Wealth of nomads – an exploratory analysis of livestock inequality in the Saami reindeer husbandry

The evolution of political complexity in societies, particularly nomadic pastoralist ones, is a long-standing question in the humanities and social sciences. A dominant theory posits that nomadic political organization mirrors the complexity of neighboring sedentary populations, essentially viewing nomadic empires as "shadow empires." This perspective emphasizes external factors driving complexity, largely neglecting internal dynamics. A key element of this debate is the role of livestock as a primary wealth source. Some argue that the inherent volatility of livestock, due to environmental factors (disease, drought, etc.), acts as a leveling mechanism, reducing inequality and hindering social stratification. However, other studies have shown that livestock losses can exacerbate inequality, and herd accumulation is a key survival strategy in unpredictable environments. This study investigates the long-term patterns of wealth inequality among Saami reindeer herders in Norway to examine whether livestock-based wealth intrinsically limits social differentiation, directly addressing the central question of whether inherent pastoral dynamics limit the emergence of social complexity.

Existing literature presents contrasting views on the relationship between pastoralism and social inequality. Some researchers argue that the inherent instability of livestock wealth, due to environmental risks and unpredictable losses, acts as a leveler, preventing significant wealth disparities and complex social hierarchies (Barth, 1961, 1964; Bradburd, 1982; Dahl, 1979; Salzman, 1980; Black, 1972). Others contradict this, citing evidence that wealth inequalities among pastoralists are persistent and can be exacerbated by environmental shocks (Fratkin & Roth, 1990; Grandin, 1983; Borgerhoff Mulder & Sellen, 1994; Bradburd, 1982). They highlight that livestock accumulation serves as a crucial risk-management strategy, enabling wealthy households to better withstand environmental catastrophes and maintain their relative advantage (Mace, 1993; Mace & Houston, 1989; Borgerhoff Mulder et al., 2010; McPeak, 2005, 2006; Næss & Bårdsen, 2010, 2013). The debate extends to the broader issue of state formation among nomads, with some proposing that complex political organization among pastoralists primarily emerges in response to interactions with sedentary states (Barfield, 1989, 1993, 2001, 2020; Khazanov, 1994; Di Cosmo, 2015), while others emphasize internal factors and inter-nomadic conflicts (Di Cosmo, 1994; Turchin, 2003, 2007; Turchin & Gavrilets, 2009).

This study utilizes annual statistical data from the Norwegian Agriculture Agency, covering all licensed Saami reindeer herders in Norway from 2001 to 2018. This contrasts with previous research that often focused on subsets of the reindeer herding population. The data encompasses the entire population, providing a comprehensive view of wealth distribution. The analysis is divided into two parts. First, it explores temporal trends in livestock wealth by examining: (1) changes in the Gini coefficient over time, and (2) cumulative wealth ownership for the top and bottom 15% of households in both northern and southern Norway in 2001 and 2018. The Gini coefficient measures wealth inequality, ranging from 0 (perfect equality) to 1 (perfect inequality). The second part investigates: (3) the correlation between herd size in 2001 and 2018, (4) changes in household rankings over time, and (5) the distribution of reindeer among wealthy and poor households across all years. Statistical analyses, including ordinary least squares (OLS) regression, were conducted using Python, with pandas and numpy libraries for data manipulation, statsmodels for regression analysis, and matplotlib and seaborn for visualization.

The analysis reveals a decrease in overall wealth inequality among Saami reindeer herders from 2001 to 2018, as measured by the Gini coefficient, both nationally and regionally. The average Gini coefficient for Norway was 0.34, with regional averages of 0.36 in the North and 0.15 in the South. However, this decrease in inequality did not eliminate substantial differences in wealth distribution. Cumulative wealth analysis shows that while the proportion of reindeer owned by the wealthiest households decreased, and the proportion owned by the poorest households increased, significant differences in herd size persisted. The analysis of rank stability demonstrated that approximately 50% of households classified as poor in 2001 remained poor in 2018, highlighting the persistence of poverty. The size of a herder's initial herd significantly predicted its size in 2018, indicating that herd accumulation is a robust strategy for maintaining wealth over time. Regional variations were notable, with northern herders exhibiting higher inequality and larger herd size differences between wealthy and poor households compared to their southern counterparts.

The findings challenge the prevailing assumption that inherent characteristics of pastoral economies inherently limit wealth inequality. The observed persistence of inequality, despite an overall decrease, highlights the importance of acknowledging accumulation dynamics even in livestock-based systems. The strong correlation between initial and final herd size indicates that wealth accumulation is a potent mechanism for maintaining relative advantage. Regional differences in inequality highlight the role of social and ecological contexts in shaping wealth distributions. The higher inequality in northern Norway might stem from greater coordination challenges and reduced cooperation among herders. Furthermore, the study's findings indicate that the mechanisms of wealth accumulation in pastoral systems are similar to those in other economic systems, where high earners accumulate more wealth over time due to their capacity to save a larger proportion of their income. While the study observes a decrease in the Gini coefficient, the persistence of substantial wealth disparities and high rank stability necessitate a more nuanced understanding of pastoral egalitarianism.

This study demonstrates that the assumption of inherent wealth equalization in pastoral societies needs revision. While the Gini coefficient decreased over time, substantial wealth inequality persisted among Saami reindeer herders, mirroring patterns observed in other economic systems. The stability of wealth ranks underscores the importance of initial wealth in determining long-term outcomes. Future research should explore the interplay between environmental factors, social structures (cooperation, kinship), and policy interventions in shaping wealth distribution within pastoral societies, going beyond simple analyses of livestock ownership and considering other sources of income and wealth.

The study focuses solely on reindeer wealth, neglecting other potential sources of income and wealth among Saami herders, such as government subsidies, spouses' wages, or other investments. This limitation might underestimate the overall complexity of wealth distribution. Additionally, the study's analysis is limited to the specific context of Norwegian Saami reindeer herding, which might not fully generalize to other pastoral systems with different ecological, social, or economic contexts.