The Expansion of The Expansion of TradeTrade

Chapter 2Chapter 2

The Expansion of TradeThe Expansion of Trade

►Worldview InquiryWorldview Inquiry What impact might What impact might

increased trade and increased trade and business have on a business have on a society’s worldview?society’s worldview?

VocabularyVocabulary

► City-statesCity-states►HinterlandHinterland► UsuryUsury► RepublicRepublic

Marco PoloMarco Polo

► Italian MerchantItalian Merchant► Born in Venice in Born in Venice in

12541254► Traveled to Asia Traveled to Asia

with fatherwith father Father taught him to Father taught him to

be an explorerbe an explorer

►Died in 1324Died in 1324

The Rise of International The Rise of International TradeTrade

► Silk RoadSilk Road Connected the Connected the

Mediterranean to the Mediterranean to the Pacific OceanPacific Ocean

►More than goods More than goods tradedtraded Ideas and knowledgeIdeas and knowledge

► Few Europeans on Few Europeans on Silk RoadSilk Road Why?Why?

The Crusades and TradeThe Crusades and Trade

► Religious wars Religious wars between Christians between Christians and Muslims over and Muslims over the Holy Landthe Holy Land

► Four major Crusades Four major Crusades 1096 – 12041096 – 1204

► Followed the Silk Followed the Silk RoadRoad Traders later Traders later

followed this road.followed this road.

The Crusades and TradeThe Crusades and Trade

► Two important resultsTwo important results Contact with Muslim Contact with Muslim

CivilizationCivilization TradeTrade

Contact with MuslimsContact with Muslims►More advanced than More advanced than

EuropeansEuropeans Due to travels and Due to travels and

contactscontacts

►Had knowledge of:Had knowledge of: MedicineMedicine AstronomyAstronomy PhilosophyPhilosophy MathMath Ancient literatureAncient literature

►Welcomed Welcomed EuropeansEuropeans

TradeTrade

►Many new goods:Many new goods: OilsOils SpicesSpices New varieties of fruitNew varieties of fruit JewelsJewels RugsRugs FabricsFabrics

► Europeans could not Europeans could not get enoughget enough Trade beginsTrade begins

Most Important GoodMost Important Good

► SpicesSpices► Improved taste of Improved taste of

foodfood► Pepper most valuablePepper most valuable

Worth more than goldWorth more than gold

► Traders from all over Traders from all over Europe came to portsEurope came to ports Caused the price Caused the price

increase.increase.

Renaissance Trade RoutesRenaissance Trade Routes

Read page 44 and answer questionsRead page 44 and answer questions

The Italian City-StatesThe Italian City-States

►Most countries did Most countries did not have the same not have the same borders as today.borders as today.

►Most were Most were kingdoms and kingdoms and empires ruled by empires ruled by monarchs.monarchs.

► Italy was not even a Italy was not even a country.country. It was a city-state.It was a city-state.

City-StateCity-State

► A city-state consists of A city-state consists of a city that is politically a city that is politically independent and the independent and the rural area around it. rural area around it. This rural area is This rural area is called the hinterland.called the hinterland. What are some city-What are some city-

states that exist today?states that exist today?

Florence

Success of City-StatesSuccess of City-States

► Italian City-States Italian City-States were “in the right were “in the right place at the right place at the right time” to become the time” to become the wealthiest cities in wealthiest cities in Europe.Europe.

► Successful because:Successful because: GeographyGeography ClimateClimate LeadershipLeadership Social OrganizationSocial Organization

GeographyGeography

► Italy was closest to Italy was closest to the port cities of the port cities of Northern Africa.Northern Africa. Spices and other Spices and other

goods to trade.goods to trade.

► Cheapest for Cheapest for Italians to transport Italians to transport using the sea rather using the sea rather than land.than land.

ClimateClimate

►Mild climateMild climate► Trade and travel not Trade and travel not

interrupted by winterinterrupted by winter► Long growing seasonLong growing season

Olives for cooking oilOlives for cooking oil Grapes for wineGrapes for wine

LeadershipLeadership► Most countries in Most countries in

Europe were Europe were monarchies (ruled by monarchies (ruled by king or queen)king or queen)

► Italian City-States had Italian City-States had their own governments their own governments and armies.and armies.

► Venice, Milan, Florence, Venice, Milan, Florence, and Genoa most and Genoa most powerfulpowerful Trading, Banking, Trading, Banking,

BusinessBusiness

Social OrganizationSocial Organization

► Italian City-States did Italian City-States did not have a strong not have a strong sense of Feudalismsense of Feudalism What’s that again?What’s that again?

►Nobles wanted to live Nobles wanted to live in towns, not manors.in towns, not manors.

► Became involved in Became involved in business and politics.business and politics.

Medici Family

Competition for TradeCompetition for Trade

► Rivalry for trade.Rivalry for trade. Genoa and Venice Genoa and Venice

fought over the fought over the Mediterranean. Mediterranean.

► Venice is easily Venice is easily defended.defended.

► Became important Became important to the far East and to the far East and Africa.Africa.

► Thousands of ships Thousands of ships traveling the seas.traveling the seas.

Competition for TradeCompetition for Trade

► Genoa controlled Genoa controlled another major part of another major part of trade.trade.

► Important to Spanish Important to Spanish ports.ports.

► Equal with Venice for Equal with Venice for centuries.centuries.

► Battled Venice and Battled Venice and lostlost Never regained it’s Never regained it’s

power.power.

Commerce in the City-StatesCommerce in the City-States

►Merchants were Merchants were wealthy.wealthy.

►Made money by Made money by buying goods in one buying goods in one place and selling it place and selling it higher in another higher in another place.place.

► Bought finished Bought finished goods and goods and resources.resources.

Doing BusinessDoing Business

► Read p. 51 and answer Read p. 51 and answer the following questions:the following questions: In which business model In which business model

would you rather be a would you rather be a worker? Why?worker? Why?

Which model do you think Which model do you think would lead to the growth would lead to the growth of business? Why?of business? Why?

What values does each What values does each model represent?model represent?

Which model do you think Which model do you think is generally followed in is generally followed in today’s society? Explaintoday’s society? Explain

Making Money With MoneyMaking Money With Money

► Bankers and Bankers and merchants brought merchants brought wealth.wealth.

► Florence established Florence established bank house in Europe.bank house in Europe.

► The currency “Florin” The currency “Florin” was the most was the most important of all.important of all.

► Usury became Usury became important.important. Charging interest on Charging interest on

loans.loans. Church said it was Church said it was

sinfulsinful

The Church and MoneyThe Church and Money

► Forgave the sinForgave the sin Needed to encourage Needed to encourage

investment in trade.investment in trade.

► Allowed interest for:Allowed interest for: Trading voyages Trading voyages

where shipwreck or where shipwreck or pirates were possiblepirates were possible

► Italians eventually Italians eventually made new practices made new practices to make trade easierto make trade easier

Smart Smart ItaItaliliansans

► Florence competed Florence competed with other city-states.with other city-states.

► Italian bankers traveled Italian bankers traveled Europe.Europe.

► People who were People who were exposed to Italians exposed to Italians were impressed with were impressed with beautiful cities and beautiful cities and their sophistication.their sophistication.

► Everyone began Everyone began spreading Italian spreading Italian values and ideas values and ideas across Europe.across Europe.

New Business PracticesNew Business Practices

Business PracticeBusiness Practice PurposePurpose

Partnerships and Joint Stock Partnerships and Joint Stock CompanyCompany

Used to raise money for large Used to raise money for large projects. Less risk for projects. Less risk for individuals.individuals.

BanksBanks Provided money-lending and Provided money-lending and issuing Bills of Exchange.issuing Bills of Exchange.

Bills of ExchangeBills of Exchange Modern day chequing. Safer Modern day chequing. Safer than carrying gold.than carrying gold.

InsuranceInsurance Paid a small fee to insure Paid a small fee to insure goods. If damaged, lost, or goods. If damaged, lost, or robbed, company pays for robbed, company pays for goods. If goods arrive safely, goods. If goods arrive safely, company keeps fee.company keeps fee.

What About the Black Death?What About the Black Death?

► Sent economy into Sent economy into depression.depression.

► Italy did not recover until Italy did not recover until 1500s.1500s.

► Merchants and bankers Merchants and bankers continued to grow continued to grow wealthy because of trade.wealthy because of trade.

► Rich spent money on arts Rich spent money on arts and beautification of and beautification of cities.cities.

► Made citizens loyal and Made citizens loyal and prideful.prideful.

The Medici FamilyThe Medici Family► Read about the Medici Read about the Medici

Family on p. 54Family on p. 54► Answer the following Answer the following

questions:questions: Consider why so many Consider why so many

Medici met violent Medici met violent deaths, some deaths, some engineered by family engineered by family members.members.

Which factors in the Which factors in the worldviews icon explain worldviews icon explain the success of the the success of the Medici Family?Medici Family?

In what ways did the In what ways did the economic power of the economic power of the Medici affect their role Medici affect their role as citizens of Florence?as citizens of Florence?

Cheat SheetCheat Sheet

► Success of Northern Success of Northern City-StatesCity-States

► Canadian cities Canadian cities (geography)(geography)

► Positives and negatives Positives and negatives to trade.to trade.

► 2 important results 2 important results from crusades.from crusades.

► Northern Italy Northern Italy compared to rest of compared to rest of Europe.Europe.

Performance TaskPerformance Task

► You are Josephine Amee, a You are Josephine Amee, a merchant visiting Genoa. A merchant visiting Genoa. A trading ship has just arrived trading ship has just arrived in the Italian port loaded in the Italian port loaded with goods from the East. with goods from the East. Write a letter to the mayor, Write a letter to the mayor, François Fillon, of your town François Fillon, of your town in the French Alps informing in the French Alps informing him of what life is like in him of what life is like in Genoa. Keep in mind the Genoa. Keep in mind the writer comes from a writer comes from a different geographical different geographical setting and thus has setting and thus has different experiences and different experiences and worldview.worldview.

► Your address is:Your address is: 15234 – 11 St15234 – 11 St Genoa, IT T5X 3P3Genoa, IT T5X 3P3 ItalyItaly

► The mayor’s address is:The mayor’s address is: 7012 – 15 St7012 – 15 St Belfort, PR T5Z 4L9Belfort, PR T5Z 4L9 FranceFrance