Palestinian Economy: Ottoman Era Trends (1516-1918)


Figure 1.--Many in the Arab world, and not just the Islamists, are prone to blame the West and or th Jews for problems in Palestine and the wider Arab world. The problem with this line of thought is that Western control and influence in the region has been fairly recent and brief and in many cases superficial. Palestine was only in British hands, as an example, for only 30 years (1918-48). This is a scene at a Jerusalem market before the arrival of the British.

The question arises as to the economic status of Palesinians under Ottoman rule. We have noted references to the people being very poor. This seems to have been the general situation for Arabs living within the Ottoman Empire. And by all account it seems to be a fair statement. A major factor here is that under Ottoman rule, trade with the West was impeded. Arab economies were based on agriculture and trade and not manufacturing and creation of products. The Ottoman conquest not only impaired trde and thus the economies in Arab areas, but caused the West to begin its maratime outreach. Another factor was Islam which impeded movements like thge Renaisance, Reformarion, and Enlightenment and all that flowed from them. And this would have been the case in Muslim territiries within or without the Ottoman Empire. We do not have any detailed information such as actual income levels. Nor do we know how economic conditions varied during the nearly four centuries of Ottoman rule. This is of interest because the Israelis contend that Jewish immigration was a factor in brining prosperity to Palestine while the Arabs complain that the Jews have exploited Palestinians. Not do we know how the Palesinians compared to other Arab populations inside and beyond the Ottoman Empire. These are all important questions. Many in the Arab world, and not just the Islamists, are prone to blame the West and or th Jews for problems in Palestine and the wider Arab world. The problem with this line of thought is that Western control and influence in the region has been fairly recent and brief and in many cases superficial. Palestine was only in British hands, for example for 30 years (1918-48). The same short European era was also true for other countries in the region (Iraq, Jordan, Lebanon, Syria, and Libya). For other countries the period of control was somewgat longer (Algeria, Egypt, Morocco, and Tunisia). It was the Ottomans who controlled the Arab countries for an extended period. Even so, at the time of independence following World war II, most of the modrn infrastructure in each of the arab countries came during the brief Europen era.

Endemic Poverty

The question arises as to the economic status of Palesinians under Ottoman rule. We have noted references to the people being very poor. This seems to have been the general situation for Arabs living within the Ottoman Empire. And by all account it seems to be a fair statement. A major factor here is that under Ottoman rule, trade and connectins with the West was impeded. Arab economies were based on agriculture and trade and not manufacturing and creation of products. And isolation from the West meant thst there was little change over time.

Trade

Trade was important because the Ottoman Empire including the Arab Lands stood between the East (China, India, and the Spice Island). The Ottoman conquest of the Aeab lands began with offensives in Mesopotamia (1514) and the defeat of the Mamaluk Sulyanate in Syria, Palestine, and EGypt (1516-17). Furrther offensives gained comntrol of the entire Arab world. The Ottomans sinnce they seized control of Anatolia (13th century) controlled the wesrern terminus of the Silk Road and trade with China an famulous economic asset. Comquering the Arab lands meant that they also controlled European access to China as well as India and the Spice Islands. They profitably greatly by controling European access to all the fambulos products that the Europens wanted (silk porceslin, spices, and much else). These were not products the Ottomans or Arabs created, they were goods created in the East that tthe Europeans wanted. And he quickening European economies as Europe began emerging from the medieval era, meant that Europe had more ability to purchse these goods. It was a majir part of the economy of the Ottoman Empire and the Arab lands.

Euroean Maritime Expansion

The Ottoman conquest not only impaired trde and thus the economies in Arab areas, but caused the West to begin its maratime outreach. The income from the transit of goods from China, India and the Spice Islands was important for the Ottoman economy and ability to finance large aemies. But it also meant that that the good were much more expensive than if the Europeans were able to trade direcrly with the East. In addition it meant the Europeans were essentially financing Ottoman military campaigns trying to conquer Europe. This was the impulse that led the Europeans to launch mariime expeditions to reach the East. When Bartholomew Diaz rounded the southern tip of fria (1488). This would opened up a major shift in economic and politica power from the eastern Mediterrnean to Western Europe.

Economic Impact on the Arabs of the European Maritime Epansiomn

As a result of the maritime trade which developed the Ottoman Emoire and the Arab lands became a backwater as Europe began its rise to world prominence. The Arab poirts on the Indian Ocean (Arabian Sea) and the Mediterranean lost their primary source of income and wealth and went into a long period of dcline. European merchants simply sailed around the Arab lands as traded directly with the East. Trade with the East expanded exponentially.

Islam

Another factor in the economic decline of the Arabs was Islam. Islam which impeded movements like the Renaisance, Reformarion, and Enlightenment and all that flowed from them. Thhis uinclude a range of cultural, econmomic, and political impacts. And this would have been the case in Muslim territories within or without the Ottoman Empire.

Economic Data

We do not have any detailed information such as actual income levels. Such data of course is a modern phnomenon.

Arabs and the West

The ecinomic health of the Arab lands is of interest because the Israelis contend that Jewish immigration was a factor in brining prosperity to Palestine while the Arabs complain that the Jews have exploited Palestinians. e do mnot have any Not do we know how the Palesinians compared to other Arab populations inside and beyond the Ottoman Empire. These are all important questions. Many in the Arab world, and not just the Islamists, are prone to blame the West and or the Jews for problems in Palestine and the wider Arab world. The problem with this line of thought is that Western control and influence in the region has been fairly recent and brief and in many cases superficial. Palestine was only in British hands, for example for 30 years (1918-48). The same short European era was also true for other countries in the region (Iraq, Jordan, Lebanon, Syria, and Libya). For other countries the period of control was somewgat longer (Algeria, Egypt, Morocco, and Tunisia). It was the Ottomans who controlled the Arab countries for an extended period. Even so, at the time of independence following World War II, most of the modern infrastructure in each of the Arab countries came during the brief Europen era. And during the Europeanb era, techology, infrsructure and incomes increased.

19th Century

The situation in Palestine began to change in the 19th century. Several factors were at play at the impacts are not altogther clear to us. Some affected Palestine directly bnd others the Middle East in general. 1) Orientalism: Napooleoinic Bonaopart launched a military campaign in Egypt leasing to actions along the coast of Palestine. As part of the activity the Rosetta Stone was discovered and Egyptian hieroglyphics unraveled. This lead to an increased interest in both ancuent Egypt and the Islamic Middle East. 2) Ottoman decline: The Industrial Revolution significantly changed the bower balance in the easter mediterannean. In particular, the Tsarist Empire which wanted a warm water port began to conquer large areas of Ottoman Territory. The Empire which came to be called the 'Sick man of Europe' might have disappeared altogether had not the European powers not disagreed on its partition. In particular Britain becoiming involved in the Great Game, did not want Tsarist Russia to have a warm water port. This manifested itself in the Crimean War (1854-56). The needed support meant that the Sultan had to give substantial attention to maintaining friendly relations with the European powers. Here the Capitulations took on added force. 3) Religious revival: Britain during underwent a religious revival that transformed the country from dieism to fervent Chrustinity (18th century). One of the outcomes was the abolitionist movement. Another was an increasing interest in the Biblical sites of the Holy Land, meaning basically Palestine. Concern developed not only with the holy sites, but with Arab attacks on Christians. 4) Attacks on Christians: While Islam was largely more tolerant than Christianity toward other religions, this was behinning ti vhange in the 19th century. And along with toileration there were also periodic waves of attcks on Christians and Jews. There were incidents in the Levant during the 19th century nd the Eutopean powers demanded protection for Chistians. 5) Trade routes: The Industrial Revolution expanded trade around the world. Especially important was the growing trade between Europe an India. Maritime trade had to go ariound Africa. An alternative route was a maritime route with a land leg across Suez. Eventually the Canal was built there. The location of the Suez made Palestine an important strategic position. 6) Zionist settlers: Zionist settlers establish the first Zionist colony at Peta Tikvain Palestine (1878). The Ottoman Government had no policy on Jewish settlemenbt. They announces a regulatiomn all foreign (non-Ottoman) Jews to settle throughout the Ottoman Empire, except Palestine, apparently resonding to Arab complaints. The Ottomand allow foreign Jewish businessmen and pilgrims to visit Palestine but not to settle there. Border controls were not like they are today. And officials could be bribed. Thus we see more Jewish settlements in the final decades of Ottoman rule.

As a rsult of the changing relationship between the Ottomans and Euopean powers, the activities of European merchants in the coastal towns of Palestine were tolerated with little interfearance. The Sultan saw it as vital to maintain good relations with the European Christian powers because of the looming Russian threat. Christisns and Jews were involved both as the European businessmen and as local intermediaries. The agriculture and artisanal products from the interior were exported through the ports of Acre, Gaza, and Jaffa. In addition the ages old overland trade routes between Syria and Egypt passed through Palestine. Pilgrimage routes to Mecca (from Cairo, Damascus, and other Mediterranean Arab lands) converged at the Palestinian port of Aqaba. The Europeran powers after the Naopoleonic Wars began opening consulates in Palestine both for commercial reasons and the increasing interest in the Holy Sites. And becausevof the religious interests, Catholics, Peotestants, and Greek Orthodoxs began founding missions which included schools, hospitals, printing presses, and hostels. A French company completed the construction a rail line connecting Jaffa and Jerusalem (1892). Of all the Arab lands in the Ottoman Empire Palestine was the province with the most Christian and European influences. A rare exception was the Maronite sections of Mount Lebanon. The Christian and European influence while having a positive impact on the economy and attracting Arab immigrabts from surrounding areas (modern Egypt, Jordan, Lebanon, and Syria) was not without a disquiting impact on the Arabs. And there was rising violence against non-Muslims, both in Palestine and neigboring Lebanon.







HBC







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Created: 7:53 AM 4/25/2014
Last updated: 3:44 PM 11/17/2018