The Rise of Global MARKETS [AP Euro Review—Unit 5 Topic 2]

Summary

This video explores the rise of global markets and the intense competition between European powers during the Age of Exploration. It highlights how Portugal, the Dutch, the English, and the French vied for dominance in the Indian Ocean and beyond, establishing powerful companies like the Dutch and British East India Companies. The video also covers key historical conflicts such as the War of Austrian Succession and the War of Spanish Succession, and their impact on colonial holdings, particularly focusing on the economic shift toward Britain. The narrative emphasizes the intense rivalries that drove both economic and military conflict.

Takeaways

• 😀 European economic competition in the Age of Exploration led to conflict and warfare among European powers.
• 😀 The primary motivation for European exploration was finding a sea-based route to The Spice Islands of Southeast Asia, not discovering new continents.
• 😀 Portugal was the first major European power to dominate the Indian Ocean trade, led by Vasco de Gama's pioneering route around the Cape of Good Hope.
• 😀 The Dutch East India Company (VOC) was the first transnational corporation, raising funds through joint-stock investments, and became the most profitable company in history.
• 😀 The Dutch VOC took a more aggressive, colonial approach in subjugating indigenous peoples, unlike the Portuguese, who treated local populations as business partners.
• 😀 The British East India Company eventually competed with the Dutch VOC in the Indian Ocean trade, establishing British dominance in India following the Mughal Empire's decline.
• 😀 France also created the French East India Company, attempting to rival British and Dutch interests, especially in India, but struggled to secure dominance.
• 😀 The War of Austrian Succession saw both France and Britain competing for control over key territories in India, like Madras, which the French initially seized but was later returned to Britain.
• 😀 In the Atlantic, Britain imposed the Navigation Acts to weaken Dutch dominance, giving British merchants a monopoly over colonial trade.
• 😀 The Treaty of Utrecht (1713) shifted the balance of power in Europe and its colonies, giving Britain control over key French and Spanish territories, as well as significant slave trade rights in West Africa.

Q & A

What was the primary motivation for European states to explore the seas during the Age of Exploration?

The primary motivation was to find a sea-based route to the Spice Islands of Southeast Asia, which were valuable sources of spices that European states desired.

How did Portugal initially establish its presence in the Indian Ocean trade?

Portugal established its presence through the voyages of Vasco da Gama, who rounded the Cape of Good Hope and reached India, marking the beginning of Portugal's dominance in the Indian Ocean trade.

What was the Dutch East India Company (VOC), and why was it significant?

The Dutch East India Company (VOC) was a joint-stock company that raised capital by selling shares to investors. It was the first transnational corporation and was highly profitable, challenging Portuguese dominance in the Indian Ocean trade.

How did the Dutch East India Company differ from the Portuguese in their approach to trade?

The Dutch were more aggressive than the Portuguese, taking full control of many territories and subjugating local populations, whereas the Portuguese tended to establish trading posts and treated local inhabitants as business partners.

What led to the decline of the Dutch East India Company by the late 18th century?

The VOC declined largely due to increased competition from the British East India Company and internal financial difficulties.

How did the British East India Company challenge the Dutch in the Indian Ocean trade?

The British East India Company initially struggled but eventually became a strong competitor to the Dutch, particularly by focusing on India as a key area of trade, eventually gaining control of the entire subcontinent.

What role did the French East India Company play in the competition for trade in India?

The French East India Company, created under the influence of Louis XIV's finance minister Jean-Baptiste Colbert, competed against the British East India Company for control of trade in India, although France ultimately lost ground to Britain after several conflicts.

What was the significance of the Treaty of Utrecht in 1713?

The Treaty of Utrecht ended the War of Spanish Succession and resulted in France ceding significant colonial holdings to Britain, including Newfoundland, Nova Scotia, and the Hudson Bay territory, shifting the balance of power in favor of Britain.

How did the War of Austrian Succession affect British and French colonial rivalry?

The War of Austrian Succession saw both Britain and France fighting for control of colonial territories, particularly in India. The British ultimately regained control of Madras, reinforcing their dominance in the region.

How did the Navigation Acts affect Dutch dominance in the Atlantic trade?

The British Navigation Acts restricted the shipping of goods to Britain and its colonies to British vessels only, which severely weakened Dutch dominance in the Atlantic trade by giving British merchants a monopoly.