POL SCI 51A Lecture Notes - Lecture 14: Navigation Acts, Exchange Rate, Corn Laws
25 Mar 2016
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Document Summary
People don"t get rich through ethics, but rather, through a poliical economy. It had a great navy and it had a mulicultural society: all this knowledge from diferent cultures led to industrial innovaion (creaion of windmills), rise of modern inance; irst modern stock exchange. Holland was one of the irst countries to have a central bank; increase in the low of money: trade the dutch didn"t make anything, what they sold was the service of trade. Private companies that created insurances: the flute a ship that was cheap to make, required very litle manpower, it was fast, larger cargo capacity. All these characterisics led to the expansion of dutch trade throughout the world. This is the market principle: increase supply; decrease price, increase consumpion, increase trade and market share. Conclusion: the dutch didn"t become a hegemony because they worked hard, or had a. Protestant ethic" but rather because of this market principle.
