Glossary
Agricultural Revolution
A period of significant innovation in farming techniques and practices, leading to increased food production and supporting population growth.
Example:
The Agricultural Revolution in Britain, with its new farming methods, was crucial for feeding a growing urban population.
Bills of Exchange
Written orders used in international trade to pay a specified sum of money to a specified person, facilitating long-distance transactions and reducing the need for physical currency.
Example:
Merchants used Bills of Exchange to conduct business across borders, making large transactions safer and more efficient than carrying large amounts of gold.
Black Death
A devastating pandemic that swept through Europe in the mid-14th century, significantly reducing the population and impacting social and economic structures.
Example:
The demographic recovery after the Black Death allowed for a population boom that fueled economic changes in the 17th century.
Bourgeoisie
The middle class, typically associated with urban merchants, professionals, and skilled artisans, who gained increasing economic and social power during this period.
Example:
The rising wealth from trade and commerce empowered the Bourgeoisie, who began to challenge the traditional dominance of the aristocracy.
Capitalism
An economic system characterized by private ownership of the means of production, investment of money for profit, and a market economy.
Example:
The growth of trade and new business practices during the Commercial Revolution laid the groundwork for the rise of modern Capitalism.
Colonial Empires
Territories and peoples controlled by a distant sovereign state, established through exploration, conquest, and settlement.
Example:
Spain's vast Colonial Empire in the Americas provided immense wealth, but also contributed to the Price Revolution.
Commercial Revolution
A period of European economic expansion, colonialism, and mercantilism from the 16th to 18th centuries, characterized by new business practices and trade routes.
Example:
The Commercial Revolution transformed Europe from a collection of localized economies into a more interconnected, global trading system.
Cottage Industry
Also known as the putting-out system, this decentralized production method involved rural families producing goods, typically textiles, in their homes.
Example:
Many peasant families supplemented their income through the Cottage Industry, spinning wool or weaving cloth for merchants.
Expanding Trade Networks
The development of new and more extensive routes for the exchange of goods, particularly those connecting Europe with the Americas and Asia.
Example:
The search for spices and new markets led to the creation of Expanding Trade Networks that bypassed traditional Mediterranean routes.
Four-Field Rotation System
An agricultural innovation that replaced the traditional two-field system, allowing for continuous cultivation and improved soil fertility by rotating different crops.
Example:
Farmers adopting the Four-Field Rotation System could grow more food year-round, preventing land from lying fallow.
Global Trade Networks
Interconnected systems of commerce spanning continents, facilitating the exchange of goods, ideas, and people across vast distances.
Example:
The establishment of new Global Trade Networks with the Americas and Asia fundamentally reshaped European economies.
Joint-Stock Companies
Business organizations where shares of stock are sold to investors, who then share in the profits or losses, allowing for large-scale ventures with reduced individual risk.
Example:
The British East India Company was a prominent Joint-Stock Company that pooled capital from many investors to finance lucrative but risky voyages to Asia.
Land Reclamation
The process of creating new land from areas previously covered by water, often through drainage or filling.
Example:
The Dutch excelled at Land Reclamation, turning marshlands and sea areas into fertile farmland to expand their agricultural output.
Mercantilism
An economic theory and practice dominant in Europe from the 16th to the 18th century, promoting governmental regulation of a nation's economy to augment state power at the expense of rival national powers.
Example:
Under Mercantilism, European powers sought to accumulate wealth through a favorable balance of trade, often by establishing colonies to provide raw materials and serve as captive markets.
Merchant Capitalists
Entrepreneurs who accumulated wealth through trade and invested it in commercial ventures, often financing voyages and new businesses.
Example:
Families like the Fuggers became powerful Merchant Capitalists, lending money to monarchs and financing large-scale trading expeditions.
New World Crops
Agricultural products, such as potatoes and corn, introduced to Europe from the Americas following the Columbian Exchange.
Example:
The introduction of New World Crops like the potato provided a calorie-rich food source that significantly boosted European population growth.
Price Revolution
A period of high inflation across Europe during the 16th and early 17th centuries, largely attributed to the influx of silver and gold from the Americas.
Example:
The Price Revolution caused significant economic hardship for those with fixed incomes, as the cost of goods rose dramatically.
Printing Press
A mechanical device for applying ink to paper or cloth, enabling the mass production of printed materials.
Example:
The invention of the Printing Press not only spread religious ideas but also created a new market for books and educational materials.