Causes and Consequences of Exploration, Immigration, Settlement Patterns, and Growth
- New economic endeavors
The rise of mercantilism during the age of exploration marked the beginning of modern international trade. One of the main ideas of mercantilism was that a country should maintain a positive balance of trade by exporting more than it imported. By the end of the 16th century, as demand for manufactured goods increased, Spain's dependence on gold and silver from the New World was a factor in its economic decline since it was unable to manufacture many goods. Meanwhile, England became a leader in manufacturing, which helped its colonies grow and set the stage for English dominance in the Industrial Revolution.
- Increase in slave trade
From the mid-15th century to the end of the 19th century, the transatlantic slave trade forced between 12 to 15 million people from their homes in Africa. Demand for slave labor increased along with demand for the sugar, coffee, cotton, tobacco, rice, indigo, and cacao the colonies produced. Direct European involvement in production of these goods (which eventually accounted for a third of the value of European commerce) meant that the Americas were Europe's most convenient source for them. The slave trade played a key role in the economic development of Britain, the U.S., and major European countries. That the early Industrial Revolution took the shape it did was in large part thanks to technologies developed for the textile industry, dependent on raw cotton produced by slave labor.