UNIFICATION OF WORLD TRADE
 (Expansion of Europe)
 
 

I.  Capitalism
  	A.  What is it?
   		-- Adam Smith’s Wealth of Nations (1776)
  	B.  What difference does it make?
   		1.  optimistic perspective
   		2.  pessimistic theory
II.  Early Leaders
  	A.  Portuguese Empire
   		1.  objectives:  gold, sugar, slaves, souls
   		2.  legacy
    			a) new route 
    			b) violence 
  	B.  Spanish Empire
   		1.  New World Conquests
    			a) conquistadors
     				-- Hernan Cortes (1521)
     				-- Francisco Pizarro (1532)
    			b) encomienda system
    			c) haciendas
   		2.  Profits & Warfare 
    			a) commercial infrastructure
    			b) Spanish kings
     				-- Charles V (r. 1516-56)
     				-- Philip II (r. 1556-98)
    			c) religious wars --> bankruptcy
III. Trade & Religion
	A.  Reformation
   		1.  Martin Luther (1483-1546)
   		2.  John Calvin (1509-64)
   		3.  King Henry VIII (r. 1509-47)
	B. Counter-Reformation
		1. Council of Trent (1545-63)
		2. Society of Jesus (Jesuits)
	C. Protestantism & Capitalism 
			-- the Dutch example (17th C.)
IV. Establishing Supremacy
	A. French Consolidation
		1. Civil War (1559-89) 
			a) Huguenots vs. Catholics
				-- St. Bartholomew’s Day Massacre (1572)
			b) Henry IV (r. 1589-1610)
				-- Edict of Nantes (1598)
		2. Absolutism: Louis XIV (r. 1643-1715)
			a) Sun King 
			b) mercantilism
			c) War of Spanish Succession (1702-13)
	B. English Domination
		1. Civil War (1642-49)
			a) Catholic king vs. Protestant parliament
				-- King Charles is executed (1649)
			b) Oliver Cromwell (r. 1653-58) 
				-- Protectorate
		2. Constitutional Monarchy (est. 1689) 
			a) supremacy of Parliament
			b) capitalism
				-- laissez-faire
				-- commercial agriculture 
				-- joint stock companies
			c) Seven Years’ War (1756-63) 


Think/Write Question
Do you think the reason European nations competed for world trade was primarily 
economic, political, or religious in nature?