Borrowing in a pre-industrial city: financial behaviour and economic rationality in eighteenth-century Venice

Abstract In early modern Venice, credit was ubiquitous, with various lenders offering long- and short- term loans. This article traces the structure of the Venetian credit market in the eighteenth century and examines the borrowing opportunities available to the local population, focusing in particular on consumer credit. The research studies how people approached credit in a pre-industrial society, and what factors may have shaped the ways through which they accessed borrowing. More broadly, how did Venetian households cope with uncertainty? Was the local credit market able to offer borrowers multiple, equally viable options? The article explores the interaction between the supply and demand for credit, emphasising the organised nature of the Venetian market. Ultimately, it argues that even loans that appeared to have unfavourable conditions could, in practice, be quite attractive to borrowers.