Trade Increased in Europe• Trade nearly died out after

400 A.D. Manors were self-sufficient.

• Trade was difficult - bad roads, tolls, little money, poor bridges, thieves and pirates.

• Church law did not permit too much profit, or usury - leaning money at interest.

• Trade first revived in Italy, location and the past.

Speaking of trade

Trade Routes in Europe• Italian City-States won trading rights in cities in

the east.

• Italian merchants also made money off the Crusaders.

• The overland route to Northern Europe made Lombardy, Cities in Germany, and Southern France, wealthy.

• Constantinople and the Black Sea route made Vienna and cities in Eastern Europe wealthy.

• Flanders because of the trade routes and fine wool cloth became a hub of Medieval trade.

• Ghent and Bruges became centers of trade.

The Hanseatic League• The cities of Hamburg, Lubeck, and Bremen

became the most important cities of the Baltic region.

• The cities formed an alliance called the Hanseatic League. Eventually had 70 cities as members.

• The League would boycott rulers and kingdoms it found fault with, wage wars, and influenced trade

• The most profitable goods were from the Middle East. Gold, silver, spices, silk, cotton, etc.

• The Baltic supplied fur and wood, England and Flanders-woolen cloth, Spain-leather, wine, etc.

Markets and Fairs• Merchants needed a place to trade. Markets

developed. Market days.

• Feudal lords began to tax and gave special protection for merchants who held fairs.

• Champagne - held the most important fairs. Six fairs lasting four to seven weeks.

• The barter economy of the early Middle Ages failed to meet the needs of the fairs.

• Three important developments resulted from revived trade - A manufacturing system developed, a banking system, and it was allowable to invest capital.

Manufacturing, Banking, Capital• Manufacturing became a domestic system -

produced products in the home. This happened with wool goods, dyeing goods, etc.

• Banking began to begin or money lending.

• Christian lenders paid themselves for collecting rents, and fees for services.

• The growth of trade caused the growth of capital or money for investing.

• These factors laid the groundwork for a market economy. An economy where land, labor, and capital are controlled by individuals.

Rights of Townspeople• Trade and cities tended to grow as one. In a town

there will always be economic exchange.

• The Feudal and Manorial systems were growing apart from what the people in the towns were doing for a living. Manufacturing as opposed to agriculture.

• Townspeople were given political liberties by nobles to encourage growth.Some towns received Charters which granted certain rights and freedoms.

• Rights - Freedom, Exempt status, Town justice, and commercial privileges, were town rights.

Guilds• As towns grew stronger they began to unite into

associations or guilds. They protected travelers, and helped with finance and planning.

• In towns, Merchant Guilds held a monopoly or sole right to trade. They set up quality standards, and loans, as well charitable organizations.

• Skilled workers formed Craft Guilds, people engaged in carpentry, shoemaking, weaving, stone masons, etc.. They set standards for quality, safety, wages, etc.

• Skilled workers from apprentice, to journeymen, to master craftsman.

Middle Class• The skilled workers and merchants emerged as

the new middle class. Burgesses in England, Bourgeoisie in France, and Burgers in Germany.

• Life in Medieval Towns - Paris 80,000, London 35, 000, Ghent and Bruges, 50,0000.

• Each city had a cathedral, a town hall, and guild hall. Cities were dirty, raw sewage, disease and epidemics ran wild, as well as crime.

• As the rise of the towns increased the role of serfs decreased. They could sell food and earn their freedom, or escape to the towns. Changes in agriculture decreased the labor needed.

The Black Death• The Black Death or Bubonic Plague swept into

Europe around 1346 AD. It was spread by merchant ships, rats, and the fleas on those rats.

• Two forms of plague Bubonic, which effected lymph glands, and pneumonic which effected the lungs. Over 1/3 of the population of Europe was wiped out.

• 75 million people worldwide died of the plague.

• The plague changed the face of Europe and the world and it took Europe over 100 years to recover. Many people thought it was the end of the world.