European Economic Changes in the 1500s

The 16th century transformed Europe's economy:

1. Commercial Revolution: Rise of merchant capitalism; guilds replaced by larger enterprises.
2. Banking & Finance: Medici Bank, bills of exchange, international money markets.
3. Atlantic Trade: Americas discovery → new routes, transatlantic economy (sugar, tobacco, cotton).
4. Luxury Demand: Wealthy merchants/aristocrats drove silk, spice, precious metals trade.
5. Urban Growth: Trade hubs and port cities expanded.
6. Inflation: American precious metals influx caused price revolution.
7. Transport/Infrastructure: Larger ships, better roads lowered costs.
8. Mercantilism: State policies to boost exports, hoard bullion, regulate trade.
9. Population Growth: Increased demand for goods/services.
10. Scientific Revolution & Tech: Printing press, improved production methods.