Cockayne's Scheme

Cockayne's Scheme

1. Classic case of ill-conceived government intervention in the economy

2. William Cockayne wished to break into the lucrative Merchant Adventurers' trade in unfinished broardcloth without staking the large capital required

3. Backed up his bribes to courtiers and King with plausible arguments

4. If the finishing stages in the cloth making process were completed in England, then employment would be created and more money produced

5. Increased customs revenues if finished rather than unfinished cloth sold abroad

6. Scheme relied of false assumptions of English dominance of wool and cloth production

   • Was a high cost industry and new centres were starting up in the lower wage areas of western Europe
   • Cloth production was seasonal

7. Without any reforms, tampering with the trade was likely to be dangerous