The European Exploration established many colonies in Africa and the Americas.
A new reservoir of revenue became readily avenue sparking the Commercial Revolution.
Raw materials, gold, and other precious metals poured into Europe, eventually becoming
manufactured goods. Slaves became a source of cheap labor and many Europeans spread
Europe's economic policies when they settled in the colonies. Mercantilism, which stated
that a colony's purpose was to benefit the mother country, shaped Europe during
throughout the revolution.
From 1492 to 1870 a new gold-salt and silk trade were established, creating an
international economy. Most of the gold and salt came from Africa while Asia was the
major silk exporter. New business rules were because of the influx of money. Joint-stock
companies, as well as insurance companies, were created. Joint-stock ventures were now
insured for damages that any of their ships suffered. There was a new banking system,
becoming more prominent than the system set up by the Medicis during the early 1400s.
Gold and silver coins were replaced by paper currency and bank credits were being
introduced. The stockmarket was born, drawing its life force from joint-stock companies
and their speculations. Monopolies arose when joint-stock companies incorporated with
each other. Some of the European companies tried to stop the rise of monopolies.
England passed the Bubble Act restricted the rights of joint-stock companies to
incorporate with each other. Economic competition found a new intensity which it never
had before. The economic bourgeoisie rose to power through entrepreneurial business.
Social and political revolutions, as well as the Industrial Revolution, planted the roots of
The Commercial Revolution continued into the 1900s with the spark of European
Imperialism. The 'Mad scramble for Africa' could best be related to bees in the spring.
In the spring, flowers start blooming causing the bees...