1. The World Economy The Early Modern World 1450 - 1750 CE

2. Diffusion and the World Economy Essential Question: How has the diffusion of ideas, commerce, etc. changed from the earliest civilizations through the Early Modern Period? Essential Question: How has the diffusion of ideas, commerce, etc. changed from the earliest civilizations through the Early Modern Period?

3. Classical Period Classical Period Relatively new economies and cultures developing Relatively new economies and cultures developing Mediterranean, China, India Mediterranean, China, India Regional trade Regional trade Post-Classical Period Religions spread through missionaries Interregional trade between continents Which regions dominated trade? Early Modern Period New areas - the Americas Global trade increases Shifts in power structure Europe dominates trade

6. European Exploration Challenges: Challenges: Muslim traders, Mongols, China Muslim traders, Mongols, China Ignorant of World Ignorant of World Lack of money Lack of money Limited technology Limited technology Advantages: Invested rulers New Technology (later on) Missionaries Strong militaries Motivations ?

7. Trading Companies What are they? What are they? Gov’t monopolies of all commerce Gov’t monopolies of all commerce Not supervised by gov’t Not supervised by gov’t Able to raise own armies; coin own money Able to raise own armies; coin own money More powerful than some governments More powerful than some governments What were the two major trading companies? Dutch East India Company British East India Company

8. Mercantilism Theory that a state’s power depended on its wealth Theory that a state’s power depended on its wealth Mercantilism fueled colonialism under the belief that a large empire was the key to wealth Mercantilism fueled colonialism under the belief that a large empire was the key to wealth Sought to export more than import- balance of trade Sought to export more than import- balance of trade

10. 2 ways to gain wealth/power 1. Extract gold/silver from your (or others who you have conquered) mines 2. Sell more goods to other countries to get their gold - Balance of Trade: difference in value between imports and exports over time - Balance of Trade: difference in value between imports and exports over time

11. The Columbian Exchange Plants, animals developed in very different ways in hemispheres Plants, animals developed in very different ways in hemispheres Europeans—no potatoes, corn, sweet potatoes, turkeys Europeans—no potatoes, corn, sweet potatoes, turkeys People in Americas—no coffee, oranges, rice, wheat, sheep, cattle, no horse People in Americas—no coffee, oranges, rice, wheat, sheep, cattle, no horse

13. What were the results of the Columbian Exchange? Impact on Native American population Impact on Native American population Impact on earlier civilizations Impact on earlier civilizations Increased possibilities for European colonization Increased possibilities for European colonization What are the impacts of new crops? Introduction of beasts of burden - why important? Impact on those not involved in exploration China (silver) Africa (corn, peanuts) 1/3 of all food crops grown in world are of American origin

14. Changes in the EMP Shift in power: Rise of West creates imbalances that favor Europeans for the next 300 years Shift in power: Rise of West creates imbalances that favor Europeans for the next 300 years New Trade Empires replaces small political units; almost no society left untouched by trade New Trade Empires replaces small political units; almost no society left untouched by trade Shift in trade from Eurasia to American trade routes Shift in trade from Eurasia to American trade routes Revival of empire-building with new military tech. Revival of empire-building with new military tech. New Global Economy is established New Global Economy is established Gun/Gunpowder Empires rise Gun/Gunpowder Empires rise A Continuity: Spreading of Major religions continued A Continuity: Spreading of Major religions continued

15. Themes 1). Declining Emphasis of nomads 1). Declining Emphasis of nomads 2). Gender relations remain patriarchal 2). Gender relations remain patriarchal 3). Labor relations change (master/slave) 3). Labor relations change (master/slave) 4). Environmental changes (staple foods) 4). Environmental changes (staple foods) 5). Nation-States emerge (solid political unit, national unity, relatively homogenous –language/ethnicity) 5). Nation-States emerge (solid political unit, national unity, relatively homogenous –language/ethnicity)

16. Terms/People Core Zones and Dependent Zones Core Zones and Dependent Zones Prince Henry the Navigator Prince Henry the Navigator Atlantic Slave Trade Atlantic Slave Trade Columbian Exchange Columbian Exchange Mercantilism Mercantilism Capitalism Capitalism