1. Economic Expansion and Change During the Middle Ages

2. An Agricultural Revolution
The agricultural revolution began in the countryside where peasants adapted new technologies which made their fields more productive
Such as:
Iron plows
Harness for horses
Windmill
Feudal Lords who wanted to boost their incomes cleared forests, drained swamps
Peasants also adopted the three field system, two planted fields one unplanted

3. Revival of Trade
As a result of the growing population in Europe and the new technologies, trade expanded
Goods were needed that were not on the manor
New trade routes were developed between the Middle East, Europe, and Asia
Trade fairs were used to trade goods and enjoy the shows
New towns sprang up around the trade fairs
Merchants would seek a CHARTER from the king to establish a new town

4. Commercial Revolution
As trade revived, money reappeared
Merchants needed money to buy goods so they borrowed CAPITAL from moneylenders
New business practices such as partnerships emerged and insurance
The most important new practice was the introduction of the Bill of Exchange

5. Social Changes
Social changes were brought on by the new business practices
Many peasants began selling products to towns people, undermining the feudal system 
By 1000 a new social class appeared, included artisans, merchants, and traders, this class was called the MIDDLE CLASS
The church and clergy despised, hated, moneylenders because of the profits they made from USURY
By 1300, most peasants in Western Europe were either Tenant Farmers, farmers who paid their rent in cash, or hired farm laborers

6. Role of Guilds
In medieval towns, merchants and artisans formed associations known as guilds.
Merchant Guilds appeared first
They dominated town life
Passed laws
Levied taxes
Decided whether funds would be spent on roads or protective walls
Artisans resented the powerful merchant guilds

7. Role of Guilds Artisans organized craft guilds
Each guild represented workers in one occupation, such as weavers, bakers, brewers, or goldsmiths
Guild members cooperated to protect their own economic interests
To prevent competition they limited membership in the guild
No one except guild members could work in any trade
Guilds made rules to protect the quality of their goods, regulated work hours, and set prices
Guilds provided social services to its members, schools, hospitals, and taking care of the needs of their members

8. Becoming a Guild Member
At the age of 7 or 8 a child could become an apprentice, or trainee, to a guild master
Apprentice received no wages, they were given bed and board
After many years an apprentice would become a journeymen, or salaried worker