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The Portuguese traded or sold slaves to Spanish, Dutch, and English colonists in the Americas, particularly in South America and the Caribbean, where sugar was a primary export. Thousands of African slaves found themselves growing, harvesting, and processing sugarcane    in an arduous routine of physical labor. Slaves had to cut the long cane stalks by hand and then bring them to a mill, where the cane juice was extracted. They boiled the extracted cane juice down to a brown, crystalline sugar, which then had to be cured in special curing houses to have the molasses drained from it. The result was refined sugar, while the leftover molasses could be distilled into rum. Every step was labor-intensive and often dangerous.

Las Casas estimated that by 1550, there were fifty thousand slaves on Hispaniola. However, it is a mistake to assume that during the very early years of European exploration all Africans came to America as slaves; some were free men who took part in expeditions, for example, serving as conquistadors alongside Cortés in his assault on Tenochtitlán. Nonetheless, African slavery was one of the most tragic outcomes in the emerging Atlantic World.

Browse the PBS collection Africans in America: Part 1 to see information and primary sources for the period 1450 through 1750.

Commerce in the new world

The economic philosophy of mercantilism    shaped European perceptions of wealth from the 1500s to the late 1700s. Mercantilism held that only a limited amount of wealth, as measured in gold and silver bullion, existed in the world. In order to gain power, nations had to amass wealth by mining these precious raw materials from their colonial possessions. During the age of European exploration, nations employed conquest, colonization, and trade as ways to increase their share of the bounty of the New World. Mercantilists did not believe in free trade, arguing instead that the nation should control trade to create wealth. In this view, colonies existed to strengthen the colonizing nation. Mercantilists argued against allowing their nations to trade freely with other nations.

Spain’s mercantilist ideas guided its economic policy. Every year, slaves or native workers loaded shipments of gold and silver aboard Spanish treasure fleets that sailed from Cuba for Spain. These ships groaned under the sheer weight of bullion, for the Spanish had found huge caches of silver and gold in the New World. In South America, for example, Spaniards discovered rich veins of silver ore in the mountain called Potosí and founded a settlement of the same name there. Throughout the sixteenth century, Potosí was a boom town, attracting settlers from many nations as well as native people from many different cultures.

Colonial mercantilism, which was basically a set of protectionist policies designed to benefit the nation, relied on several factors: colonies rich in raw materials, cheap labor, colonial loyalty to the home government, and control of the shipping trade. Under this system, the colonies sent their raw materials, harvested by slaves or native workers, back to their mother country. The mother country sent back finished materials of all sorts: textiles, tools, clothing. The colonists could purchase these goods only from their mother country; trade with other countries was forbidden.

Questions & Answers

it is the relatively stable flow of income
Chidubem Reply
what is circular flow of income
Divine Reply
branches of macroeconomics
SHEDRACK Reply
what is Flexible exchang rate?
poudel Reply
is gdp a reliable measurement of wealth
Atega Reply
introduction to econometrics
Husseini Reply
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Jorge
hi
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hi
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hi
Mahesh
Hi
Tom
Why is unemployment rate never zero at full employment?
Priyanka Reply
bcoz of existence of frictional unemployment in our economy.
Umashankar
what is flexible exchang rate?
poudel
due to existence of the pple with disabilities
Abdulraufu
the demand of a good rises, causing the demand for another good to fall
Rushawn Reply
is it possible to leave every good at the same level
Joseph
I don't think so. because check it, if the demand for chicken increases, people will no longer consume fish like they used to causing a fall in the demand for fish
Anuolu
is not really possible to let the value of a goods to be same at the same time.....
Salome
Suppose the inflation rate is 6%, does it mean that all the goods you purchase will cost 6% more than previous year? Provide with reasoning.
Geetha Reply
Not necessarily. To measure the inflation rate economists normally use an averaged price index of a basket of certain goods. So if you purchase goods included in the basket, you will notice that you pay 6% more, otherwise not necessarily.
Waeth
discus major problems of macroeconomics
Alii Reply
what is the problem of macroeconomics
Yoal
Economic growth Stable prices and low unemployment
Ephraim
explain inflationcause and itis degre
Miresa Reply
what is inflation
Getu
increase in general price levels
WEETO
Good day How do I calculate this question: C= 100+5yd G= 2000 T= 2000 I(planned)=200. Suppose the actual output is 3000. What is the level of planned expenditures at this level of output?
Chisomo Reply
how to calculate actual output?
Chisomo
how to calculate the equilibrium income
Beshir
Criteria for determining money supply
Thapase Reply
who we can define macroeconomics in one line
Muhammad
Aggregate demand
Mohammed
C=k100 +9y and i=k50.calculate the equilibrium level of output
Mercy Reply
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money as unit of account means what?
Kalombe
A unit of account is something that can be used to value goods and services and make calculations
Jim
all of you please speak in English I can't understand you're language
Muhammad
I want to know how can we define macroeconomics in one line
Muhammad
it must be .9 or 0.9 no Mpc is greater than 1 Y=100+.9Y+50 Y-.9Y=150 0.1Y/0.1=150/0.1 Y=1500
Kalombe
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Kalombe
hi can someone help me on this question If a negative shocks shifts the IS curve to the left, what type of policy do you suggest so as to stabilize the level of output? discuss your answer using appropriate graph.
Galge Reply
if interest rate is increased this will will reduce the level of income shifting the curve to the left ◀️
Kalombe
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Source:  OpenStax, U.s. history. OpenStax CNX. Jan 12, 2015 Download for free at http://legacy.cnx.org/content/col11740/1.3
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