Dundo, Linda Dzhafarov, Dzhafar Gangkhuleg, Tsogt Geldimamedova, Tatyana Islami, Bora

1. Trade, Industrialization, Capitalism Dundo, Linda Dzhafarov, Dzhafar Gangkhuleg, Tsogt Geldimamedova, Tatyana Islami, Bora Jelev, Stillian

2. Content • Trade • Industrialization • Capitalism

3. Trade • Global trade has only existed for less than 1,000 years • Commerce and trade around the world did not begin in earnest until the Middle Ages. • Hanseatic League: 12th - 17th century AD • A Hanse is a guild of merchants. • Portugal and Christopher Columbus

4. Trade winds: from the 16th century AD

5. English trade in the east • Early voyages prove successful; by 1614 the East India Company owns twenty-four ships. Chinese Trade • Typical Chinese exports are now porcelain, lacquer, silks, items of gold and silver, and medicinal preparations. The junks return with herbs, spices, ivory, rhinoceros horn, rare varieties of wood, jewels, cotton and ingredients for making dyes.

6. Triangular trade: 18th century AD • Ships depart from Liverpool or Bristol with items in demand in west Africa - these include firearms, alcohol (particularly rum), cotton goods, metal trinkets and beads. The goods are eagerly awaited by traders in ports around the Gulf of Guinea. • The most valuable product of the West Indies, molasses extracted from sugar cane, is purchased for the last leg of the triangle. Back in England the molasses can be transformed into rum. And so it goes on.

8. Industrialization

9. Industrialization • The process of social and economic change that transforms a human group from an agrarian society into an industrial one.

10. Factors of industrialization • Introduction of new technologies • New sources of energy. • Excess labor in the economy • Development of transportation

11. Early 18th century small-scale textile production

12. An example of innovations in agriculture, 1704

13. An effect of agricultural • New techniques and technologies in agriculture paved the wave for change. A surplus of cheap agricultural labor led to severe unemployment and rising poverty in many rural areas. Many people left the countryside to find work in towns and cities. So the scene was set for a large-scale, labor intensive factory system.

14. New labor-saving technologies. • Phases in textile production once done by hand, such as spinning and weaving, were mechanized. Factories replaced cottage industry and became more efficient through the use of interchangeable parts and the assembly line.

15. Early industrialization in textile production, 1783

16. New sources of energy. • The coal-fired steam engine replaced traditional sources of power such as wood, wind, and water. Railroad and steamships, fired by the steam engine, created important links between raw materials, industry, and market.

17. Coal-fired steam engine

18. Increased standard of living • The factory system was tremendously productive. Efficiencies of scale and improved transportation links meant cheaper consumer goods for everyone. The accumulation of great wealth provided the capital for further industrialization.

19. Capitalism Didn't arise until the early modern period (16th-18th century) This period was associated with geographic discoveries by merchant overseas traders, especially from England, Spain, Portugal and Low Countries the 20th century changed substantially from its 19th century origins, but remained in place and by the end of the century was established as the world's most prevalent economic model, after the collapse of the USSR. 21st century, capitalism has become a widely pervasive economic system worldwide, with the collapse of the Soviet bloc in the early 1990s weakening the principal alternative system, communism, considerably.

20. … “The discovery of America, the rounding of the Cape, opened up fresh ground for the rising bourgeoisie. The East-Indian and Chinese markets, the colonisation of America, trade with the colonies, the increase in the means of exchange and in commodities generally, gave to commerce, to navigation, to industry, an impulse never before known, and thereby, to the revolutionary element in the tottering feudal society, a rapid development...."

21. … The history of capitalism can be traced back to early forms of merchant capitalism practiced in Western Europe during the Middle Ages. Netherland was considered as the first thoroughly capitalist country. (featured the wealthiest trading city, Amsterdam) In the 20th century: • Several major challenges to capitalism appeared in the early part of the 20th century. • The Russian revolution in 1917 established the first communist state in the world • The Great Depression triggered increasing criticism of the existing capitalist system (One response to this crisis was a turn to fascism, an ideology which advocated state-influenced capitalism)

22. … Other responses are: a rejection of capitalism altogether in favor of communist or socialist ideologies. In the years after World War ll, capitalism was moderated and regulated in several ways. Countries such as the United Kingdom experimented with mixed economies in which the state owned and operated certain major industries Other aspects of 20th century capitalism include the rise of financial markets, quantitative analysis of market trends, and the increasing globalization of production and consumption.

23. … 21st century: capitalism has become a widely pervasive economic system worldwide, with the collapse of the Soviet Bloc in the early 1990s weakening the principal alternative system, communism, considerably. The United States in particular has continued to push for the global adoption of capitalism, although not as aggressively as was done during the Cold War. Capitalism still faces rivalry, particularly with the rise of new socialist movements in Latin America, most notably Bolivarianism. These movements have also had ties to more traditional anti-capitalist movements, such as Bolivarian Venezuela's ties to communist Cuba. The financial crisis of 2007-2010 s also caused a reevaluation of economics, leading to more notable support for socialism or mixed economies.

24. Pyramid of Capitalism

25. Over the course of the past five hundred years, capital has been accumulated by a variety of different methods, in a variety of scales, and associated with a great deal of variation in the concentration of economic power and wealth. Much of the history of the past five hundred years is concerned with the development of capitalism in its various forms, its condemnation and rejection, particularly by socialists, and its defense, mainly by objectivists, many conservatives and libertarians .

26. Thank you for attention!

27. Resources • The History of Global Trade | eHow.comhttp://www.ehow.com/about_6614355_history-global-trade.html#ixzz1JWo8K3m8 • http://www.historyworld.net/wrldhis/PlainTextHistories.asp?ParagraphID=grq