Week 2: Economics

The Barcelona exposition of 1888 was planned and took place in the depths of an economic crisis that hit Europe at the start of the decade, precipitated by plummeting grain prices. Albert Carreras writes in "La coyuntura económica de 1888," reproduced in the Libro del centenario, published for the exposition's hundredth anniversary: "The crisis consisted of the arrival to European shores of massive and growing quantities of wheat at prices dropping lower and lower. Wheat—and other cereals, foodstuffs, and raw materials—came from overseas: America (North and South), Australia, India, and even Russia. The rapid reduction in transportation costs as a result of revolutionary improvements in maritime transport . . . and in ground transport . . . profoundly rearranged the global agricultural markets, especially in wheat." [1] This crisis had been predicted by a prescient few as early as 1876, and a poor harvest in 1879 further raised fears, but the crisis did not hit until 1882-3. Spain, a major exporter of grains and other agricultural products, was hit hard.

It was in this economic climate that in 1885, Enrique Serrano de Casanova, who had represented Spain in previous international expositions abroad, went to Barcelona's Ajuntament (City Hall) to request its support and collaboration in realizing a international exposition in Barcelona. [2] The purpose was to celebrate and showcase Barcelona's and Catalonia's industrial prowess and to elevate Barcelona to the level of international renown that such growth deserved. In Camins Utòpics, Mei Vidal and Ferran Aisa describe Barcelona's recent industrial explosion: "In Catalonia, in the final third of the nineteenth century, a process of modernization far superior to that of the rest of the Spanish state had been implemented. The strong differences ranged from the economic field to the social, the cultural, and the political. Catalonia's modernity signaled a step toward a society of full-on capitalist development, similar to that already in place in the majority of western European nations . . . The chief difference between the Catalan economy and that of the rest of the state was that during the second half of the nineteenth century, industry became the dominant engine of society, while the rest of Spain was essentially rural." [3] Alejandro Sánchez writes, "Between 1888 and 1929, Barcelona placed its bets on modernity, or (essentially the same thing) on full integration into advanced Europe. Barcelona had the conditions for achieving this and plenty of reasons to desire it. Insert into a country as economically lagging and as socially and politically backward as Spain the city's own role as an industrial metropolis and as capital of a developed region, with a distinct identity of its own, and the desire to open itself up to Europe and to project itself internationally becomes clear . . . The Universal Expositions, true showcases where Barcelona tried to show the world the material gains it had achieved, were the vehicle used to realize this." [4] Serrano believed Barcelona merited an opportunity to celebrate its industrial growth and show it off to the world, and he believed that the rapidly rising Catalan bourgeois industrial class would agree. Indeed, Sánchez continues, "The dream of the so-called 'good families' was to convert their city into a grand bourgeois metropolis, homologous to the European standard. Because of this, they pushed for the Universal Expositions." [5]

At first, the Ajuntament was fully behind Serrano and authorized a modest financial contribution to supplement the funds Serrano had promised to raise. [6] However, perhaps because of the economic crisis, Serrano was unable to raise the necessary capital for this essentially speculative venture, and it soon became clear that the exposition, already under construction, was heading toward ruin. According to Joan Busquets, "The passage of time demonstrated the inefficacy of Serrano's group, and one could see that the direction of the project, technical and economic, was wrong." [7] The essentially private enterprise of one man had put at risk the prestige of the city and the region.

In response, Barcelona's Mayor Francesc Rius i Taulet took action. He went to Madrid, where he appealed to the crown and the national government to provide financial assistance, as a disastrous world's fair in Barcelona would reflect poorly on the entire nation of Spain. With promises from the national government, Rius i Taulet returned to Barcelona and galvanized the new industrial bourgeois elite, raising the money to put together the exposition in a race against time. [8, 9] Against all predictions, the fair opened in the spring of 1888 with most of the buildings complete, and was hailed as a great success. "One year prior, nobody would have believed such a display was possible," Busquets writes. Barcelona had demonstrated to itself and to everyone else that it was the leading European capital its emerging classes desired." [10]

This was a truly impressive feat, as the economic crisis that had struck Europe and Spain along with it was at its worst point in 1887-1888. According to Carreras, those years saw the lowest national income since 1872. However, in the year after the fair, 1889, Spain enjoyed a 15% increase in national revenue. Carreras concludes, "Undoubtedly, the exit from the crisis years from 1883-1888 depended in large measure on the protectionist stance of the Spanish economy. However, the positive change of direction at this juncture came before the adoption of the principal protectionist measures. The creation of an atmosphere of optimism would have already favored business expectations. It was in this context that the euphoria of the Universal Exposition of Barcelona—more intense for the fact that many had predicted it to be a disaster—influenced the moment even more: it forged an atmosphere conducive to business enterprises, and it spread optimism and confidence." [11]

[1] Carreras, Albert. "La coyuntura económica de 1888." In Exposición Universal de Barcelona: Libro del centenario: 1888-1988 (Barcelona: Comisión Ciudadana para la conmemoración del Centenario de la Exposición Universal de Barcelona de Barcelona del año 1888, 1988). 414. Translation mine: "La crisis consistió en la llegada a las costas europeas de cantidades masivas y crecientes de trigo a precios cada vez más bajos. El trigo —y otros cereales, alimentos y materias primas— procedía de ultramar: América (del Norte y del Sur), Australia, la India e incluso Rusia. La rápida reducción del coste del transporte como consecuencia de las revolucionarieas mejoras introducidas en el tráfico marítimo…y en el tráfico terrestre…trastornó profundamente los mercados agrarios mundiales, especialmente los trigueros."

[2] Busquets, Joan. Barcelona: la construcción urbanística de una ciudad compacta (Barcelona: Ediciones del Serbal, 2004. 160-166.

[3] Vidal, Mei M. and Aisa, Ferran. Camins utòpics (Barcelona: Edicions de 1984, 2004). 193. Translation mine: “A Catalunya, en el darrer terç del segle XIX, s’havia experimentat un procés de modernització molt superior a la resta de l’Estat espanyol. Les fortes diferències anaven des del camp econòmic fins al social, el cultural, i el polític. La modernitat de Catalunya significava el pas cap a una societat de ple desenvolupament capitalista, semblant a la que ja s’havia implantat en la majoria de països de l’Europa occidental…La principal diferència entre l’economia catalana i la resta de l’Estat era que durant la segona meitat del segle XIX aquí la indústria va esdevenir el motor dominant de la societat, mentre que Espanya era essencialment rural.”

[4] Sánchez, Alejandro. "Manchester español, Rosa de Fuego, París del sur . . ." in Barcelona 1888-1929: Modernidad, ambición y conflictos de una ciudad soñada (Madrid: Alianza Editorial, 1994). 15-16. Translation mine: "Entre 1888 y 1929 Barcelona apostó de forma decidida por la modernidad, o lo que era lo mismo, por la integración plena en la Europa avanzada del momento. Condiciones para conseguirlo las tenía y razones para desearlo le sobraban. Inserta en un país económicamente atrasado y social y políticamente retardatario como era España, su propia supervivencia como metrópoli industrial y como capital de una región desarrollada, con identidad propia y diferenciada, pasaba por su capacidad para abrirse a Europa y proyectarse internacionalmente . . . Las Exposiciones Universales, verdaderos escaparates donde se intentaba mostrar al mundo los logros materiales alcanzados, fueron el vehículo utilizado para conseguirlo."

[5] Ibid. Translation mine: "El sueño de las llamadas «buenas familias» era convertir la ciudad en una gran metrópoli burguesa, homologable a nivel europeo. Para ello impulsaron las Exposiciones Universales."

[6] Busquets, 161.

[7] Ibid. Translation mine: ". . . el paso del tiempo demostró la ineficacia del grupo Serrano y se pudo comprobar que la orientación de este proyecto, tanto técnica como económica, era incorrecta."

[8] Grau, Ramon and López, Marina. "La Exposición Universal de 1888 en la historia de Barcelona." In Exposición Universal de Barcelona: Libro del centenario: 1888-1988 (Barcelona: Comisión Ciudadana para la conmemoración del Centenario de la Exposición Universal de Barcelona de Barcelona del año 1888, 1988). 319-320.

[9] McDonogh, Gary W. "Barcelona 1888." In Historical Dictionary of World's Fairs and Expositions, 1851-1988. Ed. John E. Findling and Kimberly D. Pelle (New York: Greenwood Press, 1990). 100.

[10] Busquets, 164. Translation mine: "Un año antes nadie podía imaginar que tal alarde fuera posible. Barcelona se había demostrado a sí misma y a los demás que era esa capital líder en Europa que las clases emergentes deseaban."

[11] Carreras, 419. Translation mine: "Indudablemente, la salida de los años de crisis que se extienden de 1883 a 1888 dependió, en buena medida, del cariz proteccionista de la economia española. Pero el cambio de orientación de la coyuntura se anticipó a la adopción de las principales medidas de este cariz. La constatación de un estado de opinión favorable ya debía favorecer las espectativas empresariales. Es en este contexto que la euforia de la Exposición Universal de Barcelona —más intensa por el hecho de lo mucho que se había pronosticado su fracaso— más debió influir en su momento: forjó un ambiente favorable a las iniciativas empresariales, difundió el optimismo y la confianza."