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Exploration and Exploration and Colonization Colonization (1400s (1400s 1700s) 1700s)

Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

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Page 1: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Exploration and Exploration and ColonizationColonization(1400s (1400s –– 1700s)1700s)(1400s (1400s –– 1700s)1700s)

Page 2: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

The “Old World”The “Old World”

Europe, Africa, and AsiaEurope, Africa, and Asia

in the Early 1400sin the Early 1400s

Page 3: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

TradeTrade►►TradeTrade

--Europeans wanted goods such Europeans wanted goods such

as spices, silk, and tea from as spices, silk, and tea from

“the Indies” (Southeast Asia)“the Indies” (Southeast Asia)“the Indies” (Southeast Asia)“the Indies” (Southeast Asia)

►►The The Silk RoadSilk Road

--Ran from Europe to the IndiesRan from Europe to the Indies

--Was kept safe by strong Was kept safe by strong

Chinese rulersChinese rulers

Page 4: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

The Silk Road

Page 5: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Changes in Trade RoutesChanges in Trade Routes

►►New rulers took over Silk RoadNew rulers took over Silk Road

�� It became unsafe to travelIt became unsafe to travel

�� Increased taxes made trade very expensiveIncreased taxes made trade very expensive

►►Rise of Ottoman EmpireRise of Ottoman Empire►►Rise of Ottoman EmpireRise of Ottoman Empire

�� Ottoman rulers became “middleOttoman rulers became “middle--men” in trade men” in trade between Europeans and Asiansbetween Europeans and Asians

►►Asian goods became too expensive for most Asian goods became too expensive for most Europeans to buyEuropeans to buy

Page 6: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Europeans Europeans

Explore Explore Explore Explore

The WorldThe World

Page 7: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Why did Europeans want to explore?Why did Europeans want to explore?

►►To find new trade routes to the IndiesTo find new trade routes to the Indies

�� Wanted to go around the “middle men” Wanted to go around the “middle men” and trade directly with merchants in the and trade directly with merchants in the Indies to get richIndies to get richIndies to get richIndies to get rich

►►For glory and adventureFor glory and adventure

►►To spread their cultureTo spread their culture

�� Christian religion and European valuesChristian religion and European values

Page 8: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Obstacles to ExplorationObstacles to Exploration

►►Lack of knowledge and technologyLack of knowledge and technology

►►Ocean currents and wind patternsOcean currents and wind patterns

�� Sometimes carried ships off courseSometimes carried ships off course

�� Sailors had to ride with the currents and windsSailors had to ride with the currents and winds

�� Limited ability to explore far away placesLimited ability to explore far away places�� Limited ability to explore far away placesLimited ability to explore far away places

Page 9: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Europeans began exploringEuropeans began exploringin the late 1400sin the late 1400s

►►Sharing of ideasSharing of ideas�� MapMap--makers, shipbuilders, navigators, makers, shipbuilders, navigators,

and inventors shared information that and inventors shared information that made exploration possiblemade exploration possible

�� Europeans gained access to maps and Europeans gained access to maps and sailing information from the Chinese, sailing information from the Chinese, Greeks, and ArabsGreeks, and Arabs

►►Development of new technologyDevelopment of new technology�� By the late 1400s, Europeans had the By the late 1400s, Europeans had the

technology needed to begin exploring technology needed to begin exploring faraway placesfaraway places

Page 10: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Compass

Astrolabe

Caravel

Invention Description

Exploration Technology

•A device which helped sailors find direction by using a magnetized needle which always pointed north

•A device which helped sailors use the position of the stars to figure out their location (latitude)

•A fast, lightweight ship which used Caravel

Gunpowder

•A fast, lightweight ship which used triangular sails and a rudder for easier navigation at sea and in shallow waters

•A mixture of chemicals that explodes when lit

•Used in guns and cannons for:-protection from other Europeans-to dominate trade-to fight against natives -to hunt for food

Page 11: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Voyages of ExplorationVoyages of Exploration

Page 12: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Search for New Trade RoutesSearch for New Trade Routes

►►Portugal and Spain were the first European Portugal and Spain were the first European nations to search for new water routes to nations to search for new water routes to the Indiesthe Indies

�� Portugal sent explorers East around AfricaPortugal sent explorers East around Africa�� Portugal sent explorers East around AfricaPortugal sent explorers East around Africa

�� Spain sent explorers West across the AtlanticSpain sent explorers West across the Atlantic

►►England (Great Britain), France, and England (Great Britain), France, and Netherlands, all began exploring soon Netherlands, all began exploring soon afterwardsafterwards

Page 13: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

EuropeanEuropean

ColonialismColonialismColonialismColonialism(1500s(1500s--1700s)1700s)

Page 14: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

►►colonialism:colonialism: a system in which a system in which powerful nations rule over the land powerful nations rule over the land and people of weaker nationsand people of weaker nations

--colony:colony: a land and its people that are a land and its people that are

controlled by a more powerful nationcontrolled by a more powerful nation

--colonial power:colonial power: a nation which has taken a nation which has taken --colonial power:colonial power: a nation which has taken a nation which has taken

control of the government and economy of control of the government and economy of

a weaker nation or territory a weaker nation or territory

(a.k.a. mother country)(a.k.a. mother country)

Page 15: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such
Page 16: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Area of Colonization

(by late 1700s)

Major Colonies and Colonial Powers

Africa

Asia

•Trading posts along coast – Portugal (other Europeans came later)

•South Africa – Netherlands (eventually forced out by Great Britain)

•India – Great Britain (forced other Europeans out)•Dutch East Indies (Spice Islands) – Netherlands•The Philippines – Spain

The Americas

Oceania (Australia and the

Pacific)

•The Philippines – Spain

•British Canada, 13 Colonies – Great Britain•New Netherlands (NY) – The Netherlands•New France, Louisiana, Haiti - France•New Spain, Florida, West Indies, Peru – Spain•Brazil – Portugal

•Australia, New Zealand – Great Britain

Page 17: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Types of ColoniesTypes of Colonies

►►trading post empire:trading post empire: a collection of a collection of colonies used to trade items, typically colonies used to trade items, typically along an established trade routealong an established trade route

►►settler colony: settler colony: type of colony where type of colony where ►►settler colony: settler colony: type of colony where type of colony where people move from their mother countries people move from their mother countries to create permanent settlements or townsto create permanent settlements or towns

►►plantation colony: plantation colony: a type of colony in a type of colony in

which large areas of land are farmed by which large areas of land are farmed by

enslaved people to grow cash crops enslaved people to grow cash crops

Page 18: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Europeans Europeans

in Asiain Asiain Asiain Asia

Page 19: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such
Page 20: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

►►Europeans Explore AsiaEuropeans Explore Asia

�� Portugal finds first all water route to Asia in late Portugal finds first all water route to Asia in late 1400s1400s

�� Portugal, Spain, France, England, and Portugal, Spain, France, England, and Netherlands compete for control of tradeNetherlands compete for control of trade

►►Trade RoutesTrade Routes►►Trade RoutesTrade Routes

�� Europeans set up trading postsEuropeans set up trading posts

►►India and ChinaIndia and China

�� Silks, tea, porcelainSilks, tea, porcelain

►►Southeast AsiaSoutheast Asia

�� Spices (cloves, cinnamon, pepper)Spices (cloves, cinnamon, pepper)

Page 21: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

►►Spread of ReligionsSpread of Religions

�� Hinduism and BuddhismHinduism and Buddhism

►►Spread throughout Asia by 1400sSpread throughout Asia by 1400s

�� IslamIslam

►►Spread by Muslim merchants and militariesSpread by Muslim merchants and militaries

�� ChristianityChristianity�� ChristianityChristianity

►►Spread by European merchants and missionaries Spread by European merchants and missionaries throughout Asiathroughout Asia

►►Caused conflict with Chinese and Japanese rulers who Caused conflict with Chinese and Japanese rulers who believed it was a threat to their culturebelieved it was a threat to their culture

�� Led China and Japan to Led China and Japan to isolationismisolationism, a policy of , a policy of turning inward and cutting off contact with the turning inward and cutting off contact with the outside worldoutside world

Page 22: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Europeans in Europeans in

the Americasthe Americasthe Americasthe Americas

Page 23: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

European Explorers and ConquerorsEuropean Explorers and Conquerors

►►Christopher Columbus “discovered” the Christopher Columbus “discovered” the Americas while looking for a western route Americas while looking for a western route to the Indiesto the Indies

►►Other explorers from Spain, Portugal, Other explorers from Spain, Portugal, ►►Other explorers from Spain, Portugal, Other explorers from Spain, Portugal, England, France, and the Netherlands England, France, and the Netherlands continued to explore the “New World”continued to explore the “New World”

►►European nations later began conquering European nations later began conquering and colonizing the Americasand colonizing the Americas

Page 24: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

European European Colonies Colonies Colonies Colonies in the in the

AmericasAmericas

Page 25: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

►►Spanish coloniesSpanish colonies

�� South American South American ColoniesColonies

►►Plantation farmingPlantation farming

►►MiningMining

�� West IndiesWest Indies

►►Plantation farmingPlantation farming

�� New Spain and New Spain and FloridaFlorida

►►Settler and Settler and Plantation ColoniesPlantation Colonies

►►MiningMining

Page 26: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

►►French coloniesFrench colonies

�� New FranceNew France

►►Trading Post EmpireTrading Post Empire

►►Fur Trapping and FishingFur Trapping and Fishing

�� LouisianaLouisiana

Trading Post Empire and Trading Post Empire and ►►Trading Post Empire and Trading Post Empire and Plantation colonyPlantation colony

�� HaitiHaiti

►►Plantation ColonyPlantation Colony

Page 27: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

►►English coloniesEnglish colonies

�� 13 Colonies13 Colonies

►►Southern ColoniesSouthern Colonies

�� Plantation ColoniesPlantation Colonies

�� Tobacco, Rice, and IndigoTobacco, Rice, and Indigo

(and Later, Cotton)(and Later, Cotton)

►►Northern ColoniesNorthern Colonies►►Northern ColoniesNorthern Colonies

�� Settler ColoniesSettler Colonies

�� Fishing and TimberFishing and Timber

�� British CanadaBritish Canada

►►Trading Post EmpireTrading Post Empire

►►Fur Trapping and FishingFur Trapping and Fishing

Page 28: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

The French and Indian WarThe French and Indian War

�England defeated France

�France gave up territory to England and Spain

Page 29: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Europeans Europeans and Native and Native AmericansAmericans

►► Europeans spread diseases which Europeans spread diseases which killed many Native Americanskilled many Native Americans

►► European missionaries came to European missionaries came to spread Christianity to nativesspread Christianity to natives

►►Treatment of Native AmericansTreatment of Native Americans�� SpanishSpanish

►►Enslaved natives and forced them to Enslaved natives and forced them to work on plantations and in mineswork on plantations and in mines

FrenchFrench�� FrenchFrench►►Lived among nativesLived among natives

►►Learned native languagesLearned native languages

►►Hunted, fished, and traded with nativesHunted, fished, and traded with natives

�� EnglishEnglish►►Lived peacefully alongside natives at firstLived peacefully alongside natives at first

►►As more English settlers arrived, natives As more English settlers arrived, natives were forced off landwere forced off land

Page 30: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Europeans Europeans

in Africain Africain Africain Africa

Page 31: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Exploring Africa’s CoastsExploring Africa’s Coasts

►► Early trade relationshipsEarly trade relationships�� By the 1500s, Europeans had By the 1500s, Europeans had

been trading with Africans for been trading with Africans for gold, salt, and ivory for gold, salt, and ivory for centuries.centuries.

►► Portugal searches for all water Portugal searches for all water ►► Portugal searches for all water Portugal searches for all water route to the Indiesroute to the Indies�� Set up first trading post colonies Set up first trading post colonies

along coasts of Africaalong coasts of Africa

►►Other Europeans came laterOther Europeans came later�� Were initially uninterested in Were initially uninterested in

Africa’s interiorAfrica’s interior

Page 32: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

African Slave TradeAfrican Slave Trade►►Many African kingdoms had participated in the Many African kingdoms had participated in the

slave trade for hundreds of yearsslave trade for hundreds of years

�� Bought and sold criminals, debtors, and Bought and sold criminals, debtors, and prisoners of war as slavesprisoners of war as slaves

►► European Interest in SlavesEuropean Interest in Slaves

�� As Native American As Native American

populations declined, populations declined,

Europeans wanted an Europeans wanted an

inexpensive source of inexpensive source of

labor for their plantation labor for their plantation

colonies in the Americascolonies in the Americas

Page 33: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Triangular TradeTriangular Trade

►►Manufactured goods Manufactured goods (tools, guns, rum, and (tools, guns, rum, and cloth) from Europe to cloth) from Europe to the coast of West Africathe coast of West Africathe coast of West Africathe coast of West Africa

►► Slaves from Africa to the Slaves from Africa to the American coloniesAmerican colonies

►►Raw materials (sugar, Raw materials (sugar, molasses, tobacco, and molasses, tobacco, and cotton) back to Europecotton) back to Europe

Page 34: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such
Page 35: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

“The Middle Passage”“The Middle Passage”

►► “The Middle Passage”“The Middle Passage”-- the the awful trip made by enslaved awful trip made by enslaved Africans across the Atlantic Ocean Africans across the Atlantic Ocean to the Americasto the Americas�� About 16 million enslaved Africans About 16 million enslaved Africans �� About 16 million enslaved Africans About 16 million enslaved Africans

were brought to the Americas were brought to the Americas between the 1500s and 1800sbetween the 1500s and 1800s

�� Slave traders crammed as many Slave traders crammed as many slaves as possible below deckslaves as possible below deck

�� One in five slaves did not make the One in five slaves did not make the journeyjourney

Page 36: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Effects on African SocietiesEffects on African Societies

►►Many African Many African communities lost their communities lost their strongest and most strongest and most capable workers to the capable workers to the slave tradeslave tradeslave tradeslave trade

►► Families were torn apartFamilies were torn apart

►►The introduction of guns The introduction of guns to the continent of Africa to the continent of Africa added to the cycle of added to the cycle of violenceviolence

Page 37: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Participation in the Slave TradeParticipation in the Slave Trade

►►Many African leaders Many African leaders participated in the slave participated in the slave trade to make moneytrade to make money

►►African merchants African merchants kidnapped people of kidnapped people of kidnapped people of kidnapped people of interior parts of Africa and interior parts of Africa and sold them to Europeans at sold them to Europeans at trading posts along coasttrading posts along coast

►► European merchants European merchants bought and sold African bought and sold African slaves for large profitsslaves for large profits

Page 38: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Resistance to the Slave TradeResistance to the Slave Trade►► Some African leadersSome African leaders

�� King Alfonso I King Alfonso I of the Congo of the Congo

asked the Pope to stop the asked the Pope to stop the

slave tradeslave trade

►► Slave RevoltsSlave Revolts

�� Most slave revolts were put downMost slave revolts were put down

�� Successful revoltsSuccessful revolts

►►Slaves won freedom in French colony of Slaves won freedom in French colony of HaitiHaiti

►►Group of slaves won freedom after fighting their captors and Group of slaves won freedom after fighting their captors and taking control of their transport ship, taking control of their transport ship, the Amistadthe Amistad

►►AbolitionistAbolitionist (anti(anti--slavery) movements took place slavery) movements took place in the U.S. during the 1800sin the U.S. during the 1800s

Page 39: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Continued ExploitationContinued Exploitation

►►Slavery was outlawed Slavery was outlawed in most places by the in most places by the end of the 1800send of the 1800send of the 1800send of the 1800s

►►Europeans continued Europeans continued colonizing Africa colonizing Africa through early 1900sthrough early 1900s

Page 40: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Effects ofEffects ofEuropeanEuropeanEuropeanEuropean

Colonial Colonial ExpansionExpansion

Page 41: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Effects of ColonialismEffects of Colonialism►► Political ChangesPolitical Changes

�� European countries became more powerfulEuropean countries became more powerful►►Competed with one another for coloniesCompeted with one another for colonies

�� People of Africa, Asia, and the Americas became weakerPeople of Africa, Asia, and the Americas became weaker

►► Social ChangesSocial Changes�� Cultures were changed in Africa, Asia, and the AmericasCultures were changed in Africa, Asia, and the Americas

►►Dominance of European language and customsDominance of European language and customsChristianity spread to colonized landsChristianity spread to colonized lands►►Christianity spread to colonized landsChristianity spread to colonized lands

�� Natives of colonized lands became lower classesNatives of colonized lands became lower classes

►► Economic ChangesEconomic Changes�� Expanding international trade (Columbian Exchange)Expanding international trade (Columbian Exchange)�� Growth of capitalismGrowth of capitalism

►►New trade gave peasants more opportunitiesNew trade gave peasants more opportunities►►Growth of a middle class in EuropeGrowth of a middle class in Europe

�� Transfer of wealth from colonies to EuropeTransfer of wealth from colonies to Europe

Page 42: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

International TradeInternational Trade

Page 43: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Key Ideas of MercantilismKey Ideas of Mercantilism►►Mercantilism:Mercantilism: an economic theory that states an economic theory that states

that nations become powerful by building up that nations become powerful by building up large supplies of gold and silverlarge supplies of gold and silver

�� Government controls economyGovernment controls economy

►►Decides what to produce in the coloniesDecides what to produce in the colonies

►►Only allows colonies to trade with mother countryOnly allows colonies to trade with mother country►►Only allows colonies to trade with mother countryOnly allows colonies to trade with mother country

�� Nations want Nations want favorable balance of tradefavorable balance of trade

►►Export more than you importExport more than you import

�� Importance of coloniesImportance of colonies

►►Sources of raw materialsSources of raw materials

�� Ex. cotton, sugar, tobaccoEx. cotton, sugar, tobacco

►►Markets for manufactured goodsMarkets for manufactured goods

�� Ex. cloth, guns, toolsEx. cloth, guns, tools

Page 44: Exploration and Colonization...Exploration and Colonization (1400s – 1700s) The “Old World” Europe, Africa, and Asia in the Early 1400s Trade Trade-E- uropeans wanted goods such

Key Ideas of CapitalismKey Ideas of Capitalism►►Capitalism:Capitalism: an economic system based on an economic system based on

private ownership of businesses and propertyprivate ownership of businesses and property

�� Development of CapitalismDevelopment of Capitalism

►►Many merchants believed that trade would increase if Many merchants believed that trade would increase if governments would let the people control the economygovernments would let the people control the economy

�� Free enterpriseFree enterprise

Economy is free from government controlEconomy is free from government control►►Economy is free from government controlEconomy is free from government control

►►Property and businesses are privately ownedProperty and businesses are privately owned

►►People run businesses to earn profitPeople run businesses to earn profit

�� Market economyMarket economy

►►Producers and consumers decide what goods and services to Producers and consumers decide what goods and services to produceproduce

►►Prices and wages are negotiated in the marketplacePrices and wages are negotiated in the marketplace

►►Competition encourages businesses to offer quality goods and Competition encourages businesses to offer quality goods and services at fair pricesservices at fair prices