Charitably, reading was not "widespread in the population" at that time. sandworm101's comment shows a pretty appalling understanding of evolution -- the selective pressure for reading ability exists as soon as anyone can benefit from learning to read, not when everyone is required to try -- but a somewhat better understanding of history.
Very high literacy rates within endogamous subpopulations go back much farther than a couple hundred years, though.
Very high literacy rates within endogamous subpopulations go back much farther than a couple hundred years, though.