A History of Interest Rates

A History of Interest Rates traces the evolution of interest rates across major civilizations from ancient Mesopotamia through modern times. The book presents data and analysis on various forms of credit, including business loans, mortgages, and government borrowing. The authors examine economic, political, and social factors that influenced interest rates throughout history. Their research draws from archaeological records, financial documents, and economic texts spanning multiple continents and eras. The work incorporates hundreds of tables, charts and primary sources to document interest rate patterns and credit market development. This fourth edition updates the coverage through the early 21st century, including analysis of recent financial crises and monetary policy. The book stands as a fundamental text on the relationship between interest rates and human civilization, revealing how the cost of capital has shaped commerce, governance and social structures across millennia. Its insights remain relevant for understanding modern financial markets and monetary systems.

Readers describe this as a comprehensive reference book documenting interest rates across 4,000+ years. Many note it serves as a key resource for financial professionals and academics. Likes: - Depth of historical data and research - Clear tables and charts - Coverage of ancient civilizations through modern times - Useful for understanding long-term rate patterns Dislikes: - Dense, textbook-like writing style - Expensive price point - Some sections need updating - Can be overwhelming for casual readers As one reviewer stated: "Exhaustive but dry - like reading an encyclopedia of rates through history." Ratings: Goodreads: 4.1/5 (47 ratings) Amazon: 4.5/5 (31 reviews) Several readers noted using it as a reference rather than reading cover-to-cover. Multiple financial professionals mentioned keeping it on their desks for regular consultation. Academic reviewers highlighted its value for economic research but cautioned it may be too technical for general audiences.

A History of Money by Glyn Davies Chronicles the evolution of monetary systems from ancient times through modern financial markets with comparable depth to Homer's interest rate analysis.

The Ascent of Money by Niall Ferguson Examines financial history through the lens of credit markets, banking systems, and economic development across civilizations.

This Time Is Different by Carmen Reinhart, Kenneth Rogoff Presents eight centuries of financial crises data and analysis with focus on debt, default, and banking systems.

Against the Gods: The Remarkable Story of Risk by Peter L. Bernstein Traces the mathematical and historical development of risk management, probability, and financial decision-making through centuries.

The Death of Money by James Rickards Details the evolution of the international monetary system through analysis of currency markets, central banking, and financial warfare.

📚 The first edition of this landmark book, published in 1963, took Sidney Homer ten years to research and write, as he tracked down historical interest rate data from ancient civilizations through modern times. 💰 The book details how ancient Mesopotamian temples acted as the world's first banks, charging interest rates as high as 20% per month on loans of silver and grain around 3000 BCE. 📊 Sidney Homer worked as a bond market specialist at Salomon Brothers, where his expertise in interest rate history proved invaluable during major market shifts. 🌍 The book reveals that medieval Islamic societies developed sophisticated financial instruments while operating under religious restrictions on charging interest, creating early forms of profit-sharing agreements. 📈 Richard Sylla, who joined as co-author for later editions, is one of America's foremost financial historians and served as president of the Economic History Association.