Economic CHANGES & CONTINUITIES in the 17th-18th Centuries [AP Euro Review—Unit 3 Topic 3] — Transcript

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1. 0:00at the end of the 17th century a massive
2. 0:02revolution in farming occurred and is
3. 0:04known as the Agricultural Revolution so
4. 0:05this video is all about how that
5. 0:07happened and how it shifted the economic
6. 0:09foundations of Europe so if you're ready
7. 0:10to get them brain cows milked Jethro
8. 0:12Tull's style then let's get to prior to
9. 0:14this period about 80 percent of the
10. 0:15people in Europe lived and died by
11. 0:17farming England and the Dutch Republic
12. 0:19being accepted and we'll get to that in
13. 0:20a minute and while the farming
14. 0:21techniques we've talked about elsewhere
15. 0:23like the two field system and the three
16. 0:24field systems were able to feed a lot of
17. 0:26people for the most part crops yielded
18. 0:28only enough to survive and certainly not
19. 0:30an abundant additionally about every
20. 0:31eight to ten years some insane climate
21. 0:33event caused crop failures in large
22. 0:35portions of people went hungry and many
23. 0:37of them died but by the turn of the 18th
24. 0:39century farming in Britain and the Dutch
25. 0:40Republic began to shift in the methods
26. 0:42that they pioneered would eventually
27. 0:43spread to the rest of Europe but what's
28. 0:45crazy is that in those places only about
29. 0:47half the population was devoted to
30. 0:49farming and yet the output of their
31. 0:51Farms triple if you want to know how
32. 0:52they did it I'm about to tell you first
33. 0:54of all they abandoned the three field
34. 0:55system for all the benefits it brought
35. 0:57it still required a third of the land to
36. 0:59lie fallow each year the reason is
37. 1:00because the constant threat to Farmers
38. 1:02was soil exhaustion meaning that in
39. 1:04order to grow food the soil gave up its
40. 1:06nutrients to the plants and if you plant
41. 1:07enough crops in the same soil all the
42. 1:09nutrients will eventually be gone but
43. 1:11now what the English and Dutch
44. 1:12discovered is that if they alternated
45. 1:13grain crops which leached nutrients from
46. 1:15the soil with other crops which restored
47. 1:18nutrients to the soil like potatoes and
48. 1:19clover then their fields could produce
49. 1:21crops with no yearly fallow period and
50. 1:23clover was especially important because
51. 1:25it put nitrogen back in the soil which
52. 1:26was perhaps one of the most important
53. 1:28nutrients who cares what's the point the
54. 1:30point is my dear interlocutor is that
55. 1:32with this Innovation and farming the
56. 1:33food output Rose significantly which
57. 1:35also led to a population increase and
58. 1:37that's going to become significant later
59. 1:38so put that in your pocket and we'll
60. 1:40come back to it later now along with new
61. 1:42ways of planting new technologies for
62. 1:43farming also helped increase crappy for
63. 1:45example Jethro told sea drill and
64. 1:47mechanical the Seadrill made sure that
65. 1:49the seeds were planted at exact
66. 1:50intervals and then covered them with
67. 1:52dirt while the mechanical hoe was able
68. 1:53to increase efficiency with which the
69. 1:55weeds were removed from the soil but
70. 1:57wait there's more remember the Colombian
71. 1:58Exchange from the last period that was
72. 1:59the result of European exploration in
73. 2:01the Americas and one of the big items
74. 2:03being exchanged was food many different
75. 2:05kinds of beans came into Europe as a
76. 2:06result of maybe the most significant
77. 2:07American crop to be transferred was the
78. 2:09potato originally Europeans felt like
79. 2:11they were too good for potatoes like
80. 2:12they reckon there was good food for
81. 2:13livestock but not for their tape but in
82. 2:15time the potato became a staple of the
83. 2:17peasantry and it significantly improved
84. 2:19their lives because it was packed with
85. 2:20nutrition and a small crop could feed a
86. 2:22family heartless so all of this taken
87. 2:24together is what we call the
88. 2:25Agricultural Revolution and it both
89. 2:27increased the amount of food available
90. 2:28in Europe and contributed to longer life
91. 2:30spans among the population now this
92. 2:31population explosion combined with the
93. 2:33fewer people needed for farming meant
94. 2:35that a lot of people didn't have enough
95. 2:36work and that reality contributed to
96. 2:38another significant economic change
97. 2:39during this period namely the rapid
98. 2:41expansion of the cottage industry now
99. 2:42you probably know what a cottage is it's
100. 2:44a little house and you probably know
101. 2:45what industry means it means making
102. 2:46goods for sale so put them together and
103. 2:48what do you get making goods for sale in
104. 2:50your little house and that is the
105. 2:51cottage industry with fewer and fewer
106. 2:53people needed for farming rural
107. 2:54households needed to supplement their
108. 2:55earnings with the cottage industry now
109. 2:57the cottage industry was organized
110. 2:58according to the pudding out health
111. 3:00system and here's what that means
112. 3:01Merchant capitalists would provide raw
113. 3:03materials to rural workers who would
114. 3:04then manufacture those materials into
115. 3:06finished goods Merchant would pay the
116. 3:07worker and then go sell the finished
117. 3:08goods on the market this Arrangement
118. 3:10laid the groundwork for the industrial
119. 3:11revolution's factory system but we'll
120. 3:13get to that in another video now the
121. 3:14cottage industry in rural areas was
122. 3:15creating a significant stir not least
123. 3:17because it began competing with Urban
124. 3:18Guild workers in the cities if you were
125. 3:20an artisan and wanted to get paid for
126. 3:21your work you had to be a guild member
127. 3:23and if you were a member you had a
128. 3:24certain amount of prestige and
129. 3:25protection for your wage and if you were
130. 3:27not a member in typical non-members
131. 3:28included women and immigrants and Jews
132. 3:30then you had to scratch out a living on
133. 3:31the margins of society but with the
134. 3:33putting out system those folks who were
135. 3:35previously consigned to the margins
136. 3:36could work albeit for pretty low wages
137. 3:38apart from membership in a guilt so that
138. 3:40was a significant way in which labor and
139. 3:41trade were increasingly freed from
140. 3:43traditional restrictions imposed by
141. 3:45governments and corporate entities the
142. 3:46growth of this kind of market economy
143. 3:48led to an increasing demand for
144. 3:49manufactured goods which meant there was
145. 3:51a push to get manufacturing out of
146. 3:52people's homes and into these new
147. 3:54buildings called Factory and nowhere was
148. 3:55this shift more pronounced than in
149. 3:57England the British wool industry was
150. 3:59second to none the putting out system
151. 4:00enabled many workers to specialize in
152. 4:02their trade some raised sheep others
153. 4:04processed wool and still others wove
154. 4:06Fabric and then still others died and as
155. 4:08Europeans began demanding more and more
156. 4:09wool Britain increased its production
157. 4:11which led to more people working and
158. 4:13earning decent wages to boot now the
159. 4:14merchants paid the workers directly and
160. 4:16that led to a growing money economy
161. 4:18which in case you couldn't discern is an
162. 4:19economy that runs on money and the
163. 4:22growing money economy worked hand in
164. 4:23hand with the growing market economy to
165. 4:25create a seismic economic shift in
166. 4:27Europe now market economy is one of
167. 4:28which production and prices are
168. 4:30determined strictly by competition
169. 4:31between privately owned businesses
170. 4:32remember that after this period
171. 4:34mercantilism was the dominant economic
172. 4:35system of Europe this system was driven
173. 4:37by the state so it was the state who set
174. 4:39prices and determined production
175. 4:40schedule but in 1776 Adam Smith
176. 4:42published the book The Wealth of Nations
177. 4:44in which he critiqued mercantilism and
178. 4:46argued for an unregulated Market which
179. 4:48would be governed by the forces of
180. 4:49supply and demand to be clear there is
181. 4:51not a hard line where mercantilism
182. 4:53stopped and market economies started but
183. 4:55in this period we're in that muddy
184. 4:56transition phase regardless the growth
185. 4:58of the market economy led to new
186. 4:59Financial practices and institutions and
187. 5:01I'm going to tell you about too first
188. 5:02was the introduction of insure for
189. 5:04monthly premium insurance companies
190. 5:05would recoup in entrepreneur's losses of
191. 5:07something catastrophic happen like a
192. 5:09fire destroying a factory with this kind
193. 5:10of security entrepreneurs especially in
194. 5:12England gained the confidence to invest
195. 5:14metric but loads of money into the
196. 5:16factories and growing inventories of
197. 5:17goods for sale second was the rise of
198. 5:19Banks and Venture Capital prior to 1750
199. 5:21if you were an entrepreneur and wanted
200. 5:23to build a factory for example they
201. 5:24would have to borrow money from family
202. 5:26or have a Fortune of their own but with
203. 5:27this explosion of Commerce and the rise
204. 5:29of the factory system specialty Banks
205. 5:31arose which kept only some of the money
206. 5:32people deposited and then loaned the
207. 5:34rest out as Venture Capital to be paid
208. 5:35back with interest and so with this
209. 5:37development of the market economy Europe
210. 5:38had laid a foundation for its expanding
211. 5:40Global role of which more in another
212. 5:42video okay right here the rest of my
213. 5:43unit 3 videos so get that clicky finger
214. 5:45out and click additionally if you need
215. 5:46help getting an A in your class in a
216. 5:48five on your exam it may then grab my
217. 5:49note guides for these videos right here
218. 5:51thanks for coming along I'll catch you
219. 5:52on the flip-flop I'm Laurent