The spreading tide of Industrial Revolution also transformed the dynamics of the traditional state and the society it governed. Growing numbers of tradable merchandise created a class of investors and merchants, which weakened the older landed aristocracy’s hold on power. Yet apart from this new moneyed aristocracy, a new working class was also emerging. Though the traditional absolutist rule of kings still prevailed, society was dynamically changing. Initially, higher revenues from both domestic and international trade and taxes from increasing production increased kings’ capacity to arm themselves, better govern their realm, and fight wars of territorial acquisition. In the short run, therefore, the Industrial Revolution rocketed the economies of traditional states and transformed them into highly centralized ones. As monarchs made use of their recently acquired means of power for more centralized models of government, the first image of the nation-state in history began to emerge (Hobsbawm, 1962:27-53). In this sense, the expression in option e is incorrect.