INSERT ALLEN STATS. In England, Simpson posits that efficiency was brought by a tight labor market and low barriers to trade within the country(Simpson, 84-5). Because so much English labor was drawn to London, there was little extra labor in agriculture districts, and they were employed on a consistent annual basis. This contrasts with the situation in southern europe, where no similar urban labor demand existed, so lots of slack labor stayed in agricultural districts. This caused farm labor to be employed per task or day. Though this model created competition in the labor market, it encouraged farmers to only hire workers when needed for essential tasks, as opposed to English farmers, who could use laborers during off peak times for capital improvements to their facilities. Annual employment also created long term incentives for loyalty and hard work to employers, as opposed to laborers paid by the day (Simpson, 80). Further, the development of urban markets for agricultural goods, especially London, gave farmers access to major concentrations of consumers, decreasing transport and transaction costs. Urban demand also brought about the concentration of high wealth individuals, encouraging specialization in more expensive goods, bringing them into a more competitive market (Simpson,
INSERT ALLEN STATS. In England, Simpson posits that efficiency was brought by a tight labor market and low barriers to trade within the country(Simpson, 84-5). Because so much English labor was drawn to London, there was little extra labor in agriculture districts, and they were employed on a consistent annual basis. This contrasts with the situation in southern europe, where no similar urban labor demand existed, so lots of slack labor stayed in agricultural districts. This caused farm labor to be employed per task or day. Though this model created competition in the labor market, it encouraged farmers to only hire workers when needed for essential tasks, as opposed to English farmers, who could use laborers during off peak times for capital improvements to their facilities. Annual employment also created long term incentives for loyalty and hard work to employers, as opposed to laborers paid by the day (Simpson, 80). Further, the development of urban markets for agricultural goods, especially London, gave farmers access to major concentrations of consumers, decreasing transport and transaction costs. Urban demand also brought about the concentration of high wealth individuals, encouraging specialization in more expensive goods, bringing them into a more competitive market (Simpson,