Mercantilism
Economics in the seventeenth and eighteenth century were dominated by the idea of mercantilism. Mercantilism depended on the cooperation between colony and mother country in the shipping and production of raw materials. Domestic industry increased employment, expanded commercial activity within the country and decreased France's dependence on foreign trade. The success of a Mercantile system relied on the government, participating merchants, even nobility and the working class, all had effects on the success of the French economy.
France's King Louis XIV played a hugely important role in the success of mercantilism. Louis XIV realized the affects of a successful mercantile economy in France. The King supported the theory of the mercantile system but he failed the follow through with the suggestions of Colbert, minister of the state. Aware of the huge amount of money that was being spent on foreign goods, Louis XIV worked towards establishing internal industries, such as tapestry production which France has become famous for. (Doc. 5) He also was searching for w...
Encomiendas: An encomienda was a grant of Native American labor given to prominent European men in the Americas by the Spanish king. This grant allowed European men to extract tribute from natives in the form of labor and goods. The value of the grants was dramatically increased with the discovery of gold and silver in the Americas. The significance of this term is that although this system was eventually repartitioned, it initiated the tradition of prominent men controlling vast resources and monopolizing native labor.
In a similar economic revolution, the colonies outgrew their mercantile relationship with the mother country and developed an expanding capitalist system of their own. With Britain's reliance on the mercantile system it rubbed off on most of the colonies. They wanted to be self sufficient so that they would not have to resort on help from other countries. The Southern colonies for example relied heavily on trade with England. This was caused by the geography in the south, because it was mostly a tidewater region. This allowed ships to sail deep within the south. Therefore cotton from Georgia was sent across to England, then it was made into thread or such. It was then sent back to the colonies were it was to be made into various items. Due to the geographic location of the northern ...
Mercantilism and capitalism both have to do with money accumulation. Capitalism are businesses controlled by private owners. Since they own the business and the government doesn’t all the profit from the work they’ve done and the trades they’ve made goes to them. Mercantilism are countries that are exporting more goods than their importing. In 17th and 18th century this system was used by British government to restrict how the colonies spent their money. Capitalism is the making of the money in a country, and mercantilism is making money from other
In order to finance the wars, taxation had to be raised, and everyone including the nobility had to pay (they used to be an exempt). Nearing the end of King Louis’s reign, France was bankrupt, resulting the people of the state to be at odds with their king. “France’s resources and finances were ultimately drained, leading King Louis and the state of France in debt, which made the people turn against him” (Eggert). Regardless, when it came to the arts, his rule as an absolute monarch has led him to contribute so much in various branches of creative activity today. Comparing the given examples, his use of the arts was one of the most important ways King Louis XIV introduced and glorified his rule as an absolute monarch to his people.
In a similar economic revolution, the colonies outgrew their mercantile relationship with the mother country and developed an expanding capitalist system of their own. England's economic system was primarily based on mercantilism, which was directly related to the colonies. This concept of mercantilism said that wealth is power and however much power you have is how much gold and silver one country has in its treasury. For this concept to take place, England had to export more than import. Because the colonies had the raw materials needed England set up laws such as navigation laws to restrict what the colonies coul...
However, here the was a monarchy and a king with great control over the government. Using his control of the economy, a strong "Mercantilism" system was used aimed at maximizing foreign exports and reserves. The king became the center of this new power. The last major point which increased political power was the reorganizing of the central governments in both England and in France. The economic changes in this century required new relationships between the King and his subjects.
In a similar economic revolution, the colonies out grew their mercantile relationship with England and developed their own expanding capitalist system. The idea of a set amount of wealth in the world and that if one were to become wealthy, he or she had to take from someone who is already wealthy, is basically what mercantilism means.
Nobles and merchants enjoyed the new luxuries and wanted more of them.This is interesting because the rich people would have fancy wool clothes that were only meant for the finest and wealthiest people in France which drop in value after silk was brought to France.Document 8 states that “Spices were used to keep food from spoiling.This is relevant because they would just have to eat or let it spoiled. The seasonings made the food taste better and not go bad.In conclusion the technology and ideas from other regions.
Louis XIV is considered the “perfect absolutist” and he has been said to have been one of the greatest rulers in France’s history. He came up with several different strategic plans to gain absolute
Much like Britain and their need for money, King Louis XVI needed money due to causing France to become bankrupt with his costly
Of all the absolute rulers in Europe, by far the best example of one, and the most powerful, was Louis XIV of France. Although Louis had some failures, he also had many successes. He controlled France’s money and had many different ways to get, as well as keep his power, and he knew how to delegate jobs to smart, but loyal people.
One facet of this unique system involved the numerous economic differences between England and the colonies. The English government subscribed to the economic theory of mercantilism, which demanded that the individual subordinate his economic activity to the interests of the state (Text, 49). In order to promote mercantilism in all her colonies, Great Britain passed the Navigation Acts in 1651, which controlled the output of British holdings by subsidizing. Under the Navigation Acts, each holding was assigned a product, and the Crown dictated the quantity to be produced. The West Indies, for example, were assigned sugar production and any other colony exporting sugar would face stiff penalties (Text, 50). This was done in order to ensure the economic prosperity of King Charles II, but it also served to restrict economic freedom. The geographical layout of the American colonies made mercantilism impractical there. The cit...
Louis fought his early wars for defensive purposes— to secure France’s northern border and to remove the Spanish from strategic towns. However, the Sun King pursued many subsequent wars to increase his power and influence. For example, Louis believed that if France had once historically controlled a region, France was justified in winning the region once again. Louis believed, as a divine right ruler, that he had the authority to break truces at will. Consequently, Louis made many enemies out of nearby countries, including Spain, England, and the Netherlands. After Louis won the Campaign in the Franche-Comte region in 1668, Europe was not interested in having France become the preeminent power in Europe. Louis believed that trade would generate wealth and by keeping trade within his own colonies, he could capture the profits that would have been otherwise outside of his control. By reorganizing the administrative and financial aspects of his kingdom and developing trade and manufacturing, he improved the prosperity of his empire. Louis sought to finance his military objectives from this new income stream, but ultimately, it was not enough. Louis XIV’s many wars, and the lavish life at Versailles, exhausted France of funds. Since only the lowest French classes such as the farmers paid the
Mercantilism Essay England in the 17th century adopted the policy of mercantilism, exercising control over the trade of the colonies, thus greatly affecting their political and economical development. Mercantilism was the policy in Europe throughout the 1500's to the 1700's where the government of the mother country controlled the industry and trade of other, weaker settlements with the idea that national strength and economic security comes from exporting more than what is imported. Possession of colonies provided the countries with sources of raw materials and markets for their manufactured goods. This system had political and economical repercussions on the inflicted because it inspired many new laws and acts for the colonies, and it restricted the colonies trade to England, reducing the revenue that the colonies received. The thirteen colonies were influenced by the mercantilism policy of England due to the numerous trading prohibitations and taxes that were placed on them and the goods they trafficked.
Depending on what superpower used it, the colonies under the superpowers were restricted from doing certain things, and had to follow certain mercantile regulations. The mercantile systems most likely ended up with the colonies undergoing revolutions (America and England) which resulted in the end of mercantilism.