Caesar & Class War

A Brief Economic History of Rome

Overview

The Roman Empire is the target of much online nostalgia these days. “How often do you think about the Roman Empire?” became a meme in the first half of 2024. But the big takeaway from Roman history is NOT that we need to embrace rugged Roman stoicism. It’s that history repeats itself. Economic exploitation ultimately led to the rise of the Emperors and the Fall of Rome. The Roman political elite, in other words, couldn’t help killing their golden goose.

The following essay is about the Roman Republic which directly preceded the Roman Empire. Economic history is nowhere to be found in the countless threads popping up on X about Rome. But an understanding of that history is our only hope of NOT repeating it. The motto of the Renaissance—with respect to Rome—was de nobis fabula narratur, which means “about us the story is told”…

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Introduction

The Caesars rose to power in Rome as the result of a bitter class struggle. Between 509 BC and 27 BC, Rome had no emperor; it was ruled primarily by the Senate. Those five centuries saw the bulk of Rome’s territorial expansion, including the confrontation with Hannibal and the conquest of Carthage. Rome’s rapid expansion during this era was built off the backs of poor farmers and soldiers, while the spoils were claimed by the aristocracy. As a result, those five centuries were also marked by constant class struggle between the optimates, the political faction who championed aristocratic rule, and the populares, who sought reforms to reduce exploitation. The conflict exploded to the point that an absolute authority was the only hope of stopping the chaos. Julius Caesar rose to power from the populare faction, and his adopted son became the first emperor in 27 BC under the name “Augustus”.

The Roman Monarchy (753 BC - 509 BC)

Roman society was ruled by kings from 753 to 509 BC. Across the Ionian Sea in Greece, rulers who seized power unconstitutionally and often opposed aristocratic interests were labeled “tyrants” by the rich. Solon of Athens set the stage for his city’s famous Golden Age by canceling debts owed to the wealthy. Periander of Corinth also created economic prosperity for his people after he was advised to cut down the highest corn stalks (in other words, to limit the political power of his wealthiest subjects). Back in Rome, the semi-mythical king Tarquin was similarly described by the Roman historian Livy as “striking off the heads of the tallest poppies”¹. But in Tarquin’s case, the aristocracy struck back. They removed him from power in 509 BC and established a strong political aversion to kingship that lasted for five centuries.

The Roman Republic (509 BC - 27 BC)

After 509 BC, a Senate populated by members of the aristocracy ruled Rome. The poor found themselves exploited so badly that they went on a massive strike only a few decades after Tarquin’s ouster. The workers of Rome literally walked out of the city, set up camp nearby, and demanded redress of their political grievances. This strike was called Secessio Plebis or “Secession of the Plebs”. Because the Senate often failed to honor their commitments, it happened several more times as the class struggle intensified.

Debt in Republican Rome

When Hannibal crossed the Alps with his elephants and rampaged up and down the Italian peninsula, it posed an existential threat to Rome. A terrified aristocracy offered up their wealth and jewelry to finance the war effort and defend their homeland. But after Hannibal’s defeat and the conquest of Carthage, they profited handsomely by claiming most of the conquered land, slaves, and booty for themselves. Historian Michael Hudson notes, “The monetary influx inspired the wealthy former contributors to Rome’s war effort to depict their earlier patriotic acts as having been loans.”² The Roman aristocracy claimed the spoils of expansion for themselves as repayment, blocking the claims of the farmers and soldiers who actually carried out that expansion.

Slavery in Republican Rome

The class struggle also involved slaves, the only economic class more exploited than the plebs. Slaves poured into Italy from conquered lands and their cheap labor collapsed the price of grain below what was required to support small farmers. Their small farms were inevitably foreclosed upon, and converted into even more slave farms. Meanwhile, the slaves themselves lived lives of misery. Many revolted. The first two major slave revolts took place on the island of Sicily. But the Third Servile War was a horrific incident; a slave-turned-gladiator named Spartacus led an army of a hundred thousand revolting slaves into direct military confrontation with the Roman Army. He had enough success against the legions to cause panic in Rome. But after Spartacus fell in battle, thousands of his followers were crucified and left to rot along the Appian Way.

Politics in Republican Rome

The class struggle ratcheted up a notch after the assassinations of the Gracchus brothers. These two held the office of “Tribune of the Plebs”, the existence of which was a concession granted by the aristocracy after the Secession of the Plebs. But when the Gracchus brothers actually attempted to use their office to advance the condition of the plebs, they were murdered in political violence instigated by the aristocracy. This example shows the aristocracy’s failure to honor its commitments, politically trapping the common people. As John F. Kennedy remarked in our own time, “Those who make peaceful revolution impossible will make violent revolution inevitable.”

Civil War in Republican Rome

The class struggle eventually ignited into a full-blown civil war. Opposing generals from rival optimate and populare factions took turns occupying Rome with their armies and conducting political purges; kill lists were posted and checked daily in public squares. Julius Caesar was one such general. He rose to power from the populare faction. But after he had himself named dictator-for-life, an aristocratic Senate accused him of violating the old political taboo on seeking kingship. They assassinated him on the Ides of March (March 15) in 44 BC. After the dust settled from Julius Caesar’s assassination, his grand-nephew and adopted son took the name Caesar Augustus and became the first emperor of Rome.

Conclusion

The Roman Republic lasted from 509 BC to 27 BC, when the Roman Empire began with the reign of Augustus. Most of Rome’s geographical expansion and many of its signature historical moments—like the conquest of Carthage and the assassination of Caesar—took place during the Republican period and predate the Roman Empire. Republican Rome failed to share the spoils of its success with the poor farmers and soldiers who actually carried out its expansion. That’s why it became an Empire with Emperors. After five centuries of social unrest and power struggle, nothing less than an all-powerful central authority could restore order. The tale of the Roman Empire is really a sequel; it’s the story of unwinding the Republican-era class struggle under the Caesars.

1. Livy, Ab Urbe Condita, Book 1, Chapter 54

2. Michael Hudson, The Collapse of Antiquity, 2023, page 246