New Economics
The earliest recorded use of credit took place in this location and time.
Mesopotamia, 2000 BC.
These were knotted strings used by the Inca to record information.
Quipus.
VOC stands for (in English)
Dutch East India Company.
The author of the article said that the relationship between slavery and capitalism is still important because of
reparations.
The VOC was designed to dominate the market by itself, meaning it could be called a
monopoly.
Fibonacci was also known by this name.
Leonardo of Pisa.
Define the mit'a system.
Labor system that ordered male peasants to do unpaid work for certain parts of the year. Built roads and temples on mountains.
This was the initial reason the Dutch started trading in Asia.
To join the pre-existing trade routes in the Indian Ocean for spices.
Capitalism promotes free labor instead of enslaved labor for this reason.
Capitalism is based on the free market.
The VOC is a bad example of free market capitalism because it had these things.
Government support for money and military
Intimidated rivals
This was the reason why the bill of exchange was so useful.
It helped people exchange money safer since they didn't need cash.
This sort of people performed the labor of mining silver.
Conscripted indigenous laborers.
The VOC had these two powers that were unique for a private company.
1. Hire anybody
2. Wage war.
This example shows that slave labor was more inefficient compared to free labor.
The American Civil War. North was more productive because it was free and the South was inefficient because it relied on slave labor.
When the VOC declined, this other company rose to take its place.
The British East India Company.
The British and Dutch East India Companies were this new type of company.
Joint-stock.
As a result of the silver mining industry, this country became the richest in Europe.
Spain.
The Dutch were already used to investing because they spent a significant part of their history investing in this thing.
Most abolitionists (people wanting to get rid of slavery) were connected to this part of the economy.
Industry.
The VOC eventually declined and went bankrupt for this reason.
People preferred sugar to nutmeg and cotton to wool.
These were the two purposes for which Europeans wanted colonies.
1. Raw materials.
2. Markets for finished products.
This other country had inflation problems for this reason.
China; because the government made farmers pay taxes in silver. The people could not get enough silver, which led to a trade deficit that put China in a bad economic situation.
Name 3 financial technologies used by the Dutch.
Bonds, low-interest loans, fractional shares, futures markets, insurance
The wealth from this event is supposed to have stimulated the beginning of capitalism and the industrial revolution.
Atlantic slave trade.
The VOC used these three forms of violence to maintain their monopoly on trade in the East Indies.
1. Military force
2. Ethnic cleansing
3. Slave labor