HIS109- economic changes in the later middle ages

Economic Changes of the Later Middle Ages

Manorial Economy o Cashless- Exchange of goods and services o Localized- Little or no trade over long distances o Agricultural- land is wealth o Traditional- obligations and entitlements inherited The Decline of Manorialism o No longer localized- long distance trade reviews as distant regions depend upon one another. o Trade improves and different regions start to specialize, the regions in Europe depend on each other. o The wool trade- between England and Northern Italian. Sheep’s are raised in England than shipped to Italy to be made into clothing’s. 1300 yr. thousands of metric tons are being shipped every year. Two distant parts of Europe are collaborating together to make one thing. It is opposite of the kind of economy of what Europe had in the Middle Ages. o Crusades- purpose to kill anyone who was not a Catholic Christian, they discovered things that they want. (1st Crusade happened at the end of the 11th century). o People of the Middle East resented the crusaders, but they realized that they could do good trade with the European people. Both sides profited. They began to depend on each other- increase prosperity to port cities.

o No longer cashless- money returns into use, and then banking begins t o develop. Italian cities began to make silver and gold coins.

o Connections between all of the costal cities- facilitate trade. When trading over long distances money is definitely needed. o The most important coin: Florin: Florence, c. 1252- started printing. 1300 – take off. o The gold Florin ends up being accepted across Europe. It is the “universal currency”. Everyone begins to use it. o Money starts to return because trade is improving. Trade is improving because money is brought back into the system. o Banking revives, people travel far to trade- they do not want to get robbed. People crossing the Mediterranean Sea. Some of the first medieval bankers are fighting monks. Knights of Templers get rich due to the transactions- French Kind killed them. o Northern Italy leads the way, banking, money and cash. o Florence is a spectacular city. A gold coin that is respected all over Europe. o In the latter middle ages banks do not only make profit from transactions, but from loaning money to people. o Banks charged interest. o Banking starts because trade is already improving. Because of banks you can put together large sums of money. o Florence & Sienna are leading the way in banking. o Venice leads the way for trade. o Things become more peaceful after the year 1000.

o Not exclusively agricultural- urban centers become larger, more skilled and educated workers are needed.

o All of the trades that develop- require generalized training. o READING BECAME MORE IMPORTANT AGAIN! o The change before of now no one could read → changed because they have an economic force driving the issue of literacy. o People were learning to read in order to get jobs- or better jobs. o Doctors in the middle ages studied for years, people now had money to pay doctors to treat them. o There were also more lawyers, handle the church laws. They handle the local laws also. o They cities grow, and the businesses grow- more things are need- people need more education. o Notaries are below the lawyers; they deal with legal documents also. o Doctors. Lawyers and Notaries study for years. o All of these people in educated urban professions; they do not fit into the traditional order of the medieval society. o The emergence of this class is a historical change- they have no place in the model of medieval society.

• Less and less traditional: service commuted into cash or abolished by the towns. o The new economy is not governed by tradition, over time long distance trade and cash destroy the system of tradition. o Nobles voluntarily let peasants out of tradition- because they want to take part in the new economy. o Knights and Nobles want the new products (silks, weapons)- in order to get this they have to go outside of the manorial economy. These merchants do not owe them anything- they now need to use money. Their assets (land, peasants) are exchanged for cash. o Instead of working for the Noble the peasants now work for themselves. The nobles run into trouble when the term of inflation comes into place. o The start of the 10th century ten dollars a week was a good wage. o As more goods and services are produced the relative value of money declines. o The money the peasants owe the Nobles became less and less. o Taking a step to where both parties have to agree in a transition. No one owes anyone anything. o Rich towns in Northern Italy- have a lot of power; they use their power to release peasants from traditional economy. Abolish the traditional aspects, brining them into the new economy. o Since money is important to the town, the people who have a lot of money use this to gain a place in the council. They are usually apart of the third estate. o The fact that people of common birth are beginning to gain power ruins everything of the old economy. It is so revolutionary. They create a new source of political power. o Above all they have a degree of FREDOOM because they do not fit into the system. They have a different attitude towards life and society. o They have an opportunity to win a place in society thanks to education. o ECONOMY NOT BOUND BY TRADITION.