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Giattino - U3-4a

Commercial Revolution

QuestionAnswer
Commercial Revolution Expansion of trade and growth of cities between about 1000 and 1300, new ways of doing business arose in Europe. Money grew in importance
Guilds Merchants and craftspeople. A type of trade association. All of the people who worked in one craft, such as baking or weaving would join together.. Made sure the quality of the goods stayed high. Regulated hours of work and prices of goods. apprentices
Capitalism Based on the idea of private ownership of property Results Emergence of middle class of merchants and businessmen and bankers Would eventually become a powerful force for change in Europe
Partnership a small group of merchants pooled their funds to finance a large-scale trading venture. By pooling their capital, they could finance ventures that no single merchant could have afforded
Joint Stock Company allowed many merchants to pool their funds for business ventures
Banking Individual merchants often did not have the capital they needed for an overseas trading venture. They borrowed from money lenders, who developed systems of banking. Provided bills of exchange.
Mercantilism a countries power is measured by it’s wealth in gold and silver Encouraged strict government control of the economy in order to create a favorable balance of trade To export more than import Obtain colonies to be used as sources of raw materials
Effects of Mercantilism Strict policies led to resentment from the colonies Was one of the underlying reasons for the American Revolution France – The Bourgeoisie – the rich: felt they would benefit from less taxes
Created by: JImmyjet81
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