The Evolution of the Modern Capitalist System

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Bellringer
In what ways does the Indian Ocean
reflect the changing balance of power
during the Early Modern period?
Evolution
of the
Early Modern Europe
The Fragmentation of
Western Christendom
 The Protestant
Reformation
Corruption of the Medieval
Catholic Church
£ Popes used excommunication to force monarchs to
obey the Church.
£ Many priests were illiterate or broke vows of
chastity.
£ Some officials lead lives of luxury and leisure.
£ Some clergy:
 Charged repentant Christians to see holy remains and
objects.
 Sold church offices to the highest bidder.
 Sold indulgences.
Why did Luther question
Church practices and teachings?
£ Troubled by the idea that salvation was
attainable through good works.
£ Interpreted St. Paul to mean that path
to salvation was by faith alone.
£ Believed forgiveness for sins could
come only from God’s mercy.
£ Angered by sale of indulgences.
How did his criticisms expand
into an effort to form a new
church?
£ Wrote 95 Theses to start debate on
Church abuses.
£ Published books and pamphlets questioning
Church teachings.
£ Ideas for reform led to a new church:
 Congregations choose their own ministers
 Worship of saints and holy days was
considered sinful
 Mass conducted in German instead of Latin
 Clergy allowed to marry.
Why did his reforms create
widespread revolt in Germany?
£ Peasants, believing everyone was equal
under God, revolted against lords.
£ Princes, who wanted freedom from the
pope, seized Church land.
Doctrines of Lutheranism
£ The Bible is the final authority for faith
£ The Bible is translated into the languages
of the people
£ whatever is not expressly forbidden in
scripture can be accepted
£ There should be only two sacraments
(sanctifies by grace)
 baptism
 communion
The Reformation Spreads
Throughout Europe
£ Why did Protestantism spread beyond
Germany?
 Political leaders looked for ways to escape
power of Catholic Church.
 People were tired of Church abuses and
corruption.
 Charismatic individuals questioned Church
teachings and provided leadership.
 Rising literacy rate allowed for rapid
spread of new ideas.
How did the Catholic Church
respond to the Reformation?
£ Reformed the Church from Within
• Had Church abuses catalogued.
• Called meeting at Trent to deal with growth
of Protestantism.
 Council of Trent (1545-1563)
• Defined Catholic beliefs and corrected
•
•
•
abuses.
Sale of indulgences prohibited.
Seminaries established to train parish
priests.
Monasteries and convents cleansed of
immoral clergy.
£ Tried to Stop the Spread of Protestantism
 Jesuits (1540)
•


Disciplined and well-educated order of Catholic
priests.
• Won Poland and southern Germany back into the
Catholic faith.
• Spread the Christian message across Africa, Asia,
and the Americas.
Inquisition (1542)
• Church court designed to judge and convict
heretics.
• Imprisoned exiled or executed those with
unorthodox views
Index of Banned Books (1559)
• List of banned books which Catholics were
forbidden to read.
• List included Protestant Bibles and some scientific
writing.
The Fragmentation of Western Christendom
£ Witch-Hunts and Religious Wars
 110,000 trials for witchcraft
 Religious conflict in France and
Spain
 The Thirty Years’ War
Economics?
1. What is “economics”?
2. What are some basic principles of
economics?
Postclassical
Economy
Characteristics of Postclassical
Economy
1. Manorialism
£ Subsistence farming = serfs
£ Lords live off of taxes
£ “Old Money” based on landownership and
tradition
2. Small guilds develop to encourage
artisanry
Early
Modern
Economy
1.
Characteristics of Early Modern
Economy
Mercantilism
£ Economic health of a nation could be measured
by the amount of gold or silver it possessed
£ Favorable balance of trade
£ Each nation must try to achieve economic selfsufficiency
£ A large population was needed to provide a
domestic labor force to people the colonies.
£ Luxury items should be avoided
• They took money out of the economy
unnecessarily.
£ State action was needed to regulate and enforce
all of these economic policies.
• State-sponsored trade monopolies.
Characteristics of Mercantilism
Manufactured goods
Mother
Country
Capital
Colony
Cheap labor
Raw materials
Characteristics of Early Modern
Economy
2. Proto-Industrialization / Putting-Out
System
£ Building of manufacturing income in rural
areas
£ Source of supplemental income (cottage
industries)
£ Sign of modern industrial society
Characteristics of Early Modern
Economy
The “Putting-Out” System
Advantages of Putting-Out System
1. Peasants could supplement their agricultural
incomes.
 Take advantage of winter months when farming
was impossible.
2. Merchants could avoid the higher wages and
often demanding regulations of urban labor.
 Easier to reduce the number of workers when
the economy was bad.
3. Merchants could acquire capital, which would
later play a part in funding industrialization
itself.
4. Young people could start separate households
earlier, thus contributing to population growth.
Disadvantage of Putting-Out System
When demand rose [which it did in the 18c] this
system proved inefficient.
 Merchant-capitalists found it difficult to
induce peasant-workers to increase their
output.
Early
Modern
Government
Rise of the Nation State
Rise of the Nation State
o Loyalty to nation rather than to ruler
o Ruler governed through natural
contract with people
o Government worked for the interests of
the people
Flow Chart
In order to: show the connection between events in
Early Modern Europe & ways that Europe was
transformed socially, politically, & economically
£ Groups of 4:
 One person specialize in:
•
•
•
•

Renaissance
Reformation & Commercial Revolution
Scientific Revolution
Enlightenment
Look for the social, political, & economic causes and
effects of your specialized topic
£ As a group, discuss the causes & effects. Then,
create a flow chart of visuals to show
connections & transformation
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