Chapter 1: world trade

Capitalism: free unregulated market trade. Individuals can strive with their own investments, business or not. Economy used wealth from everyone by letting them do what they want in a free market. Mercantilism: government should regulate the trade. Government should restrict out flow of gold and silver. Gave businessmen more freedom and got taxable wealth. Felt his method would be best for the STATE. Conquistadores: Spanish soldiers. Spain starts to colonize in north coast of south America. Cortes lead the conquistadores in an expeditions with 600 soldiers. He found tribes including the Aztecs and his goal was to overthrough them. He loses the first time however eventually overthroughs the Aztec and incan empires. How did he do it? Incans and Aztecs were week and not very advanced. Incans were already in their own civil war already making them weak and then the removal of the leaders of Aztec and incans left them in a scramble. A main thing that helped cortez win were diseases which killed more than warfare, Spain was immune to these diseases because they were more advanced. What Spain did next They established a bunch of harsh Spanish laws including Encomienda: spain conquests giving permission to colonies to extract tribute from native Americans and convert them to Christian Repartimento: allowed colonies to enforce labor on Indians Mita: same thing as repartimento except forced labor under Incan rule in Perua. Forced works to work on public work. Hacienda: rural estates that provided the Spaniards with profits from commercial goods. Found large mining areas with gold in silver which gave the spainiards wealth Potosi was the largest silver mine The potosi mine employed native Americans so hand in hand the mining boosted sout American spains economy. All the great amounts of goods (gold and silver) were being made in the Americas, they lacked the ships and ability to trade them. So soon Europe providedorganized trades to the Americas and gave cash (in bills) for raw materials.

Charles the V Was born into power and inherited land. He used Spanish wealth to fund things in Europe. Soon revolts broke out as people wanted Charles to come back to spain and stop the flow of money to Europe. After going into war with the Turkish ottomans Charles put spain bankrupt. Portugal In Africa: Portugal had many goals and one of them was to fuel the sugar industry and to do that they needed laborers from Africa. Portugeuse started taking and making fortresses on the coast of African and even went inland. Porteugal kept using slave trade even against African will. The slaves were brought to Lisbon and then takin to porteugal. In brazil: Portugal got blown off course and ended up in brazil. By the sixteenth century bbrazil started having a huge plantation colonies, mostly on the coasts. After a little bit Portugal discovered massive amounts of diamond and gold in their mountains. Portugal started spending the profits they made on other countries and by the 18th century the gold had run out.