The Aztec Economy and its Inevitable Relation to the Modern Economy
                                                                                 By Owen Morris

        It is believed that in the middle of the 13th Century a band of hunters and gathers descended South from the plains of North Mexico into the Basin of Mexico.  They eventually resided at a significant religious site where they claimed to have seen an eagle eating a snake on a cactus.  During the next few centuries this area located on two islands of Lake Texcoco developed into the largest single city in the world.  Although it is believed that cities in Europe were more complex and civilized, Tenochtitlan was an extremely complex city, and shared many similarities in its basic structure with the smaller European cities.  Many of the modes of trade and the means of production share many similarities with even the modern system of economies.  By looking at the complex societies that developed in Mesoamerica before the invasion of the Spanish in 1519 and comparing it with the economic system of modern day, it becomes obvious that complex societies form in an almost inevitable fashion.
        The first area where we will look at the similarities is that of trade.  In the Aztec empire there were three types of merchants: "guild-organized Professionals" (Berdan 1986), regional, and small-scale producers.  The first type of merchant was also considered to be an important political figure.  These pochtecas, as they were called, mainly dealt with more luxurious items.  Most of their trade was in low bulk and high value, like jade, animal skins, shells, and feathers.  This was because their travel was often very perilous.  They were often secured with the help of a large number of soldiers.  These merchants played a large role in the political relations with the areas that they traded with and for this reason they were treated fairly nicely.  They were clearly wealthier than the others, but they were not allowed to show their wealth unless it was a time of celebration in which they would be able to host lavish parties and wear nicer clothing.  They were also in charge of the guilds.  It is believed that many of these merchants were trusted with carrying special state gifts that were then traded with other merchants of another ruler.  (Berdan 1986) These merchants were not quite nobles but they lived a comparatively luxurious life.  The regional merchants mainly dealt with the trade of maize, cotton, bowls, turkeys, salt, and other such items.  They worked independently, unlike the pochtecas, and they did not have much political importance.  They did not trade at great distances, but it was easier for them to move their wares in and out of city-states and empires because they did not have any political importance.  The small-scale producers mainly concentrated on the sale of products that they themselves produced and did not transport their goods or sell in bulk.  These smaller producers made it possible for the other merchants to maintain their trade successfully.
        In the modern day there are many similarities and few differences.  There are clearly different levels of traders.  The example of an airplane producer, like Boeing, will represent the modern-day pochtecas, the regional merchants will be a toy manufacturer, and the small-scale producers will be the farmers.   Although there are many differences in terms of scale the similarities are abundant.  A company like Boeing plays a very important role for the economy and the political situation with other nations.  Not only do they increase the amount of jobs and money that the country may make, but they also allow for nations to keep good relations.  If an U.S. company does good business with a foreign company, like one in France, then the people and the government of France will generally have more favorable attitudes with the U.S.  This is even more logical when you look at the reverse side.  If the company does not produce a good product for the price then the other country will not be as happy with that nation.  Thus, many large international companies play a large role in the government in modern society.  There is not quite as much individual attention that a government will play in trade as there were in the Aztec culture, but they are important in the overall relations with other countries.  A toy manufacturer would be a good example of a regional merchant because they are a considerable amount smaller and do not do as much business outside of the country.  Farmers represent the level of merchants that allow for the concentration of labor and capital in other markets.   Farmers produce the surplus of subsistence goods that are essential for these other merchants to produce their goods.  It is also important to note that farmers are not quite as wealthy individually as might be a Chief Executive Officer of a company like Boeing.  This was one of the most important traits of the small-scale merchants in the Aztec culture and it is clear that they play a similar role in modern society.
        Although one may think of many obvious differences between the Aztec world and modern society, the basic ideas are the same.  Both worlds have different tiers of merchants that play the same role.  This is proof that the structures of society inevitably evolve in a general direction to different tiered merchants that allow for the society to function.  In each society those that were born into families of greater wealth had greater influence when they became older, and those that did not continued with their role in society.
        Population growth on earth has been steadily increasing during the last couple centuries.  It is believed that near the end of the 15th century there were over one million people living in the Basin of Mexico.  That is a large increase in population from the 175,000 people in the Early Aztec phase.  This population growth is attributed to a number of factors.  During the Middle Postclassic period there was a large amount of expansion and colonization, thus there was a large amount of land that needed to be developed.  This may have led to an increase in population due to the greater demand for labor.  The population would easily be supported because much of the new labor was dedicated to the production of food.  (Smith and Hodge 1991)  Another possibility is that there was political instability in the Basin of Mexico during the Middle Postclassic period, so the rulers were looking for greater agricultural production and they wanted to increase the size of their armies.  (Smith and Hodge 1991)
        Currently the world is experiencing a large increase in the population.  This has many similarities between the first reason for population increase in the Aztec Empire, colonization and expansion.  The expansion that is occurring in the world currently is an expansion of technology that has caused the efficiency of producers to rise dramatically.  This has helped the people produce more food on less land and support a larger population.  The political instability that may have a large population growth in the Late Postclassic period can be compared to the Soviet Union after World War II.  After losing more than 20 million people and most of them being men during World War II the Soviet population was greatly lacking sufficient number of people to maintain their current population and support their economy.  Thus the government encouraged women to bear many children and gave them many maternity benefits.  (Hoskings 1985)  Although this did not lead to a great population increase, it is clear that these two governments may have used the same tactics in trying to increase their population to help maintain the stability of their land.
        Despite the fact that these comparisons may have many differences they have many more similarities.  There are also many other reasons for population expansion that were not discussed.  But in the specific case of the Aztecs, the population growth that they experienced was due to these reasons and they share many similarities to other civilizations in modern society that have needed population growth.
        Aztecs also shared many similarities with modern society in its use of credit.  In the pre-Columbian Period in the Aztec world people would often ask their neighbors to help them in meeting the requirements for food production.  The neighbor would then help, but they would soon expect that this neighbor would return the favor and help them. (Foster 1982)  If they did not then they would not receive help from that neighbor and other members of their village.  This is very similar to the modern use of credit.  One can establish good credit by repaying the credit card companies and if they do not do so, then they will establish bad credit and the original credit card Company will inform the other credit card companies that they do not have a good credit history.  Both of these practices played important parts in their respective economies.  It is probable that credit has been used in nearly all complex societies, because it seems inevitable that one may fall behind and then need the immediate help that they are expected to pay back in the future.
        The development of trade and trade relations has always been a very tricky matter.  In recent observations of the Early Aztec Period it has become apparent that there did not seem to be a widespread integrative market.  This was based off of observations of Black/Orange type ceramics of this period made by Minc, Hodge, and Blackman.  There does not seem to be any reason why this occurred, because there was one type of ceramic that was found throughout these areas, that of Calhuacan.  The explanations for this must either be that the Toltec heritage that was very profound in Aztec culture was especially prevalent in the Culhuacan ceramics.  Political stability in this area is another possible explanation.  The bottom line is that there was a system of smaller spatially corresponding markets of allied city-states.  It is then documented that there was "a highly organized and regulated tribute/trade market system for Late Postclassic Aztec society" (Charlton 1994).  If the original reason for the separation of the markets, the political instability, were to have changed then it would have been increased relations between these different areas.
        In modern society it is important to note that we do not have a widespread integrative market.  For the most part most nations will trade with other nations where it is desired; however, there are also situations like that of the United States and Cuba.  Political rivalries has caused the United States to embargo Cuba, hence there has been no trade with Cuba since the late 1950s.  Throughout the world there are many countries that do not trade because of the political situation in these nations.  Switzerland may be compared to Culhuacan products because Swiss products are traded practically everywhere.  This is because of their political neutrality.  It is an inevitable fact that political relations will play a large role in the trade between different areas, and it is seen in these two different eras.
       The next area of interest is agriculture and irrigation.  Irrigation systems have clearly existed in the Basin of Mexico long before the Aztecs had settled in Tenochtitlan.  There is some direct evidence that there was a period in which the irrigation system’s size increased dramatically and that it had an almost direct correspondence to an increase in population and greater tribute demand of the nobles.  A great deal of the irrigation system was probably also carried out under the direction of the state.  Clearly irrigation occurs in practically every modern day society.  Irrigation supplies farmers with sufficient water that allows them to produce their products and feed enormous cities.  In many countries the irrigation systems are owned privately and in some they are owned by the state.  Irrigation is one of the most important factors in complex societies, because it helps the people be fed.  Thus, it is inevitable in the development of any complex society that there would be a large irrigation system.
       Another part of the economy that is present in practically all economies is that of tribute.  The Aztec system of tribute was more complex than it is in modern society.  Much of the military expansion was due to the desire to conquer other city-states and collect tribute.  Michael Smith writes that there were four different levels of tribute in society.  The first was the tribute that was collected by the Triple Alliance during the invasion of the Spaniards.  This is the best-documented evidence of tribute being paid.  Much of the tribute was paid in clothing, grain, and even warriors.  The second type is that paid by dependent-states to conquest-states.   Most of these would be paid in textiles.  The tributes received were part of the reason that many of these city-states would try to conquer other territories.  The third level of tribute paid would be that of the nobles to their local rulers.   There is less information about this tribute being paid, but it is clear that they did in fact pay considerable amounts to their superiors.  The final level of tribute was that of the commoners to support their local nobles.  This included food, cotton, and labor of agriculture and textiles.  Most of these taxes were eventually passed on to the local rulers; however, some of the tribute paid did in fact go directly towards the noble and his household.  Essentially the "four levels of tribute in Late Postclassic Aztec society constituted a single integrated hierarchical system" (Smith 1990) that eventually reached Tenochtitlan.
        When compared to the modern system of taxation in the United States it is quite different.  The territory that the United States has conquered or helped to liberate is not asked to pay any sort of tribute to them.  Although there may be many indirect benefits of such an act, they do not collect a tax.  In fact, after World War II the United States invested much money into the economies of Western Europe.  Although the United States did not employ such tactics, the Soviet Union after World War II did collect reparations from the Germans, however, this was a more isolated case during the last fifty years of this sort of taxation.  Another difference is that in modern society nobles do not collect from the commoners and give to the rulers, rather the IRS collects from all classes of people.  In the United States currently those that make more money must pay a higher percentage to the government than those that do not make much money.  In the Aztec system those that were not wealthy often had to pay tribute with labor and possibly serfdom, which is clearly a lot worse than a small percentage of your earnings going towards your ruler.  Despite these differences in the method of taxation the basic component of taxation as playing a key role in the economy of a complex society is the same.  It is inevitable that any complex society would have some sort of taxation system with those that ruled as collecting the tribute.  In fact it would be almost impossible for any society to exist without because then there would probably be not source of defense for the society.
        Throughout this paper the aspects of the Aztec economy that have been discussed are trade, credit, irrigation, and the tribute/taxation system.  In all of these cases there have been some major similarities that have been noted in comparison to modern society.  While there have also been some clear differences, the bottom line is that the basic concepts of the system were the same.  For example the tribute and taxation system in Aztec society was clearly the topic that had the most differences to modern society.  Their social structure had a greater importance in the Aztec society in the determination of taxation than it does in modern society.  Despite these differences there was an obvious system in which the Aztec members of society helped to increase the power of their government.
        What this comparison has shown is that in the economy of complex societies certain aspects inevitably do exist.  It seems almost impossible to have a large society with almost 400,000 people, in the case of Tenochtitlan, and not to have a system of irrigation that will allow a large broader market to exist.  Clearly large amounts of agricultural products can be produced in modern society for if they did not then it would be impossible to have cities of such enormous size.  Trade is another aspect of the economy that is essential.  Directly relating to irrigation and agriculture, trade allows for there to be a level of specialization, which allow for there to be an increased specialization of labor.
        Obviously, the modern economy is on a much larger scale than the Aztecs of Tenochtitlan, leading to some considerable differences.  What is apparent, however, is that the economies share some basic fundamental traits that must be shared by all economies of complex societies for them to be successful.
 
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