Durante este periodo la agricultura comienza a situarse a la cabeza como principal fuente económica de la localidad. El cultivo del cereal es desplazado por el olivo, ocupando éste terrenos adehesados que tradicionalmente eran destinados a la ganadería, una actividad que queda relegada a un segundo plano. las grandes fincas o posesiones de tierra aún siguen siendo significativas en el señorío de Algarinejo, donde corresponde a la nobleza la construcción de uno de sus edificios más costosos y emblemáticos: la iglesia parroquial de Santa María la Mayor. However, this trend began to be dismantled in the 19th century, with the confiscations of properties suffered by the church, with expropriations and actions of rural planning, and with the fragmentation of farms by inheritance.

In the 19th century, as Pascual Madoz writes in his Geographical, Statistical, and Historical Dictionary of Spain and its overseas possessions (1845), Algarinejo is a “Villa with the town hall of the province, diocese, former territory and General Captaincy of Granada, judicial district of Montefrío, and administration of revenues of Loja”. It is a socially and economically important town, with a population of 4,383 inhabitants and a production capacity of 14,354,016 reais, wealth based on agricultural production and the transformation of these products. According to Mádoz, Algarinejo stands out in the production of wheat, grapes and oil, although •barley, turnips, sugar cane, lentils, yeros and other ripe seeds are also harvested•, “there are mountains that produce abundant acorns, some walnuts, plums, apple trees, almond trees, jungle pear trees, orange trees, sour cherries and apricots”, along with the “breeding of sheep, goats, sows, mules, horses and donkeys, hares, partridges, rabbits, pigeons, turkeys, and chickens•.

Along with the 3 inns indicated by Pascual Mádoz, Algarinejo has “common canvas looms in many houses, 10 flour mills, a fulling mill, and 5 oil mills.” “There are 7 brandy stills, 4 soap factories, a tile, a cloth factory owned by the Count of Luque with 3 looms, of which the one for fine cloth is cornered, there are another 5 in private houses, all of which make brown cloth of great duration and consistency, from which the people of the countryside of the town and neighboring towns are supplied”.

At the end of the 19th century, the bucket mills for grinding grain, powered by the force of water, were replaced by flour factories powered by electricity. Se crean otras industrias como jabonerías, numerosas almazaras, y fábricas de gaseosas, por la calidad de sus aguas. El agua es un elemento muy presente en la localidad.

According to Pascual Mádoz, “through almost all of them (the streets descend streams through shortcuts or open canals that drain into the streams that surround it at the exit of the town). At this time there was a square, also described by Mádoz, notable for its extension and symmetry, which had in its center a copious fountain surrounded by black poplars and rough stone seats.

The society is deeply religious. Pascua Mádoz continues pointing out that “the clergy is made up of a parish priest, two lieutenants, two acolytes and an organist”. Peiná, or the Cruz del Bujeo, and numerous hermitages around the town.Mádoz points out that on the road that leads to Priego de Córdoba, at the exit of the town, there was a small hermitage known as “Santita”, where mass was celebrated to a very miraculous image of Our Lady of Sorrows. Another small hermitage was located in the middle of the slope of Cerro Calvario, under the invocation of Santo Cristo de la Vía Sacra.