The ECONOMICS of EMPIRE Building [AP World History Review—Unit 4 Topic 5]

Summary

This video explores how maritime empires were developed and maintained between 1450 and 1750, focusing on economic strategies like mercantilism and joint-stock companies. Mercantilism emphasized the accumulation of wealth through a favorable balance of trade, which drove competition for resources and colonies. Joint-stock companies, such as the Dutch East India Company, facilitated imperial expansion by linking merchants and states. The video also highlights the rise of the Atlantic trade system, the exploitation of labor, and the spread of cultural and religious ideas in the colonial world.

Takeaways

• 💰 Mercantilism was the dominant economic system in Europe from 1450 to 1750, aiming to build mineral wealth through a favorable balance of trade.
• 🥧 Mercantilism viewed wealth as a finite pie, with nations competing for the largest slice, primarily through the accumulation of gold and silver.
• 📦 Colonies played a crucial role in mercantilism by serving as closed markets, ensuring a steady stream of wealth and resources for the parent country.
• 🏦 Joint-stock companies, like the Dutch East India Company, were established to fund exploration and trade, with limited liability for investors.
• 🌍 Joint-stock companies allowed European states to expand their empires by intertwining state power and merchant ventures, promoting global trade dominance.
• 📈 The Atlantic system of trade arose during this period, moving goods, wealth, and laborers between the Eastern and Western Hemispheres, with sugar and silver being key exports.
• 🧑‍🌾 Coerced labor, including enslaved Africans, became essential to sustaining the Atlantic economy, particularly for agriculture like sugar production.
• ⚓ Despite European dominance in maritime trade, traditional overland trade routes, like the Silk Road, continued to be controlled by Asian powers.
• 🔄 Social impacts of the Atlantic trade included a gender imbalance in Africa due to the slave trade, leading to practices like polygyny and cultural synthesis in the Americas.
• ⛪ Christianity, particularly through Spanish and Portuguese missionaries, was spread to the Americas, often blending with indigenous and African belief systems.

Q & A

What was the dominant economic system in Europe from 1450 to 1750?

The dominant economic system in Europe during this period was mercantilism, which emphasized the buildup of mineral wealth (especially gold and silver) by maintaining a favorable balance of trade.

How did mercantilism motivate the expansion of maritime empires?

Mercantilism motivated the expansion of maritime empires because it encouraged countries to establish colonies as closed markets. Colonies would buy goods from the parent country, helping accumulate mineral wealth like gold and silver, which was seen as a key measure of a nation's power.

What is a joint-stock company and how did it aid in empire-building?

A joint-stock company is a business owned by a group of investors, offering limited liability, meaning investors could only lose what they invested. These companies, often chartered by governments, were crucial for funding trade ventures and expanding empires by granting monopolies in specific regions.

Can you name an example of a successful joint-stock company during this period?

The Dutch East India Company, established in 1602 by the Dutch government, is a key example. It had a monopoly on trade in the Indian Ocean, allowing the Dutch to become very wealthy and expand their influence in the region.

How did the Atlantic system of trade impact global economies during this period?

The Atlantic system facilitated the movement of goods, wealth, and labor between the eastern and western hemispheres, notably increasing the exchange of sugar, silver, and enslaved labor, contributing to the economic growth of European empires and further integrating global markets.

Why was silver so significant in the Atlantic system?

Silver was highly valuable because it was used to purchase goods from Asia, especially in China, where it met a growing demand. This influx of silver from the Americas into Europe and Asia helped develop both the European and Chinese economies.

What were the main forms of coerced labor in the Atlantic economy?

The main forms of coerced labor included the forced labor of indigenous peoples (especially by the Spanish), indentured servitude (mainly in British colonies), and the enslavement of Africans, which became the dominant form of labor used in the Americas.

How did the rise of the Atlantic economy affect social structures in West Africa?

The slave trade created a gender imbalance in West Africa, as more men were enslaved and sent to the Americas. This led to changes in family structures, including an increase in polygyny (the practice of one man marrying multiple women).

What was the cultural impact of the Atlantic slave trade on the Americas?

The Atlantic slave trade led to cultural synthesis in the Americas, as enslaved Africans from different regions blended their cultures and languages with those of Europeans and indigenous peoples. This resulted in the development of Creole languages and the mixing of African and European religious practices.

How did the Spanish and Portuguese use Christianity in their colonies?

The Spanish and Portuguese sent Catholic missionaries to their colonies to convert indigenous peoples to Christianity. While some indigenous groups outwardly adopted Christianity, many blended it with their traditional beliefs, leading to a syncretic mix of religious practices.