Presentation on the topic Features of the development of the modern world economy
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§ 15. The emergence of the world market
Define the concepts and give examples of their use in historical science:
Great geographical discoveries - the time when Europeans discovered new lands around the world through sea voyages;
price revolution - a sharp rise in inflation in Western Europe as a result of the import of large quantities of precious metals from the New World;
classes - layers of society, membership to which is determined by property status and type of activity, but not by origin;
capital - the amount of money used for entrepreneurship;
capitalism is a social system in which the main ones are the commodity-money economy and property relations;
joint stock company - an association of several people with their capital on the terms of sharing profits in proportion to the invested funds;
a commodity exchange is a single platform for making transactions for the purchase and sale of goods (without the participation of the goods themselves) according to certain rules;
stock exchange is a single platform for transactions for the purchase and sale of securities according to certain rules.
1. Make a diagram of “Prerequisites for the Great Geographical Discoveries.”
2. Think about why Spain and Portugal were the first countries to equip sea expeditions to the countries of the East. What events of the Middle Ages contributed to this?
Causes:
— The Iberian Peninsula is located in the south of Europe, more abundant harvests made its inhabitants richer than the northerners, more resources could be allocated to long voyages;
— Spain and Portugal had access to the Atlantic Ocean, unlike the cities of Italy or the Hanseatic League, whose ships had to sail to the ocean through narrow straits;
- Portugal, Castile and the countries of the Crown of Aragon (Castile and the Crown of Aragon later united to form Spain) fought wars with each other, but not as devastating as the Hundred Years;
- thanks to the Reconquista, these kingdoms were already quite centralized, the kings had to reckon with large feudal lords, but such problems did not arise with them as, for example, the king of France with the Duke of Burgundy in the second half of the 15th century;
— dynastic crises occurred in the countries of the Iberian Peninsula, but none led to such large-scale conflicts as the War of the Roses in England;
- after the end of the Reconquista, both in Spain and Portugal there were many land-poor nobles who knew almost nothing except how to fight and whose forces needed to be applied somewhere so that they were not aimed at civil strife and the destruction of the state.
3. Make a table “Great geographical discoveries of modern times” according to the following scheme: continent, date of discovery, name of the discoverer (country), significance of the discovery. Use the textbook map as you work.
4. What is a price revolution? What were the consequences of the price revolution for Europeans? In what areas of life did they manifest themselves?
The price revolution is, in essence, inflation. In Western Europe, a large number of new coins were issued from precious metals brought from the New World, but the number of goods did not increase so significantly, because at first it was jewelry that was brought most of all from the colonies. The result was a depreciation of money, that is, a jump in prices.
Those who suffered the most from the price revolution were those who received a fixed payment - that is, the feudal lords, as well as day laborers. To a lesser extent they were peasants. They could sell their products at higher prices, but for work in the fields of the feudal lord they received payment, the amount of which did not increase for a long time. The feudal lords, who also received a fixed payment from the peasants and also kept their savings in gold and silver, also suffered.
The price revolution had the greatest impact on trade, because to compensate for losses, traders needed to increase their turnover. But in general, in one way or another, it touched all life, subsistence farming was already becoming a thing of the past, everyone needed to buy or sell something.
The price revolution had a serious impact on public policy. It helped the formation of mercantilism - with rising prices, the monarchs even more realized the need to fill their treasury by any means, which is the essence of this policy.
1. What are the arguments in favor of the opinion of scientists about the beginning of the New Time from the end of the 15th century. Can you give it based on the text of the paragraph?
Arguments:
— Great geographical discoveries made global history for the first time and brought Europeans to all parts of the world;
- the price revolution dealt a significant blow to feudalism and contributed to the formation of capitalism.
2. Based on the textbook text, come up with a plot for a cartoon (or draw one) on the topic “The Rise of World Trade” or “The Price Revolution.”
For this caricature, you can take an ancient myth, especially since they became popular at the beginning of the modern era. Then Daedalus should be shown as a symbol of world trade, confidently flying and rising, and Icarus, already falling into the sea, as a symbol of the Price Revolution, the disaster brought by new discoveries and trade.
3. Describe new features in world trade and the consequences of its development.
New Trading Features:
- maritime trade became the most profitable;
- trade became global - European merchants brought goods from all over the world;
— to obtain initial capital, people united into joint-stock companies;
- in many countries monopolistic companies were created for such trade.
Consequences:
— colonialism and the enslavement of underdeveloped peoples developed, because it was easier for European merchants to trade with their compatriots who received goods locally;
- the struggle for the colonies unfolded between European states;
- an increasing number of monarchs began to pursue a policy of mercantilism;
- Manufacturing industry began to develop on the basis of trade capital.
4. What were the ways of capital accumulation in Europe in the 15th-16th centuries? What role were they expected to play in the future?
The main way of capital accumulation was trade with distant countries. This led to the onset of the colonial era - everyone saw the benefits of seizing overseas lands. It was then that the path to dividing the world between European powers began.
Also, to obtain capital immediately, you could take out a loan or create a joint stock company. This helped the formation of the financial sector of the economy, which is so important today.
5. Confirm or refute F. Braudel’s idea that “in... large cities, primary capitalism developed precisely thanks to “trade with distant countries.” This was the beginning of the dominance of enterprising traders."
Sea voyages made trade with distant countries less expensive. The ship has more efficiency, that is, you need to invest less money in a sea expedition than in horses and camels transporting the same amount of goods over the same distance. In addition, when traveling overland it was necessary to pay numerous customs duties, which sea expeditions helped to avoid.
But despite this, the costs of long journeys remained significant and the risks high. Therefore, prices for overseas goods did not fall. This made it possible to receive large profits from overseas trade. Moreover, this profit was concentrated in cities that had large ports.
Obtaining initial capital in other areas was problematic. Under the price revolution, rent was no longer so profitable. The craft did not provide such a large profit; moreover, the intensity of transactions was regulated by guild rules.
At the same time, money gave power. In the conditions of centralized states that pursued a policy of mercantilism, monarchs took note of those who brought them money. The spread of mercenary troops further increased the power of money - now power could also be bought, and this did not require vassals.
Thus it is clear that Fernand Braudel is completely right.
