Historical iron and steel recovery in times of raw material shortage: The case of Austria during World War I

This paper investigates, by means of material flow analysis, the supply management of iron during a historical period of increased demand and induced shortage. The Austrian economy during World War I, when numerous raw materials had to be substituted by secondary sources, is analyzed as an example. The relative abundance of iron in the anthroposphere allowed a 40% increase in annual iron production in 1916 compared to peacetime, made possible by regulation. Almost half of the observed increase resulted from enhanced scrap utilization, covering up to 25% of total demand. By contrast, in peacetime, only 15% of iron consumption was covered by scrap. This sharp increase (from 330,000 to almost 600,000tons/year) was accomplished by establishing authorities and regulations to guarantee sufficient metal supplies to industry and the military. Regulation was limited to pricing and inventories of scrap stocks. Purchase or confiscation of iron goods under civilian possession by the authorities proved unnecessary, while this was not the case for other metals. Although in-use iron stocks were not exploited, a severe shortage of civilian iron goods occurred since almost all iron produced was designated for military use. The historical data illustrate the short-term effectiveness and limits to extensive regulatory measures. [Copyright &y& Elsevier]