The Social Background of Prussian Inventors and Entrepreneurs during the First Industrial Revolution

• Published in: Zeitschrift für Unternehmensgeschichte 2021-03, Vol.66 (1), p.1-41
• Main Authors: Donges, Alexander, Selgert, Felix
• Format: Article
• Language: English
• Subjects: 19th century; Dependency; Entrepreneurs; Entrepreneurship; Geography; Human capital; Industrial Revolution; Informal education; Innovation; Innovations; Inventions; Inventors; N13; N43; O14; O33; O34; Patenting; Social background; Social mobility; Time use
• ISSN: 0342-2852; 2367-2293
• DOI: 10.1515/zug-2019-0030

In this paper, we study the social background of Prussian inventors in the mid-19 century, using biographical information for over 1,500 individuals that filed a patent in Prussia. There are four major findings. First, there is evidence for broadly based inventive activity, including a large number of inventors from middle- and lower-class backgrounds. Second, concerning the role of human capital, we argue that a combination of formal and informal education was crucial for the generation of innovation, though the importance of formal education increased over time. Third, we provide evidence that inventive activity fostered social mobility. Many inventors founded companies after they had filed a patent, suggesting that they could exploit their inventions commercially. Fourth, we show that inventors were highly mobile. Inventors migrated to the commercial centers of Prussia, in particular to Berlin and to the booming cities of the Rhine Province. In this regard, migration of highly skilled individuals may provide an explanation for the strong path-dependency that we observe when studying the geography of innovation and patenting.