2. Welcome Back!
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3. Pre-Columbian America Review
As you walk around the room, observe each poster about the Maya, Inca, and Aztec. Use the information provided by the posters to answer the set of questions for each empire
Once you have this completed, get your answers checked by me and then you can get started on your concept cards!

4. Standard
Standard: 7.63 Explain the origins of modern capitalism, the influence of mercantilism, and the cottage industry; the elements and importance of a market economy in 17th century Europe; the changing international trading and marketing patterns; including their locations on a world map; and the influence of explorers and mapmakers.
In short- What systems of economy developed in Europe during 17th century? How did Europe’s economy in the 17th century influence our system of economy today?

5. Capitalism
Privately Owned- owned by either one individual or by a small group of individuals
Opposite of Communism- government controls the production of goods & services

6. Opposite of Command Economy- Government has total control
Market Economy
Market Economy
A capitalistic type of economic system in which there is free competition and prices are determined by the interaction of supply and demand. *There is little government intervention.
Opposite of Command Economy- Government has total control

7. What if there was no competition?

8. Cottage Industry Guilds
Cottage Industry: business or manufacturing activity
carried on in a person's home.
Guilds: a medieval association of craftsmen or merchants,
often having considerable power

9. What is Mercantilism? Explain the theory of Mercantilism
What is the best way for a country to get gold & silver?
The key idea of mercantilism is that a country’s power depends on it wealth.(gold and silver)
A country must export (sell) to other countries, more goods than it imports (buys) from other countries

10. What is Mercantilism? Colonies
According to Mercantilism, countries should establish_______
What is a colony?
Colonists provide _________ materials that are not found or made in the home country. These materials are then __________ to the home country to be used for manufacturing. This keeps the home country from having to do what?
colonies
a settlement of people living in a territory controlled by their home country
raw
shipped
The home country does not have to buy goods from other countries

11. What is Mercantilism? European trading posts/colonies in Asia
Europeans established trading posts and colonies in __________ and ________________.
Asia
North America

12. Document Analysis Manorialism
Based on the diagram, what is one economic characteristic of the medieval manor?

13. Document Analysis Mercantilism
According to the political cartoon, what is one characteristic of mercantilism from the perspective of the mother country?

14. Manorialism vs Mercantilism
Describe the major differences between manorialism & mercantilism

15. Creating Joint-Stock Companies
As trade flourished and grew, new practices in business were developed, and a fundamental change in European society took place.  Historians call this time period ______________
What is an entrepreneur?
As overseas trade increased, many projects were too large for one entrepreneur to pay for. As a result, groups of entrepreneurs began to form ________________________.
Commercial Revolution
One who organizes, pays for, and takes on the risk of setting up a business
joint-stock companies

16. Creating Joint-Stock Companies
A joint-stock company is a business in which ________________________________.
What does it mean to invest?_____________________________________________.
Why do you think an individual would choose to invest in an overseas trade project?
many people can invest
to put money (stock) into a project in exchange for a profit

17. Mercantilism & Cottage Industry influences on Capitalism
the means of production of goods or services are owned privately (individual/small group) and operated for profit

18. Why were European countries motivated to explore
Why were European countries motivated to explore? Look at the following pictures and see if you can determine the major reasons for exploration in the 15th through 17th centuries!

19. GOD

21. Finish the World Trade Changes & Reasons for Exploration worksheet
Homework
Finish the World Trade Changes & Reasons for Exploration worksheet