17
Institutional transformation.
§
Like the 13
th
century, the
16
th
century was a period
of rising population and
increasing land rents.
§
But this time Europe
responded with an
institutional innovation
that led to continual
increases in productivity.
Pieter Bruegel the Elder,
The Harvesters
(1565 )
Metropolitan Museum of Art, New York
A more developed market economy.
Why?
