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This is the interpretation that counts in evaluating the wealth of Asia vis-a-vis Europe. Provided low Asian income were matched up by low consumer goods prices, the typical of living of workers might have been the same at both ends of Eurasia even though Asian manufacturers got a competitive advantage in the textile industry. Allen notes that it’s necessary to make a number of adjustments to be able to estimate the cost of a wage container in Asia, because of large variations in diet.

Allen stipulates 143 kgs/12 months of rice for the Asian container versus 208 kgs/calendar years of a loaf of bread in the European basket. And he changes wages and prices into gold allowing assessment of prices across Europe and Asia. Here is one of Allen’s summary graphs comparing laborers’ real wages in Japan (farm), Kyoto, England (farm), Oxford, and London. The graph signifies a significant premium for laborers’ wages in London, whereas Japanese and English farm wages are similar throughout most of the period fairly. And this implies a “take-off” for London laborers’ wage from the mid-nineteenth century — not paralleled by a similar take-off in Kyoto.

The wage evaluations undertaken in this paper support a number of important conclusions about living specifications in pre-industrial Europe and Asia. First, wages expressed in grams of silver were low in China and India than in Europe. The views of the eighteenth-century observers cited by Parthasarathi are confirmed. This is important since it was the proximate reason behind Asia’s competitive benefit in textiles and luxury manufactures and was, thus, the basis for Asian-European trade in the early modern period.

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Why these differentials persisted for hundreds of years can be an important question in international and financial economics that must be addressed to clarify the dynamics of the world overall economy in this era. Second, low Asian magic wages were matched by low, Asian prices with the result that living specifications in Asia were much like those in many elements of Europe.

Farm workers in Europe and urban employees in central and southern Europe did not enjoy higher living standards than their counterparts in Asia. Third, some right elements of European countries do generate higher real wages than we find in Asia. When real wages were at their peak following a Black Death, most Europeans had a higher quality lifestyle. But this is a transitory condition for the majority of the continent.

High income persisted only in the industry centers of the northwest – London and the Low Countries generally. During the eighteenth century, the provincial towns of England were drawn in to the same high wage orbit, but agriculture was left out. This dynamic metropolitan economy was the engine of development in early modern Europe, and Asia appears to have got no counterpart.

It can be done, of course, that a more comprehensive Asian data source would disclose a parallel: the lack of information on metropolitan Chinese wages is specially troubling in this respect. However, neither Japan cities nor the administrative center of the Moghul Empire got particularly high income. The evidence available shows that Asia lacked Europe’s engine of growth.