Feudalism

Feudalism is a political system of power balanced between king and nobles.

The Rise of Feudalism Feudalism evolved as a way for the king to maintain a stable population of farmers, and to ensure that taxes could be raised to pay for the military.

Three primary elements characterized feudalism: Lords: A noble who owned land. Vassals: A person who was granted possession of the land by the lord.

3. Fief: The land.

Decline of Feudalism Over time, lords could no longer provide new lands to their vassals, nor reassign lands which had become hereditary property. By the time of Columbus, Europe's economy was involved in a trans-formation from feudalism to mercantil-ism.

The Rise of Mercantilism

Mercantilism Mercantilism was dominant in Europe from the 16th to the 18th century.

Mercantilists accumulated money through a positive balance of trade that benefited the Mother Country.

Decline of Mercantilism Mercantilism steadily lost favor as the 13 colonies became more independent, and wanted to rely less on their Mother Country.

The Rise of Capitalism

Colonists were allowed to make and keep their own profit. The 13 Colonies established a capitalist system (also known as a “free market system”) that allowed people to create their own businesses. Colonists were allowed to make and keep their own profit.

Competition, as well as supply and demand, drove prices.