2. Columbian Exchange : 1500s – 1700 s  Global transfer of foods, plants, & animals during the colonization of the Americas  Ships from the Americas brought back a wide array of items to Europe, Asia, & Africa

3.  Most Important Items: corn & potatoes – these foods became a steady part of the diets around the world (helped boost the world’s population)  Europeans sent goods to the Americas: livestock – horses, cattle, sheep, & pigs

4.  Foods from Asia & Africa  Tragic impact: Native Americans – millions died from diseases brought by colonist

5. Global Economic Impact  Establishment of colonies influenced the European nations wealth  Capitalism: an economic system based on private ownership & investment of resources  Individuals were profiting from their investments & businesses across Europe flourished  Inflation occurred because an increase of money & the supply of goods went down but prices go up

6.  Joint Stock Corporation: investors buying shares in a company: colonization (Jamestown)  Mercantilism: an economic policy under which nations sought to increase their wealth & power by obtaining large amounts of gold & silver – by selling more goods than they bought  Nation’s goal was to become self- sufficient, not depend on other countries for goods

7. Cultural Impact  Colonies: merchants grew in wealth & socially, colonies grew but had no power  Europe: few grew socially (only investors), majority remained poor