Unit 3

1. Unit 3 Age of Exploration

2. Early Exploring Nations • Why Portugal? • Strategic Location • Trade relations with Muslims • Support of Royal Family • Maritime Experience

3. Who was Exploring? • Dias-Western Africa to Cape of Good Hope • De Gama-Cape of Good Hope to India—made 6000% profit on investment—guess what happened? • Magellan-circumnavigated the globe—was inspired by Balboa (Panama Canal)

4. Strategy and Colonization • Explore African Coast • Claim several islands • Far East was too strong and powerful to conquer, so they settled for a few ports to colonize and trade • Primarily headed East to trade

5. Spain headed West • Why Spain? • Spain was temporarily delayed from wars with the Islamic Moors • Portugal had head start on African Coastline, had to have Plan B • Strategic Location • Trade Relations with Muslims • Support of Royal Family • Maritime Experience

6. Voyage By Columbus • Financed by Ferdinand and Isabella • Believed earth was a sphere, but size estimates were incorrect—not surprised world is round, but surprised by vast proximity • 1492 West Indies, Cuba • Never new what he really found • Amerigo Vespucci mapped the New World

7. Treaty of Tordesillas • Line of Demarcation—Brazil vs. Everything Else • Western sides size still unclear at time of Treaty • Line drawn by Pope

8. Spain and Portugal Try to Stop Northern Wave of Exploration • Why? What was at stake? • Military Power • Immense Wealth • Religious Rivalry • During 1500s, Spain and Portugal allowed the exploration of Northern part of North America by England and France—thought the land was useless • By mid 1500s Northern Europeans had stolen information and shadowed ships • Wars break out between Spanish and English—encourage piracy

9. British Establish colonies in 1600s • Motivations • Gain military strength • Gain wealth • Desire to establish permanent settlements made them different • Exploitation of natural resources became the norm for all European powers • Brought slaves to the new world • Established British East India Co. to manage economic and military relations

10. France • Explored and Colonized Canada • Rich in animal furs • Late 1600s and early 1700s controlled Mississippi Basin

11. Netherlands—the Dutch • In battle for independence from Spain • Attempted to attack Spanish and Portuguese ships to disrupt trade • Created Dutch East India Co. • Established colonies in Indonesia and ran pepper and spice plantations

12. Effects of European Exploration • Created colonies and conquered new lands • Led to wars • Led to nationalism • Emergence of truly global economic system • Worldwide system of military competition—wars between European powers also taking place on other continents

13. Positive Legacy for Europe • Europe gained unprecedented geographical, navigational, and scientific knowledge • Europe became extremely wealthy and powerful • Europe no longer the smallest, weakest civilization

14. Moral and Ethical Legacy • Connections to: • War • Greed • Prejudice • Religious intolerance • Slavery • Tensions between nations still have impact on international relations • Altered dramatically: • Environments • Populations • Economic systems • Political systems

15. Trade Imbalance • China not interested in European products—just silver or regional trade • Europeans trading silver for Chinese products • Japan prohibited foreign trade • Russians traded with central Asian nomads • Ottomans dismissed importance of European technologies • Mughal India encouraged trade—led to British takeover • Europeans feared internal Africa—fear of Malaria in combination with lack of navigable rivers

16. Columbian Exchange

17. Commercial Revolution • New financing • Joint Stock Companies • Pooling money reduces cost and risk • Encourage investors with potential for huge profit • Huge cargoes, and piracy rampant • Church revised bans on business practices • Lending money—usury • Charging interest • Monarchies granted trade monopolies • Dutch East India Co.—spice islands and Indonesia • British East India Co.—India • Fostered growth of capitalism

18. Mercantilism • Why? • Countries sought trade • Export more than import—trade deficit implied weakness • To have surplus, someone else had to have deficit—colonies • Colonies sent resources to mother country • Colonies bought only from mother country • Colonies only used mother country’s ships • Huge tariffs on trade outside of country—low tariffs on trade within • Colonies annoyed • Sent resources away • Not free to buy cheapest or best product • Added taxes

19. Social Diversification • Growing importance of non-agricultural ways to earn money—growing middle class • Banking • Commerce • Trade • Shipping • Shop keeping • Artisanry • Craftsmanship • Wealth now being based on industries around money and NOT land

20. Extraction of Precious Metals—Especially Silver • Affected economies around the world • Glut of precious metals • Severe inflation

21. Birth and Growth of Atlantic Slave Trade • 1400-1800 A.D.—12 million African Slaves • More on this later….

22. Chartered Companies and State Banks • The Crown allowed charter companies • Large banks were also chartered by the Monarchy • Facilitated lending and management of kingdoms economy • Lent money to the government • Lent money and issued bank notes—redeemable for gold/silver coins

23. The foundation toward Revolutions is being cemented…