The World Economy Chapter 16 pg. 348-366. The West’s First Outreach post-1300 : Consistent exploration & curiosity of the world increased remarkably –Fueled.

The World EconomyThe World Economy

Chapter 16

pg. 348-366

The West’s First Outreach• post-1300: Consistent exploration & curiosity of

the world increased remarkably

– Fueled by late postclassical developments

– Yet initially obstacles existed

Chinese Chinese compass & compass & explosivesexplosives

Arab Arab lateen saillateen sail

Chinese Chinese sternpost sternpost

rudderrudder

Arab Arab lateen saillateen sail

Arab portolan Arab portolan charts & mapscharts & maps

New Technology: Key to Power

Portugal & Spain lead the Pack• Motivated by money, excitement, & desire to

circumvent Islamic lands

• Portugal pushed south & east around Africa

• Spanish fleets sailed west

Northern European Expeditions• Dutch and English (& French) use superior

ships to replace naval dominance of Spanish & Portuguese

• Government sponsored trading companies dominated these early colonies

Question

Based on your reading, record the regions controlled

and colonies established by the

following countries:

• Portugal =

• Spain =

• Netherlands =

• England =

Toward a World Economy• Three changes arose from European

exploration– Columbian Exchange– New Import-Export Patterns– Emergence of new overseas empires

Columbian Exchange• Columbian Exchange = diaspora of new

plants, animals & diseases between the old & new worlds following Columbus’ discovery

– Major demographic effects

– Europe affected slowest

West’s Commercial Outreach• West dominated ocean trade routes, without

fully replacing old players

• Europeans, without inland colonies, dominated ports

Imbalances in World Trade• Europe expands manufacturing sector

• World economic patterns of have’s & have-not’s established:– Core Nations

– Dependent Nations

Question

Explain mercantilism.

Analyze the benefits experienced by core nations from such a system.

International Inequality• Emerging market system created durable

inequalities

– Rise of coercive labor systems

– Limits = many areas not yet effected by market

World Economy?• Some (China) benefitted w/out fully

participating– Gov regulation remained strong– Manufacturing allowed for strong export position

• Others (Japan) had a change of heart

• While many societies largely focused on internal development:– India (Mughal Empire); Middle East (Ottomans &

Safavids)– Korea; Africa; Russia

Expansionist Trend• Increasingly areas brought into trade

networks b/t 1450-1750– Europeans begin to view societies as sources of

wealth rather than partners

• India

• Eastern Europe

World Economy & the World Economy & the AmericasAmericas

Chapter 16

pg. 359-364

Colonial Expansion

Americas: Spanish Colonies

• Substantial advantages (guns, germs, steel) led to unscrupulous treatment

• pre-1550: loose control, motivated by booty

• post-1550: tight colonial control, motivated by state profit

Americas: British/French Colonies• Colonies largely ignored, but settlers attempt

to recreate European society (see: pg.364, “North America & Western Civ”)

↳ Loose control, low profitability• Emerging commerce & manufacturing• Independent assemblies• Less impacted by native culture

Africa & Asia: Coastal Trading• Africa

– Inland exploration & colonies limited by geography & disease

– exception: Cape Colony (Boers)

• SE Asia

• South Asia– Gradually British East India Co. increased

control

Impact on Western Europe

• Three major impacts– Economic– Diplomatic

• Seven Years War = first world war?– Daily life

Impact of the New World Order

• Dependency deepened by coercive labor• Yet Columbian Exchange & trade addressed

scarcity

Global Connections• Its complex.

– How?

• Genuine shift was beginning. – Who wins and who loses?