Download - Chapter 20 Section 4. Objective Describe the Columbian Exchange, global trade, and mercantilism
Chapter 20Section 4
Objective
Describe the Columbian Exchange, global trade,
and mercantilism.
The Columbian Exchange
• the transfer of plants, animals, and diseases between the Old World and the Americas following Columbus's arrival in the Caribbean in 1492.
The Columbian Exchange• Led to a population increase because of the
increase of food products• Led to the migration of millions of people
• Benefited who?Europeans and the Colonies
• Catastrophic for who?Natives
• Colonists/explorers jump-started a process of evolution that hadn’t yet reached the New World– Prematurely merged New
World with Old World– Before, New and Old World
evolved/progressed in isolation
Global Trade• Found new wealth
led to more oversea trade– Rise in business, 16th & 17th centuries
New Economic Systems• Capitalism an economic system based on private
ownership and the investment of resources for profit– Governments no longer only ones with great wealth– Merchants gained $$ and invested it
• Mercantilism a country’s power depends mainly on its wealth– Goal of every nation was to gain as much wealth as possible– Colonies were seen as places to take resources from
• Colonies were a supplier and provided a market
Economic Revolution Changes European Society
• Growth of towns• Very wealthy merchants• Increased nation’s wealth led to creation of
national identity
Disadvantages:• Much of population still lived in rural areas and
remained poor
• Governments made a lot of money off the colonies, but it also cost a lot to maintain so many governments
• Government backed monopolies created a greater divide between the rich and the poor
• A strong European middle class was created, but the laborers of the factories and mines lived wretched lives