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COMMERCIAL REVOLUTION & NEW POLITICS

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COMMERCIAL REVOLUTION & NEW POLITICS. (1500-1700). Significance: brought about age of discovery and exploration. Causes . population growth: 60 million in 1400; 75 million in 1500; 100 million in 1600

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causes
Causes
  • population growth: 60 million in 1400; 75 million in 1500; 100 million in 1600
  • “price revolution”: (long slow upward trend); increased food prices, increased volume of money, influx of gold & silver from the New World.
  • rise of capitalism (laissez-faire):entrepreneurs; bourgeoisie at the forefront
capitalism
Capitalism
  • Capitalism had existed in some forms in antiquity, but faded away with manorial system of the Middle Ages.
  • Investment and money lending (usury) limited by Church laws.
  • Revived in the late Middle Ages through trade (Hanseatic League) and population growth.
  • Entrpenuers ignore church laws banning usury, leading to growth in banking.
banking
Banking
  • First major banking firms being in northern Italy (Medici)
  • Northern Europe:
    • Fugger family of Augsburg
    • Jakob Fugger (1459-1525)
    • Financed Charles V.
new kinds of business
New Kinds of Business
  • Banking expanded to Antwerp in 16th c., Amsterdam in 17th c.
  • chartered companies: state provided monopolies in certain area (BEIC, DEIC), governments profited from ventures.
  • joint-stock companies: investors pooled resources for common purpose (forerunner of modern corporation), reduced risk.
other causes
Other Causes
  • stock markets: e.g., Bourse in Germany
  • “Putting-out” Industry –cottage industries grow.
  • new industries: cloth production, mining, printing, book trade, shipbuilding, cannons & muskets
  • consumer goods: rice, sugar, tea, spices
  • mercantilism: nations sought self-sufficient economy; “bullionism”
results
Results
  • Imports of silver from the New World and population growth led to inflation – effected the poor and peasants the most.
  • Landowners, merchants, artisans grow rich – reinvest money in exploration ventures.
  • Population growth and enclosure pushed people of the land into cities
  • Establishment of poor relief
causes for exploration
Causes for Exploration:

Christian Crusaders in 11th to 13th centuries created European interest in Asia and Middle East

Desire to spread Christian religion; Francis Xavier Catholic missionary in 16th c.

Rise of nation states (“New Monarchs”) resulted in competition for empires and trade.

Portugal and Spain sought to break the Italian (Venetian) monopoly on trade with Asia.

Ottoman Turks restricted trade to Asia after conquest of Constantinople in 1453.

causes for exploration10
Causes for Exploration:

Technology facilitated sea travel: astrolabe, better maps

·  Commercial revolution resulted in capitalist investments in overseas exploration

·  Mongol domination of central Asia disrupted flow of goods over the Silk Road routes.

·  Impact of Renaissance: search for knowledge, adventurism, monopoly of Italian trade with East

portugal explorers
Portugal: Explorers
  • Prince Henry the Navigator (1394-1460): financed exploration, established schools
  • Bartholomew Diaz (1450-1500): rounded southern tip of Africa
  • Vasco da Gama (1469-1525): route to India
portugal explorers12
Portugal: Explorers
  • Alphonso d’Albuquerque (1453-1515): established empire in Spice Islands after 1510
  • Pedro Cabral (1467-1520): sighted Brazil, defeated Arabs in Indian Ocean
  • Amerigo Vespucci: “America” named after him
spain explorers
Spain: Explorers
  • Christopher Columbus (1451-1506) – pursuing western route to Asia
  • Bartholomew de las Casas (1474-1566) – writings helped spread “black legend” (mistreatment of natives) The Destruction of the India 1542

·Vasco Nunez de Balboa (1475-1517): cross the Isthmus of Panama, first European to see the Pacific Ocean

·Ferdinand Magellan (1480-1521): circumnavigation of the globe

spain conquistadores began creating empires by conquering indians
Spain: Conquistadores: began creating empires by conquering Indians
  • Hernando Cortès (1485-1547): Aztecs
  • Francisco Pizzaro (1478-1541): Incas
  • Mestizos: mixed white and Indian descent
  • Creoles: American-born Spaniards
  • Audencias: Board of 12 to 15 judges served as advisor to viceroy and highest judicial body.
  • Encomienda: Indians worked for owner certain # days per week; retained other parcels to

work for themselves.

treaty of tordesillas 1494
Treaty of Tordesillas (1494)
  • Line of Demarcation established by Pope Alexander VI (Spaniard) in 1493 between Portuguese and Spanish territories.
  • Renegotiated by King John II of Portugal and Ferdinand and Isabella of Spain to be moved 270 leagues further west.
  • Establish Spanish domination in the New World and Portuguese domination in Asia for the next century
cartography
Cartography
  • Martin Behaim (1459-1507) and Schoner
  • Martin Waldseemuller – created map in 1507 based on Amerigo Vespuci’s voyages – gave name “America”
the netherlands
The Netherlands
  • Establishment of Dutch East India Co.
  • Expansion in Asia (specifically Indonesia and South Africa… replaced Portuguese)
  • Henry Hudson explores North America
  • Establishment of New Amsterdam on Manhattan Island.
france
France
  • Giovanni da Verrazano (1480-1527): explored northern Atlantic coast of modern-day U.S.
  • Jacques Cartier (1491-1557): search for Northwest Passage (explored Canada)
  • Samuel de Champlain: “Father of New France”
england
England
  • John (1425-1500) and Sebastian (1474-1557) Cabot: explored northeast coat of N. America
  • Sir Francis Drake (1540-1596): led English “sea dogs” against Spanish shipping
  • Sir Martin Frobisher (1535-1594): northeastern Canadian coast
  • Sir Walter Raleigh (1552-1618), Roanoke Settlement
growth of central governments
Growth of Central Governments
  • Rise of “New Monarchs in France, Spain and England leads to centralization of political power.
  • Economic and Social changes reflected in the growing power of governments.
  • Rulers encouraged trade, overseas expansion, to obtain taxes and revenues to further increase their power.
valois france
Valois France
  • France is devastated by the effects of the Hundred Years War
  • Louis XI (r. 1461-1483) consolidates power.
    • Makes war and kills the Duke of Burgundy, making the province under French control
    • Used diplomacy to gain further lands (earns him the nickname “the Spider”)
    • Charles VIII becomes involved the Italian Wars.
valois france gov t power
Valois France – Gov’t Power
  • System of Taxation put into place
  • Francis I gains control over the church; right to appoint bishops.
  • Legalization of the sale of offices (provided revenue)
  • Streamlined government procedures and efficiency.
united spain
United Spain
  • The marriage of Ferdinand of Aragon and Sicily and Isabella of Castile united the Kingdom of Spain the 1479 after 10 years of civil war with nobles who opposed it.
  • Worked to reduce the power of nobles in the court, favored the lesser nobility (hidalgo)
  • Gained control over military orders
united spain24
United Spain
  • Monarchy gained right to make appointments of bishops.
  • Direct supervision over the judicial system
  • Direct collection of taxes and other revenues
  • Religious zeal and the desire to drive the remaining Muslims from Spain.
  • Establishment and control of the Inquisition.
united spain charles v
United Spain – Charles V
  • Charles V (grandson of F & I) held the throne of Spain (and he overseas territories) and the throne of the HRE.
  • Reoccurring crises kept Charles involved in the politics of the HRE and away from Spain.
  • He faced financial difficulties – only saved by New World treasure.
  • Little changed in Spanish administration, but the New World empire continued to expand.
tudor england
Tudor England
  • Monarch’s power was balanced by Parliament and Common Law; allowed for uniformity across the land
  • Henry VII (1485-1509) reestablishes royal control after the Wars of the Roses
    • Financial independence for the monarchy
    • Increase the power of Justices of the Peace.
    • Increase power and influence of royal council (the Star Chamber).
tudor england27
Tudor England
  • Henry VIII
    • Used Reformation Parliament to increase power of the king (while Parliament’s prestige increased as well.)
    • Royal power increased through the leadership of Thomas Cromwell and the Privy Council
    • Royal income rose with the appropriation of church fees and possession; selling of church lands to new landowners.
tudor england28
Tudor England
  • Edward VI
    • Being a minor, the nobility attempted to take back more power.
  • Mary I
    • In attempt to reestablish Catholicism, provoked revolts.
  • Elizabeth I
    • Despite the political mistakes of her predecessors, Elizabeth made use of royal power established by her father and grandfather
fragmented states
Fragmented States
  • Holy Roman Empire – elected nature of emperor, strong princes, multi-ethnic.
  • Italy – political fragmentation; internal warfare; papacy
  • Hungary – nobles reassert control; multiethnic empire.
  • Poland – elected and weak king, strong Diet dominated by nobles.
  • Ottoman Empire – multiethnic and multi-religious empire.
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