Glossary
Debt Traps
A situation where a country becomes heavily indebted to a foreign power or institution, making it economically dependent and vulnerable to the lender's influence.
Example:
Some developing nations today face debt traps when they accept large loans for infrastructure projects from powerful countries, leading to long-term economic and political leverage for the lender.
Economic Imperialism
When a country uses its economic power, rather than direct military conquest, to control or influence other countries, often by dominating resources, trade, and financial systems.
Example:
During the 19th century, European powers engaged in Economic Imperialism by establishing spheres of influence in China, controlling trade and investment without direct colonial rule.
Formal Economic Imperialism
A type of economic imperialism characterized by direct political and military control over a colonized territory, where the imperial power governs the economy directly.
Example:
The French control over Indochina, where they directly administered the government and exploited rubber plantations, is an example of Formal Economic Imperialism.
Industrial Revolution
A period of rapid technological advancement and economic change, primarily in the 18th and 19th centuries, that increased the demand for raw materials and new markets, fueling imperialism.
Example:
The Industrial Revolution in Britain created an insatiable demand for cotton, leading to increased pressure on India to produce raw materials for British factories.
Informal Economic Imperialism
A type of economic imperialism where control is exerted through economic pressure, trade agreements, and financial influence rather than direct political or military rule.
Example:
The United States' influence over many Latin American economies through loans and trade policies, without direct colonization, exemplifies Informal Economic Imperialism.
Investment (Economic Imperialism)
The act of putting money into foreign economies, often through loans or infrastructure projects, to gain influence and generate profits.
Example:
European banks made significant investments in Latin American railways and mining operations, which often came with political leverage.
Markets (Economic Imperialism)
New territories or populations where imperial powers could sell their manufactured goods and services, expanding their economic reach.
Example:
After industrializing, Japan sought new markets in Korea and China to sell its manufactured textiles and machinery, leading to regional expansion.
Opium Wars
Two mid-19th century conflicts between Britain and China, primarily over Britain's desire to force the sale of opium in China to correct a trade imbalance.
Example:
The Opium Wars highlighted China's vulnerability to Western economic and military power, leading to a series of unequal treaties.
Resources (Economic Imperialism)
Raw materials like oil, minerals, and lumber that imperial powers sought to acquire from other regions to fuel their industrial production.
Example:
The British Empire's interest in India was partly driven by the desire for resources like cotton and tea to supply its textile mills and consumer markets.
Treaty of Nanjing (1842)
The treaty that ended the First Opium War, forcing China to open five treaty ports, cede Hong Kong to Britain, and pay a large indemnity.
Example:
The Treaty of Nanjing marked the beginning of China's 'century of humiliation,' as it was the first time a Western power dictated terms to the Qing Dynasty.
Treaty of Tientsin (1860)
A treaty that concluded the Second Opium War, further opening China to foreign trade, legalizing the opium trade, and allowing foreign missionaries.
Example:
The Treaty of Tientsin deepened foreign penetration into China, granting more privileges to Western powers and further weakening the Qing government's authority.
Unequal Treaties
A series of treaties imposed by Western powers on China and other East Asian countries in the 19th century, granting significant economic, territorial, and legal concessions to foreign nations.
Example:
The Treaty of Nanjing, which forced China to open ports and cede Hong Kong, was the first of many Unequal Treaties that undermined Chinese sovereignty.