Ibiza and the introduction of capitalism in the Mediterranean: from agrarian self-consumption to full market dependence, 1857–1935

Abstract

In the second half of the nineteenth century, the primary sector expanded in Ibiza as in other Mediterranean regions. However, it also overcame the protectionist crisis at the end of that century and fully integrated into the international trade channels that emerged in the twentieth century. Within a few years, the island’s economy became fully dependent on foreign markets, as feeding the population and generating agricultural products overwhelmingly required external foodstuffs and inputs. The growth of the primary sector substantially improved the living conditions of Ibiza residents and incentivized the growth of associated sectors, including commerce and a merchant navy. It also permitted the accumulation of financial, human, and social capital that paved the way for Ibiza to become a leading international tourism destination in the 1930s.