans were made: the interest purchased cereals for free
distribution to citizens; it might also be used to lend to merchants who
wished to import cereals for the market.‘
Strikingly, these interventions reveal no attempts to encourage eco-
nomic activity for its own sake. The most extensive intervention was
undertaken precisely in order to stimulate imports, not exports; there is,
no encouragement of exports to pay for imported cereals, No doubt in
Athens silver mines provided a large proportion of what was exchanged160
for imported cereals - and for at least one other major import
requirement, timber for the navy; but there is no sign that the inflow
and the outflow were connected. No city is known to have discriminated
between imports and exports when levying harbour taxes.®° The Athen-
ian monopoly on the export of ruddle from Ceos is no doubt an example
of an imperial power exploiting its position for economic advantage;
but the reason for itis unclear, and again it concerns (from the Athenian
point of view) imports, not exports.*° The only case known to me which
might reflect modern preoccupations is that Thasian ships were not to
import wine from elsewhere; but the context suggests that the possibility
of adulteration may have been the problem (IG xii Suppl. 347 ii). A
serious attempt to prevent competition with the local product is unlikely.
‘Thasian wine needed no protection: it was widely exported.
The Just City?
The activity of Greek cities had significant economic effects; but the
reasons for intervention remain to be determined. Attempts to generate
‘economic activity are improbable. No Greek knew that there was such a
thing as an economy. The word is Greek in origin, but has a limited
meaning: it refers to the running of the household. Greeks (indeed,
Aristotle himself) pursued almost every field of enquiry known to the
‘modern world - with the exception of economics: the work with that tile
insultingly preserved under his name is feeble.°°
In the Politics, Aristotle viewed the city as coming into existence partly
for reasons which we should call economic. That is not quite explicit in
the early chapters, which explain how households join together in
villages, and then villages in cities, and that thus self-sufficiency is
achieved (1252 b 15-30). An economic content is suggested by the
notion of self-sufficiency, and is demonstrated by a closely related and
explicitly economic passage. When discussing agoranomoi, Aristotle
writes, ‘For it is almost necessary for all cities to buy and sell goods
for each others’ requirements of necessities, and this fact is a very great
encouragement to self-sufficiency, for which men seem to come
together in a constitution’ (1321 b 14-18). His reconstruction explicitly
identifies the city as a community which reaches self-sufficiency when
its members buy and sell goods to one another.
Aristotle should thus be alive to economic possibilities; but there is
very little in the Politics on the subject. The explanation is partly his‘THE ECONOMIC ROLE OF THE GREEK CITY 161
interests as revealed in the opening chapters. He has argued that
economic factors help to establish the city, but he is more interested in
what can occur subsequently — and consequently: ‘while the city came
into being in order to secure life, ° (that is what we should call the
economic factor), ‘it continues in being to secure the good life’ (1252
b 29-30). It is the good life, for which participation in a political
‘community is central, in which Aristotle is interested. That interest,
however, is itself determined by what Greek cities did. Just as
‘Thucydides’ account of the origins of the Peloponnesian War demon-
strates that there was no significant economic content in them, so
Aristotle demonstrates in the Politics that cities did not perceive
themselves as having the function of encouraging growth. The
primacy of politics is emphasized when Aristotle imagines a commu-
nity which performs, among other things, the limited economic
functions of a city but nor the political; for him, it does not deserve
to be called a city.”
A significant passage demonstrates the importance of political con
siderations. If a city has sufficient revenues, the money ‘should be
collected into a single fund and distributed to those who have no
resources, especially if it is possible to collect enough to purchase a
plot of land, but if not that, then to start in trade or in farming’ (1320 a
36-b 1). In modern terms, this seems like a fund for venture capitals but,
the context is revealingly different. Aristotle is considering how to
preserve democracies; the argument is that if prosperity can be main-
tained, the constitution will be more stable. The policy is politically
driven: if citizens are prosperous, the constitution will not be under
threat (1320 a 32-b 17);* there is no question of a responsibility of the
city to ensure or generate prosperity.
Even the regulation of economic affairs has a significant political
component. Aristotle defines the function of the agoranomoi as the
oversight of agreements and good order; he associates them closely
with the astynomoi, who perform part of the planning function (above).
Both activities have an economic content; but their purpose is just one
aspect of the function of regulating all forms of behaviour among.
citizens. The astynomoi regulate private building activity to ensure that
it does not encroach on the interests of others; the agoranomoi do the
same in a different sphere. Most obviously, they control the quality of
goods for sale, and weights and measures; the general case is demon-
strated by the inscription from Astypalaea which praises an agoranomos
because in his term of office goods were available ‘as cheaply and justly162 THE ECONOMIC ROLE OF THE GREEK CITY
as possible’: if a just price is a cheap price, justice is the interest of the
consumer.
Public buildings were less frequent under oligarchies than other
régimes, as Aristotle saw, partly for reasons of private greed (above,
pp. 153-4). Similarly with economic intervention: it was undertaken by
broadly democratic régimes. The purpose was to safeguard the con-
sumer. That is entirely appropriate: the wealthy need no protection. In
the classical period, we have evidence from almost nowhere but Athens.
‘What we have is thus democratic; but it is unclear whether oligarchies
intervened similarly. There is no evidence, but such régimes were
extremely unlikely to afford such protection. A chilling passage of
Aristotle (Pol. 1310 a 6-10) suggests rather that oligarchs who enjoyed
Political and economic power exploited both all too effectively: ‘in
oligarchies the oligarchs (should act) on behalf of the demos, and
swear oaths opposite to those which they swear now: for in some they
now swear, “I shall be an enemy to the demos and shall plot whatever
evil I can”?
Hellenistic cities were not as democratic as Athens; but after Persia
had controlled through oligarchies, Alexander encouraged democracies
when he took Asia Minor. Democracy in this period relied less on the lot
than Athens, and election for magistracies allowed the wealthy to fulfil
their ambitions; but there persisted something of the accommodation
between wealthy and ordinary citizens which had characterized the
Athenian pattern. The wealthy enjoyed office and influence, and
naturally the maintenance of their wealth, in return for expenditure:
euergetism.*' In truly democratic Athens, the absence of progressive
taxation did not prevent the demos from requiring their élite to spend
from their deep pockets for the common good in liturgies (above,
p. 152); the Hellenistic élite could not be compelled, but for some
time they were successfully persuaded. We cannot trace the reasons for
the shift in the balance of the relationship in favour of the wealthy,
though no demos was as experienced in countering the power of wealth,
and exploiting it for its own benefit, as the Athenian; but it was probably
well under way when Roman power greatly increased its momentum."
Attempts to improve conditions for ordinary citizens go as far back as
colonization: those who could not support themselves gained new land,
either in colonies or (a factor not ofien noted) from the plots which
colonists left behind. Solon’s seisacheheia is another early attempt to
improve conditions for members of the citizen community. The main
beneficiaries were the hectemors; whatever they were, their relationshipTHE ECONOMIC ROLE OF THE GREEK CITY 163
with those to whom they owed a sixth of their produce was economic at
least in the sense that it affected their ability to support themselves.
Solon cut the ties by cancelling the obligations without recompense to
the stronger party: a remarkably early case of intervention in favour of
the weak against the strong. It was once fashionable to identify the
problems of hectemors as economic too, since they could not support
themselves on their plots; but that view is now most unlikely. Their
obligations were probably social or political in origin - though naturally
they had serious economic consequences.
Something of an economic meal was once made of some of Solon’s
other legislation. He offered citizenship to foreigners who settled in
Athens and practised a craft, and absolved Athenian sons from the
obligation to look after their fathers in their old age if they had failed to
teach them a craft; and he forbade the export of all agricultural produce
but olives and their oil. These measures might be interpreted as an
attempt to alter the character of the economy: he saw that the land could
not support its population, and tried to encourage a switch to the
cultivation of olives as an export crop, and the development of crafts,
to support those whose plots were too small. If true, these interpretations
would make Solon unique in his attempts at economic direction; but
they are extremely unlikely. Solon probably did not think Attica
incapable of supporting its population: it was only in the fifth century
that the territory became unable, in average years, to feed its inhabit-
ants. The formulation of the rule does not imply that the export of
olives and their produce was encouraged, but rather that other exports
were prohibited: Solon frowned on the sale of Attic produce abroad
when Attic mouths remained hungry. It was an intervention in the
economy, but its purpose was again political: protection of the weak
against the strong.
‘When properly interpreted, the legislation of Solon fits precisely with
much other economic intervention. It protected the interests of con-
sumers in a community of citizens, to prevent what was inappropriate
exploitation by producers: it was control of private greed in the public
interest. Most other interventions can be similarly interpreted: the
encouragement of cereal imports to Athens, or the law regulating the
sale of wood at Delos, were again intended to give consumers ~ that is,
the citizen body ~ all the advantages the city could devise. What we do
not find is attempts to encourage economic activity to provide new
earning opportunities.
‘Some possibilities might be canvassed: none is persuasive. Peisistratus168 THE ECONOMIC ROLE OF THE GREEK CITY
‘made loans to the poor for their work, so that they could support
themselves by farming’ (Arh. Pol. 16.2); but the purpose is doubtful. It
has been suggested that the intention was to enable them to survive while
they switched from cereals to olives or vines,“° but that is unlikely. It
depends to some extent on a false view of Solon’s legislation concerning
olive exports, and implies highly improbable reliance by peasants on
cash crops. The loans were probably not intended to change the pattern
of land use, but to help temporarily in making ends meet; they were not
necessarily widespread. It is (hardly reliably) reported that Peisistratus
supplied those who were idling in the agora with ploughing teams and
seed (Ael. Var. Hist. 9.25); perhaps he lent them. Loans were crucial to
Athenian commercial activity; but they were always private. Special
arrangements were made in the courts for the convenience of those who
engaged in commerce,®” but that was the extent of public encourage-
ment ~ and it was closely related to cereal imports.
City loans are often found in the Hellenistic period, but they were not
to encourage economic activity: rather, they generated income in the
form of interest. One fund, the interest from which financed cereal
imports, might also be used to lend to merchants to import cereals.
Such loans may have been imposed compulsorily on the wealthy,
though I know of no evidence which quite demonstrates that. Many
city schemes, for example Samian corn distributions, depended on
such loan interest.
Similar loans were used in Miletus and Teos to enable the city to pay
for school-teachers. Sadly, education is now an economic issue: it is
viewed, indeed it is skewed, as training for a life of work. No such
connection was made in antiquity. Hellenistic cities took an interest in
the education of their citizens: they sometimes funded prizes for good
performance.” Facilities were provided at Miletus and Teos, and
probably elsewhere, for the education of boys and sometimes girls.”
Such schemes had no economic purpose. The notion that a well-
educated citizen would be economically useful is alien: a litle learning
goes nowhere in a field. Even in Athens, where basic literacy among
citizens accompanied democracy,” the city played no role in the
teaching of reading and writing. Significantly, where it undertook
training, the purpose was military: young men served in the ephebeia
for two years from the age of 18.”
Greek cities intervened in economic matters less frequently than is
now normal; that is largely because fewer methods of intervention were
available. When cities did intervene, their purpose was broadly political,THE ECONOMIC ROLE OF THE GREEK CITY 165
and depended heavily on the nature of the régime. Democracies curbed
excessive exploitation; probably the only significant interventions by
oligarchic régimes were no doubt frequent judgements made by
oligarchic courts in the interests of the wealthy against their victims.
‘Members of oligarchies kept off the backs of the holders of wealth; in
ancient conditions, the ‘justification’ that they were also creators of
wealth was even less plausible. As always in the Greek world, politics
were primary. Economists have made many advances since the Greeks
failed to invent their discipline, but in this respect little has changed:
when states (that is ~ unlike in Athens ~ when governments) determine
economic policy, politics remain primary.
NOTES
1. Im is fis form this paper was piven ata conference at Delphi in September 1994 which
was supported by the John Hicks Foundation and organized by Dr A. Courakis Tam very
fateful to him for his invitation to explore the economic role of the Greek city for (among
fthes) economists; I hope thatthe explanations of some base features ofthe Word of the Greek
‘iy remain appropriate in the new location. Iam very gratefl to al those who commented, and
‘specally to Robin Osborne. Inthe longer tem, I owe an enormous debt eo Malcolm Ercington,
‘who frst guided my ignorant atempts to explore the Hellenistic city. All remaining erors are
mine alone
"2. Mluminated especially by T. Gallant, Risk and Suruval in Ancient Grece (London, 1991)
3. MIL Finley, The Ancient Economy (London and Berkeley, 1983), 156.
4 Lys, 24 ised the speaker to exaggerate the number who would have suffered from the
proposal. The citizen population, even in this period of extreme difficulty, is unlikely to have
been less than 20,000 (belo p 151)
5. R Osborne, Chiron 18 (1988), 270-323,
6. L. Foxhall, Secking the Ancient Econom: Olive Cultivation in Anciont Grece (Oxford,
forthcoming), Ch. 2
"7D. Ridgway, The Fist Wester Greeks (Cambridge, 1992); cf, R. Osbome, Grece in the
Making 1200479 B.C. (London and New York, 1996), 114-1
‘3. CE, however, Osborne, op. ct. (7), 8-15.
9. A.J. Graham, “The Colonial Expantion of Greece’, in CAH” ii3 (Cambridge, 1982),
83.162
10. R. Lane Fox in P. Cardedge and F, D. Harvey (ed), Gna: Esays presented 10 GB.
de Sie Cro on his 75th biahday Cexeter, 1985), 208-32.
IL. $. Hodkinson, CQ 36 (1986), 378-406.
12. P. Garnses, Famine and Food Supply in the Graze Roman World (Cambridge, 1988),
aves figures for the proportion of inhabitants of AMtica who could be fed on the cereal igre
S0% i for a year of normal harvest, a minimum. For argument that Gamsey may have been
‘optimist cf. M._ Whitby. “The Grain Trade of Athens in the Fourth Century B., in
HE Parkins and C. Smithy Trad, Traders andthe Ancien City (London, 1998), 102-28.
13, CE A. Burford, The Greck Tomple Builder at Epidauna: a soi and economic study of
‘ning in the Asclepion sanctuary cong the fuch and early third cenunes B.C. CLiverpoel,
1969), exp, 199-200
14. T expect to jusify these conclusions on public building elsewhere.
15 1assume a total populauon of 200,000 fo 250,000 at its highest point, before the outbreak
of the Peloponnesian War: Garnse, op. cit. (a. 12), 123,
16. Burford, op. ct (0.13)
17. PL}. Rhodes, Commentary on the Arisotelian Athenaon Poiteia (Oxford, 1981), 546,166 ‘THE ECONOMIC ROLE OF THE GREEK
TY
18, W. K Phitchet, The Grech State at War Berkeley and Los Angeles, 1974, i 3-29,
19. CE eg. Ps-Xen. th Pal. (the Old Oligareh), 13
20, Crain cases are the councils the courts, and the assembly see Ah, Pol. 27.3-4 (courts),
43 (assembly), 62.2, with Rhodes, op. cit (9.17), ad lee.
21. GEM. de Ste Croix, CQ 28 (1975), 48-52
22.1 am not persuaded by M. H. Hansen (Symbolae Osoenses $4 (1979), $-22) that
magistrates other than archons were generally unpaid in the fourth century, but there is litle
evidence; see Rhodes, op. ct (8.17), 695
23. The Athenian Democracy in the Age of Denosthens (Oxford, 1991), 315-16; whether
‘magistrates were paid in the fourth century (above, n. 22) makes lite diference wo the overall
figures.
"24 Rates of 1%, 2, 2%, and 3 de are preserved in the Heusis accounts of the period: 1G i.2*
1672, 28-30 ete, IIT ete, 28 etc, and 160 respectively.
25. Garey, 0p. eit. (@, 12) 136-7 (20,000—80,000); Whitby, op. cit, (a. 12), 108-11
(30,000 or over
26, In J. W. Rich and A. Wallace-Hadil, City and Country inthe Ancient World (Leicester
‘Nottingham Studies in Ancient Society 2: London, 1991), 11945,
27 Osborne, op it. (26), 130-1 with references
28. Osbome, op. ce. (25)
29. RH Randall, AfA $7 (1953), 199-210, especially tbles 1 and 2; the Figures fr slaves
may be somewhat skewed by the exceptional Simias: a metic mason who worked with five of his
‘own slaves
30. There suppor forthe conchsion from Corinth, Some building was undertaken there by
the oligarchic régime which succeeded the tyrant, but all the large projects replaced temples
‘which had been burnt they were not new (Salmon, Weal Corinth (Oxford, 1984), 180-1).
31. Salmon, op. it (R30), 133-4, 135-9; onthe dls, G. Raepsuet and E. Tolley, BCH
117 (1993), 233-61
32. R. Gatland, The Piraeus (London, 1987)
433. RE Wychevkey, How the Grass Bull Cities (London, 1949), $0-86; more specifically,
J.J, Coulton, The Grek Siaa Oxford, 1978).
34 CER. M. Cook, HS 89 (1978), 153-3
35. Poi. 1321 b 12-13; we should not conclude that this was in Aristote’'s view the most
lmportnt function performed by magistrates, another list in Book 4 (1299 b 16-18) gies it
‘much les emphasis
'36. A range of examples from Athens dlusuated: J. M. Camp, The Athenian Agora (London,
1986), 126-8
37M. M. Austin, The Hellmisic World from Alexander tothe Roman Conquest (Cambridge,
1981), no. 216
438. Aihenian cours cannot be discussed here, but they gave public opinion real power
without subjecting itt legal niceties Ido not doubt thatthe capacity of jures t punish gave
‘hem a Signiicanly greater conuol over the dite than (for example) public opinion can now
‘evercige over ‘fat eats" or mulinaional companies.
"39. That wil be less striking, but stil signitiant, if Garnsey argues correctly (op. ct (a. 12),
141) thatthe inerease was a recent development when Ath. Pol was writen, inthe 32,
140. S.C. Todd, The Shape of Athenian Lae (Oxford, 1993), 316-20, with references
41. Op. ce (a. 12), 158
42) See de works ced in n. 12
43. Garnsey, op cit (2.12), 137-425 Whitby, op. cit. (n 12), 118-27
4H. Necessities other than cereals may have been alternatives; but if so the evidence is
insufficient o identify what they were: Dem. 35.51 (of. Todd, op. ct. (3.40), 321 with n. 8).
145. Garnsey, op. cit (8.12), 125-6, 189
446. HL Engelmann and R. Metkebach, Die chr con Eryhval und Klazomonai (Bons,
1972), inno. TS.
'47."Ausin, op- Git. (. 37), no. 108,
48. eg. Austin, op. cit (37), no. 40.
4. Ain, op tt. (n 37}, 0 112
50. Cf Austin, op. Gt (0.37), nos. 13-18,‘THE ECONOMIC ROLE OF THE GREEK
Ty 167
SL. Austin, op. cit. (0. 37), 0.116.
52, R. Meigas, Tees and Timber in she Ancient Medierancan World (Oxford, 1982).
53, Finley. op cit (n. 3), 164,
54, M.N. Toad Selection of Grek Historical Inscriptions is Prom 403 to 423 B.C. (Osford,
1948), no. 162
135. The implications of the Old Oligarch, Ps-Xen. 2.11-12 are similar ~ in @ period when
‘Athenian power was fr greater. It may be significant thatthe Cean muddle (above, m.S4) was (0
be exported to Athens in ‘a ship which the Athenians designate” (ines 12-13, 30-1), not
secessariy in an Athenian ship
36. 8. Mele, dns Eeoomic Thought (Oxford, 1998); note 197, n. 31: [my te
admittedly an ed one for book which argues that Arstode did no economic thought, But its
handy"
57, 1280 6 17-235 of. Meikle, op. cit (n. 56), 75
58. Note that this is not necessarily evidence for the practice of Greck cites: Aristode is
suggesting what in his view they ought to-do inorder to maintain a stable democracy, and may
pot be reporting What they actualy did
59. Cl. G. E. M. de Ste. Croix, The Clas Sige in the Ancient Grock World (London,
1981), 287-8
60, Especially J. Ober, Mats and Ete in Democratic Athens (Princeton, 1989).
G61. P. Garey and 1 Mors, in P. Halstead and J. O'Shea (eds), Bad Year Beonomics
(Cambria, 1989), 98-108.
De Ste Cro, op. ct (n. 59), 300-6,
5. may, Barb Gree chanden, 1993), 181-200; Osborne opt (0.7). 217-28
64. Garnsey, op. et (a. 12), 107-18,
665. Garnsey and Morn, op cit (a. 61)
66. Accepted by Rhodes, op-cit. (0. 17), 24-15,
67, Todd, op, et (40), 334-6,
668. Austin, op eit(n. 37}, no. 116
68. Above, a 5.
70. eg. SIG? 960; CIG 3088,
7. Austin, op. cit. (9.37), os, 119-20.
72. For carefull nuanced conclusions, see R, ‘Thomas, Oral Tradion and Writ Recrd i
Chased Athens (Cambridge, 1989), 30-1
73. ih. Po. 42, with Rhodes, op. ct (n, 17) ad toes P. Cardedge in L. Foxhall and
J. Saimon, When Mn Ware Men: Masculinity, Power and Identity in Clascal Antiquity (London
and New York, 1998), 67.29.