The role of Trade + Exploration in improving the economy

Question 1

Why was trade so significant within England during Elizabeth reign?

Answer 1

To meet the ever increasing cost of administration +expand the national economy the English state needed to find new markets.

Which was used to increase Englands national wealth, the English economy + the crowns financial security because they could imput tariffs and higher taxes

However at this stage, Spain was the dominant + wealthiest europain country and England had very little continental markets apart form the Netherlands. Therefore England had to rely far more on internal trade rather than international trade.

Question 2

What was the role of internal trade within England during elizabeths reign?

Answer 2

The value of internal trade considerably exceeded that of foreign trade within England.

• The biggest single development in internal trade was the growth in the shipping of coal from the Tyne in Newcastle to the Thames to meet the growing demands of the London market, though some coal was exported across the north sea.
• There’s was a development of dominant cities within England which traded with one-another as before the Spanish conflict England couldn’t afford to antagonise the Habsburg allies by breaking there monopoly of the Atlantic trade but after 1560 there was an increasing demand to bring exploration within trade + various different companies were founded.

Question 3

Explain the role of the East India Trading company + John Hawkins sucsess/failures within trade

Answer 3

The main centre of African trade was Guinea + Guinea became used as the starting point of John Hawkins move to the Americas and in he process he invented the English slave trade.

Hawkins made 3 expeditions from 1562:

• 1562: John Hawkins went to Africa to trade cloth, captured local Africans and took them as slaves to the West Indies. He returned to England with money and sugar. This first expedition proved incredibly lucrative + enabled him to trade slaves for pearls + sugar which was very profitable which led to the queen contributing to the 2nd expeditions.
• 1564: A second successful voyage was funded by shareholders including Cecil and (secretly) the Queen. Phillip warned the English against privateering.

Question 4

State the 4 main international trading companies set up during Elizabeths reign

Answer 4

A number of new trading companies were set up along the North-East Passage;

• The Muscovy Company
• The Eastland Company
• The Levant Company;
• The East India Trading Company

Question 5

Explain the significance of The Levant Company (1581)

Answer 5

The Levant Company;
- Founded in 1581 as he Turkish company enjoyed success in attempts to develop trade with the ottoman empire.

• Trade in the mediteranian proved incredibly lucrative + England befitted form the goods produced I such a hot content ie silk, spices + cotton.
• From 1600 the company agreed to make an annual contribution of 4000 to the crown coffer emphasising how valuable it was in supporting the English finances + economy.

Question 6

Explain the significance of The East India Trading Company (1599)

Answer 6

• Aimed at trade in the Indian Ocean and for English merchants to participate in the Indian spice trade but didn’t develop until later.
• Originally the Spanish possessed the monopoly over the India trade. The defeat of the Spanish Armada English merchants were backed by Elizabeth + explored breaking this up + imported silk, cotton, indigo + tea.
• Therefore, with the defeat of the armanda England became the dominant country on the European stage, benefitting greatly from the areas Spain previously monopolies + England didn’t initially have access to.