1. Economic Developments of Colonial Expansion

2. How did Exploration Impact the World Economies?
The Age of Exploration changed trade patterns
and the ways in which nations made wealth
B. The economic system changed from kings having
all the power to more influence of the regular
people
Portugal, Spain, Britain, France and Netherlands had
the largest overseas empires and the largest economic opportunities to get wealth

3. C. Columbian Exchange GS #37
1. the global transfer of food, plants, animals, goods and ideas
Example: The Spanish forced the Native Americans to practice
Christianity and in return the Native Americans learned how
to make things from copper and iron GS
#37
37. What name was given to the global transfer of goods, food, plants, animals and ideas? What negative affect did this have on the natives?

4. As the population increases during the Age of Exploration it will lead to an increase in the demand of goods More People = More Goods

5. FEUDALISM
King owns all the land, controls all the people, controls the economy
the king would allow some of his
lords/nobles to use the land
(no private ownership)
the king was very limited to expanding his
empire
GS #35
35. What type of economic system was used prior to exploration, where the king controlled the
economy and all the people on the land?

6. That's mine too!
All Mine!
Mine!
Mine
Again!

7. Stupid Feudalism I can’t expand anywhere without a huge war!!!
Age of Exploration changed everything,- kings could now expand empires by taking new land and creating new trade partners, Feudalism dies out and leads to…
Stupid Feudalism I can’t expand anywhere without a huge war!!!
Wow love the Age of Exploration – lets go find me land for my empire!!!

8. MERCANTILISM
- this is a theory that a country’s power is based on wealth
- kings now need help from their lords/nobles to expand
their empire’s size and trade, king still in control
- Basics: gain as much gold/silver as possible
favorable balance of trade (exports > imports)
build colonies only trade with your country
high tariffs (tax) on imports
36. What economic system believes that your country’s power is dependent on it wealth (gold/silver), strict control over colonies and wanting more exports than imports?
GS #36

9. I need to get more gold and silver!!! Oh and land – need more land!!!
Haha, the king needs the help of his nobles so he can have a bigger empire. Can you say tax break for us!!!
Man, we can only trade with Britain – that’s not fair!!!
Stupid
King!!!
Tariffs
IMPORTS
EXPORTS

10. Mercantilism
Britain
American Colonies
They can sell goods to any nation that wants them!
What the colonies feel like…

11. Based on the political cartoon – is mercantilism a blessing or a curse to the colonies?

12. Based on the political cartoon – is mercantilism a blessing or a curse to the colonies?

13. Now even more competition arises between countries and kings realize they need more help from their people to expand their empires and gain more power
Spain is
A bigger Empire!!!
Britain is
A bigger Empire!!!

14. Burger King Corporation
Headquarters
(Mother Country)
Burger King Franchise (Colony or Trade Company)
Who owns these Franchises???
Can the king afford to pay for all of this?
He only has so many friends so what is he going to do to get even more franchises?
What do we call people who risk their $$$ to start a business?

15. CAPITILISM GS #38 property, make goods and buy and sell goods freely
- is a system in which people, rather than the gov’t, own
property, make goods and buy and sell goods freely
- In order for a nation to become more successful it needed
individual people to start investing in trade, colonization
and exploration
- kings now depended on Entrepreneurs to use their own
capital (money) and take a risk by starting/investing in a
business, hoping to make a profit
GS #38
38. What economic system depends upon private ownership and less gov’t control allowing for individual (entrepreneur) profit? (AKA market economy)

16. Lassiez Faire Adam Smith Capitalism Supporter “Wealth of Nations”
Gov’t stays out of any economic issues
Economy should be controlled by the people!!!
Lassiez Faire

17. this will create a market economy where people decide how to spend money, what to buy and what to sell – the people start to take the power of the economy away from the king
- competition increases among European
countries, which results in prices being
more fair
the regular people had more opportunities to get
jobs, make money and own property leading to the
creation of a new social class – the middle class,
made up of merchants, traders and artisans
39. How did this new economic system impact the class system?
40. How was exploration good for the regular people?
GS #39/40

18. Entrepreneurs Joint Stock Companies Amsterdam Chamber of V o C
Virginia Company
British East India Company

19. That’s okay I will just raise taxes – I’m so sneaky hehe!
Thanks to exploration I am not tied to the land anymore. I can go to the new world, start a business and own my land.
Capitalism Rocks!!!
Except for the taxes!
If I want a bigger empire I need to let go of my control on the economy.
That’s okay I will just raise taxes – I’m so sneaky hehe!
GS #40

20. As exploration grew, so did the markets to sell your goods and demand for these new items increased

21. Economic Development of Colonial Expansion – more people means more goods needed – demand high
What type of economic system was used prior to exploration, where the king controlled the economy and all the people on the land?
Feudalism
What economic system believes that your country’s power is dependent on it wealth (gold/silver), strict control over colonies and wanting more exports than imports?
Mercantilism
What name was given to the global transfer of goods, food, plants, animals and ideas? What negative affect did this have on the natives?
Columbian Exchange
diseases, slavery, forced religion

22. What economic system depends upon private ownership and
less gov’t control allowing for individual (entrepreneur) profit?
(AKA market economy)
Capitalism
How did this new economic system impact the class system?
created a new Middle Class
How was exploration good for the regular people?
gave them new opportunities – own their own business,
own private land, earn more money, afford more food, better medicines