economic development: trade Flashcards
how much did the wool and cloth trade account for england’s exports
90%
what were the benefits of having the wool and cloth trade
It generated customs duties for the monarch. The wool trade created employment.
There was less fear of unemployment here than in areas that were reliant on agriculture.
what was the always lingering fear of the trade
There was always a danger of war, bad harvests and the plague disrupting trade. This could lead to unemployment; some could work on the land but others had to beg.
what were the trading companies called
what impact did they do
Merchant Adventurers
They encouraged and promoted trade and this contributed to the nation’s finances
How did Henry support whilst have control over the merchant adventurers
1505 granted a charter to appoint a governor to run the organisationHenry was prepared to rent seven of his ships to the merchants in times of peace.
Encouraged merchants to build vessels of no less than 80 tonnes
In return he expected loans to finance his government. They also had to support his foreign policy even if this meant losing trade
why did henry introduce navigation acts
to enable henry to expand trade that would create wealth and increase security
what year were the navigation acts
what did they do
1485 and 1486
forbade Englishmen to load their goods on foreign ships when English ones were available. From 1486 wines from Gascony were to be only imported on English ships. A further act in 1489 said that English merchants should only import goods in foreign ships if no English ones were available.
what were the difference between the merchant ships and the newly established navy
His ships were bigger, better equipped and more efficiently administered
He also constructed the first fortified naval base at Portsmouth.
what were the intentions of establishing a navy
laid the foundations of naval defence on which his son and granddaughter were to build.
what was impact of the navigation act of 1489 on foreign buyers
what was the economic impact
forbade foreign buyers from purchasing wool until English merchants had bought all they wanted. It also made it illegal for foreigners to buy wool for manufacture into cloth outside England. This was intended to restrict the export of raw wool and by the end of Henry’s reign it was 30% lower than it had been in 1485. This was also due to heavy taxes on the export of raw wool. The export of woollen cloth flourished and 60% more cloth was being exported in 1509 than in 1485.
what was the reason for the intercursurs magnus
1493 Henry had issued a trade embargo against the Netherlands and ordered the Merchant Adventurers to move to Calais. This was because Burgundy was supporting Warbeck. The Netherlands responded with a counter-embargo. This benefitted no-one so intercurusus magnus made
what did the intercursus magnus allow and what year
what were the disputes
1496
allowed English merchants to sell their goods anywhere in the Duke of Burgundy’s dominions, except Flanders, without paying tolls or customs. However, there were continued disputes as Philip tried to impose a new import duty on English traders and Henry negotiated for Suffolk’s surrender.
what was the impact of the disputes
1506 while sheltering in England, Philip signed the Malus Intercursus.
what was the malus intercursus
what was the downfall of this
Trade between England and the Low Countries would be free. English merchants were allowed to anchor in Philip’s harbours and to transport their goods without charge unless they were sold or unloaded. Philip’s subjects would pay the English duties as laid down in 1496. Philip and his heirs were not to exclude English cloth form their lands or impose any duties on their sale.
Was never implemented as phil died
what was trade with france like
In 1486 Henry began to negotiate a new commercial agreement. However, the dispute over Brittany resulted in higher duties being charged on English goods imported into France. These were changed under the Treaty of Etaples of 1492 but it was not until 1497 that these were removed. For the rest of Henry’s reign English merchants enjoyed unrestricted trade with the French.
why did henry want to devlop with florence
to offset the influence of the Venetians whose galleys carried most of the luxury goods and wine to northern Europe.
what was the impact of trading with florence and what year
in 1488 Venetians imposed a huge duty against the English ships collectig malmsey wine.
how did henry retaliate
A treaty of 1490 with Florence provided for an outlet for English wool at Pisa, the port of Florence and restricted England’s wool sales to Venice. The Venetians gave in fearing their wool supply would go to Florence and waived the duty on English shipping in the Levant.
how did england benefit from the italian wars
and what year
1494
Venice was distracted by outbreak of italian wars so English merchants took the opportunity to increase their trade in the Mediterranean.
what was trade like with spaind
enjoyed an exemption from duties payable on the import of English goods during the reign of Edward IV. But these Henry had restricted these through his Navigation Acts.
The Spanish forbade the export of goods from Spain in foreign ships when native ones were available. The Treaty of Median del Campo ended this.
Both sides received the same rights in each other’s country and the duties were fixed at a low rate.
The Spanish never allowed Henry to become involved in the trade with the New World as he would have liked though.
what was trade like with the Hanseatic League
Edward IV had made them exempt from duties on goods exported from England. Henry wanted to bypass the Hanse and sell English cloth in northern markets so he chipped away at their privileges. In 1486 he confirmed their rights. In 1487 he banned the export of unfinished cloth by alien merchants. In 1489 he placed a prohibition on the Hanse’s exportation of bullion. However, in 1504 he supported an act restoring all their privileges because he was trying to gain custody of Suffolk.
what was the increase of custom duties over henrys reign
along with improved english trade what else contributed to the increase
Increased from £33,000 in 1485 to over £40,000 in 1509
some of this was due to greater efficiency in their collection and the new Book of rates in 1507.
how did the english shipping expand
English merchants were shipping more cloth abroad than all other merchants combined
was english trade really succesful
English trade was still on a small scale compared with Venice and Spain. Dynastic considerations were always Henry’s priority even if that meant losing trade.
