The Invisible Hook: The Hidden Economics of Pirates (Hardcover)

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Key Phrases: captain predation, pirate constitutions, predatory captains, Bartholomew Roberts, Captain Roberts, Captain Johnson (more...)

Editorial Reviews

From Publishers Weekly

Economist Leeson leads readers though a surprisingly entertaining crash course in economics in this study of high seas piracy at the turn of the 18th century. Far from being the bloodthirsty fiends portrayed in popular culture, pirates created a harmonious social order; through the application of rational choice theory, the author explains how a common pursuit of individual self-interest led pirates to create self-regulating, democratic societies aboard their ships, complete with checks and balances, more than half a century before the American and French revolutions brought such models to state-level governance. Understanding the profit motive that guided pirates' actions reveals why pirates so cruelly tortured the crews of ships that resisted boarding, yet treated those who surrendered readily with the utmost respect. Both practices worked to minimize costs to the pirate crew by discouraging resistance that could lead to loss of life and limb for pirates and damage to either the pirates' ship or the cargo aboard. Illustrated with salty tales of pirates both famous and infamous, the book rarely bogs down even when explaining intricate economic concepts, making it a great introduction to both pirate history and economic theory. (June)
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Review

A brisk, clever new book, The Invisible Hook, by Peter T. Leeson, an economist who claims to have owned a pirate skull ring as a child and to have had supply-and-demand curves tattooed on his right biceps when he was seventeen, offers a different approach. Rather than directly challenging pirates' leftist credentials, Leeson says that their apparent espousal of liberty, equality, and fraternity derived not from idealism but from a desire for profit.
(Caleb Crain New Yorker )

Economist Leeson leads readers though a surprisingly entertaining crash course in economics in this study of high seas piracy at the turn of the 18th century. . . . Illustrated with salty tales of pirates both famous and infamous, the book rarely bogs down even when explaining intricate economic concepts, making it a great introduction to both pirate history and economic theory.
(Publishers Weekly )

Mr. Leeson's book represents a serious attempt to use the tools of economics to make sense of the institutions of piracy. The book is another example of economic imperialism, the use of economics to make sense of real world phenomena that are outside the standard realm of economic science. It addresses an important force that did, and does, impact world trade. But as the skull and crossbones on its spine suggests, the book is also just fun. . . . [T]he book manages to be entertaining and informative. It is a fun read and provides parents with something to teach their children while looking for pirate treasure left long ago at the beach.
(Edward Glaeser, Economix blog NYTimes.com )

Peter T. Leeson has done his part to dispel the pirate myths by using economic theory to explain pirate behavior and organization in his exemplary new book. . . . Mr. Leeson has produced a fresh perspective on an old topic. . . . The Invisible Hook is quick-paced but thought-provoking. Based on this work, the reader should look forward to more books by the author.
(Claude Berube Washington Times )

Piracy has not been Leeson's only obsession. The other has been economics. When he was 17 years old he had supply and demand curves tattooed on his right bicep . . . now the professor has brought his two enthusiasms together in a wonderful (and wonderfully titled) new book. The Invisible Hook is his study of the hidden economics of piracy.
(Daniel Finkelstein Times )

One of the finest introductory courses in economics since Henry Hazlitt's Economics in One Lesson. . . . The Invisible Hook is a good addition to the genre of popular economics: a fun and enlightening read, and rock solid in its scholarly bona fides.
(Michael Shermer Nature )

[A] myth-busting book. The Invisible Hook . . . shows how the unseen hand of economic exchange produces social cohesion even among pirates.
(Michael Shermer Scientific American )

Peter Leeson, an economics professor at George Mason University, offers a fascinating perspective into the world of Blackbeard, 'Black Bart' Roberts and 'Calico Jack' Rackham in his highly readable book The Invisible Hook.
(J. Peter Pham San Francisco Chronicle )

An engaging and thorough portrait of high seas banditry that goes beyond the pop-culture stereotypes to argue that though often brutal and always mercenary, pirates were ahead of their time when it came to matters of economic fairness and progressive labor practices.
(Kevin Canfield Mother Jones )

[I]n The Invisible Hook, Peter Leeson deftly explodes piratical myths . . . . [The Invisible Hook] offers many colourful, meticulously researched insights into the behaviour of some of history's most colourful anti-heroes, and it will appeal to anyone with even passing interests in history, politics, sociology and/or economics.
(Michelle Baddeley Times Higher Education )

Leeson says history cannot explain all piratical paradoxes. Only economics can disentangle the different strands.
(Leon Gettler The Age )

Leeson hangs the meat of his pirate tale on a sturdy skeleton of economics. . . . The Invisible Hook is a delightful read, thanks to Leeson's engaging writing. He reduces a veritable mountain of facts and history into an entertainingly educational experience.
(Lewis Perdue Barron's )

This engaging account is fun to read and full of humor, qualities not often associated with an explanation of economic theory. . . . This reviewer speculates that if more economic texts were written like this one, there would be a glut of economics majors to compensate for the shortage of pirates roaming the Atlantic.
(Karl Helicher Foreword Magazine )

Peter T. Leeson digs into the dollars and cents of piracy. He urges us to see pirates as economic actors, their behavior shaped by incentives, just like the rest of us. Once you're in an economic state of mind, you can begin to understand actions such as lighting one's beard on fire, voting, being decent to black people, and torturing captives 'for fun'--all equally nutty behaviors to the average 18th--century observer. When Leeson is done guiding you through the pirate world, life on a rogue ship starts to look less like a Carnival cruise with cutlasses and cannons and more like an ongoing condo association meeting at sea.
(Katherine Mangu-Ward Reason )

Delightful. . . . Examines the hidden order behind the literal anarchy of pirates. . . . Entertaining and educational.
(Roger K. Miller Tampa Bay Tribune )

[Offers] not only a thumbnail history of piracy but important insights into the economic way of thinking. . . . Fascinating, entertaining and educational.
(Alan W. Bock Orange County Register )

[A]n eye-opener. . . . The Invisible Hook is a gripping read that sheds as much light on 21st century economics . . . as it does on 17th and 18th century piracy.
(Ethical Corporation Magazine )

The book wittily demonstrates that economic theories and principles, if not the be-all and end-all, can illuminate notable historical trends.
(Stephen Saunders Canberra Times )

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Product Details

• Hardcover: 296 pages
• Publisher: Princeton University Press (April 20, 2009)
• Language: English
• ISBN-10: 0691137471
• ISBN-13: 978-0691137476
• Product Dimensions: 8.5 x 5.5 x 1.1 inches
• Shipping Weight: 14.4 ounces (View shipping rates and policies)
• Average Customer Review: 4.4 out of 5 stars  See all reviews (17 customer reviews)
• Amazon.com Sales Rank: #38,978 in Books (See Bestsellers in Books)

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Customer Reviews

Most Helpful Customer Reviews

15 of 15 people found the following review helpful:

5.0 out of 5 stars Peter Leeson's Invisible Hook, April 21, 2009

By	Justin E. Williams - See all my reviews (REAL NAME)

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What begins as a simple story of Pirates soon turns into an unique journey through Economics and History. Peter Leeson, who is an Economist, uses methodological individualism to analyze the behavior of Pirates as simple profit seekers. This allows Leeson to give a different view of the Pirates then most of us are used to. He also introduces us to many unknown facts about Pirates, who are a common cultural obsession. The secret to his book is the fact that he teaches us both Economics and History without you even realizing it. Books like More Sex is Safer Sex by Steve Landsburg and Freakonomics by Steven Levitt teach you an unconventional way to look at problems, but often not through a classic historical case. This book will do both without you hardly noticing.

The Invisible Hook is not written in a way that is hard for non-Economists to understand. It is written just for that type of audience. This book now ranks top on my list of books to recommend those as an introductory lesson into the economic way of thinking. At the same time, if you do study Economics you will not be bored as the historical mechanism takes over. For example, you may know what signaling is but the economics student likely does not know exactly how the Pirates used the flag, the Jolly Roger, to signal to other ships.

One of the most interesting parts of the book is the very last chapter. Leeson sets up a class in Pirate Management with the professor Blackbeard. Without giving to much away, he goes through and restates points in the book with modern literature. He also provides a very good reading list for those who want to read further into Economics in that chapter. This is the most unique way I have ever seen anyone end a book. It allows Leeson to review the points and restate them in a new light without putting the reader to sleep, as I am famous for skimming through conclusions.

I would highly recommend this book to anyone who wants to learn anything about Pirates or Economics. It is probably likely that most of Leeson's readers will buy the book for the former, but the reader will soon find himself interested in the latter. Dr. Leeson is a rising star in the field of Economics and this is a good way for him to start.

8 of 8 people found the following review helpful:

5.0 out of 5 stars Perfectly delicious piratical pop econ, May 5, 2009

By	Nicole (Chicago) - See all my reviews

The Invisible Hook takes a rational choice framework and applies it to the golden age of Anglo-American piracy. The resulting ideas are compelling and fun, and Leeson presents them enthusiastically and clearly. He's excited about pirates, at least as much as he is about econ, and he wants to set the record straight. "Pirate fiction portrays seamen as choosing piracy out of romantic, if misled, ideals about freedom, equality, and fraternity," but Leeson knows the reality was less about utopia and more about "piratical means, used to secure cooperation within pirates' criminal organization, rather than piratical ends, as they're often depicted." And just about all pirate actions will come down to this.

Leeson makes no claim to being a historian and makes free use of secondary sources to present the historical record, aiming to interpret that record through the lens of economics. But still, there was plenty for me to learn about the basic history as well: the difference between buccaneers and pirates, for example, or the importance of the quarter-master on a pirate ship. Also the great size of pirate crews in comparison to those of merchantmen, and the truly great potential prize available to pirates in their golden age. And just about everything there is to learn about pirates is interesting. The romantic nature of the subject is really inescapable.

That remains true even when the motives of the outlaws are unwoven. Leeson contends that "only with economics can we make sense of a great deal of otherwise unintelligible individual behavior." It's the only way to understand a group made up seemingly of "libertarians who conscripted nearly all their members, democrats with dictatorial captains, and lawless anarchists who lived by a strict code of rules."

All these seeming contradictions came about because pirates were in unusual circumstances that produced correspondingly unusual incentives. One of the biggest differences between pirate crews and those of legitimate ships, be they merchant or military or even privateer, was the democratic governance of the pirate ship as opposed to the autocratic powers of all other captains. Were pirates just unusually progressive? Probably not; but they lacked an absentee owner and corresponding principal-agent problem. Since pirate ships were stolen, the pirate crews owned them collectively, and they had no need of an autocratic captain to align the interests of the ship's owners with those of its crew--they were already one and the same. In that sense, their very criminality was "the source of pirates' ability to use this system" of "democratic checks and balances."

There are like explanations behind pirates' other surprising habits, all satisfying but not necessarily surprising--especially if you're already given to thinking about such matters from this point of view. But bringing them all together with compelling information about historical events makes for an engaging book.

5 of 5 people found the following review helpful:

5.0 out of 5 stars Pirates and Economics!, April 28, 2009

By	Najiba Choudhury - See all my reviews (REAL NAME)

This is a great book which is both entertaining and informative. Even if you are not interested in economics, this is still a very readable and interesting book. And if you are into economics this books is an unique window into the phenomenon of spontaneous order, and creation of rules of law without intervention (including govt).

Watch out, here comes the next big, Economist!