1. CHAPTER 13
AGE OF EXPLORATION

2. Mercantilism As trade grew, money became the medium of trade
Gold, silver, precious metals were used as money (no more barter)
Mercantilism
- With the new colonies, Europeans
developed a new trade system
- Called Mercantilism

3. Mercantilism Mercantilism - The new trade from the colonies
should benefit the “motherland”
- Colonies existed to benefit the
“motherland”
- Believed that strength rested on the
wealth it possessed = to obtain as
much gold as possible

4. Mercantilism Mercantile System
- Colonies provided the raw materials & was a market where motherland could sell its product
- Colonies were not allowed to produce any products that the mother country made
- Colonies were not allowed to trade with any other country
- It was a “one-way” trade

5. Mercantilism [Example] Peru had to buy everything from Spain.
Everything is produced had to be sold to Spain.
If it wanted to trade with Mexico, Peru had to ship the goods to Spain first and then they were sent to Mexico.

6. Mercantilism Result Mother country grew wealthier.
Mother country became self-sufficient (= did not need to buy from other European countries)
Could keep the gold within their country & colonies
Wanted to export more than it imported.
Goods that were exportable were preferred

8. Capitalism
Acquiring wealth spread to not only nations but to individuals!
Mercantilism: to acquire wealth
Capitalism: to advance wealth
Use the money they made to make more money = investment
(ex) Financing trade voyages

9. Capitalism But financing voyages were risky.
In order to limit their risk, people created “companies” to pool their resources.
These people shared both gains & losses.
Joint-stock companies were invented.
People invested in these companies.
Companies give them shares according to their capital contribution-dividends.

10. Capitalism @ English East India Company - Founded in 1600
- Traded with mostly India
- Profit averaged 300% per year ( )
@ Dutch East India Company
- Founded in 1602
- Traded with Java, Sumatra (Indonesia)
- Paid dividends of 18% per year

11. Capitalism @ French Company of New France - Traded with current Canada
- Mainly fur
- Set up bases for settlements
@ Prospectus: details of a proposed business venture
@ Underwriting: people sign their names below the prospectus

12. New Maritime Technologies
Better Maps
Hartman Astrolabe (1532)
Mariner’s Compass
Sextant

13. New Weapons Technology

14. European trade routes

16. Treasures from the Americas!

17. The 3 motives reinforce each other
Direct Causes = 3 G’s
Political: Become a world power through gaining wealth and land. (GLORY)
Economic: Search for new trade routes with direct access to Asian/African luxury goods would enrich individuals and their nations (GOLD)
Religious: spread Christianity and weaken Middle Eastern Muslims. (GOD)
The 3 motives reinforce each other

20. explorers

21. Columbian Exchange or the transfer of goods involved 3 continents, Americas, Europe and Africa
* Squash * Avocado * Peppers * Sweet Potatoes * Turkey * Pumpkin * Tobacco * Quinine * Cocoa * Pineapple * Cassava * POTATO * Peanut * Tomato * Vanilla * MAIZE * Syphilis
* Olive * Coffee Beans * Banana * Rice * Onion * Turnip * Honeybee * Barley * Grape * Peach * Sugar Cane * Oats * Citrus Fruits * Pear * Wheat * HORSE * Cattle * Sheep * Pig * Smallpox * Flu * Typhus * Measles * Malaria * Diptheria * Whooping Cough

22. European Colonization
Once the New World is discovered, the Big 4 four European countries begin competing for control of North America and the world….
Spain
England
France
Portugal
This power struggle ultimately leads to several wars.

23. Columbus’ Four Voyages

24. Spanish empire by the 1600’s consisted of the
part of North America
Central America
Caribbean Islands
Much of South America.

25. Cycle of Conquest & Colonization
Explorers
Conquistadores
Missionaries
European Colonial Empire
Permanent Settlers

26. The Colonial Class System
Peninsulares Spanish ancestory
Creoles Spanish and Black mixture.
Mestizos Spanish and Indian mixture
Mulattos White American and Black mixture
Black Slaves
Native Indians

27. Father Bartolomé de Las Casas
Believed Native Americans had been treated harshly by the Spanish.
Indians could be educated and converted to Christianized.
Believed Indian culture was advanced as European but in different ways.
New Laws --> 1542

28. Explorers Sailing For Portugal
Prince Henry the Navigator - Portugal - Funded Exploration down coast of Africa
Dias - Portugal - Rounded the Cape of Good Hope
da Gama - Portugal - Opened trade with India - Placed Portugal in position to dominate trade with India
Cabral - Portugal - Claimed present day Brazil for Portugal

29. The Treaty of Tordesillas, 1434 & The Pope’s Line of Demarcation, 1493