Economic development: trade, exploration, prosperity and depression Flashcards
(11 cards)
What was the background context to the English economy and economic policy during Henry VII’s reign?
Population of England at the beginning of the 15th century was around 2.2 million, the majority of whom were living in the countryside and relying on some form of farming for a living
Most of the 10% of the population who were urban dwellers inhabited towns which were small by continental standards
Probably no more than 20 towns had as many as 3,000 people. London was an exception, it had a population that probably exceeded 50,000. Amongst provincial towns only Norwich’s population exceeded 10,000, and Bristol, York and Coventry had populations in the range 8,000-10,000
Wool and cloth were the main industries in urban areas; others included mining tin, lead and coal, metal working, leatherwork, shipbuilding, papermaking
Henry VII was interested in building up his personal wealth but he had no specific “economic policy”. The Acts of Parliament which dealt with economic matters were mainly the result of the private lobbying of merchants (who had a vested interest)
What was the agrarian economy like during Henry VII’s reign?
Income from the land had declined in the aftermath of the Black Death of the 1300s and early 1400s; it has been suggested that there was something of a recovery in the 1480s/90s as the population began to increase again
Evidence of a greater move towards sheep farming in the 1480s and 1490s; reflection of the depressed profitability of arable farming and improved profitability of sheep farming
Increasing demand for wool as the population grew and trade overseas developed
As a largely agricultural society, England could be divided into a “lowland zone” to the south and east and a “highland zone” roughly north and west
Mixed farming was the most common form of farming in the lowland zone but pastoral farming predominated in woodland areas; there were also specialisms such as horse breeding in the Fenlands
Traditional manorial system of open-field husbandry was concentrated mainly in the grain-growing areas of the SE and the E Midlands
Some parts of the SE and E Midlands were increasingly experiencing change as the wool and cloth trades made sheep farming relatively more profitable
The efficiency gains (improved production and profitability) came at a price for peasants who lost their access to land and common rights, and were often left destitute by the process. This was not frequent in the late 15th century but became more widespread in the first half of the 16th century; this created a moral outcry and political pressures which were difficult to contain
Common rights: the legal right of tenants to use common land, eg. for keeping animals
On the whole it would be fair to say that English agriculture underwent no significant changes during Henry VII’s reign
What was open-field husbandry?
The form of landholding which predominated most of “lowland” England
The manor was a specific landed estate whose tenants farmed strips of land found in open fields and enjoyed commo rights, particularly for keeping animals
This system came under pressure by enclosure in some parts of the country as the 16th century progressed
What was the cloth trade like during Henry VII’s reign?
Responsible for about 90% of the value of English exports
The cloth trade flourished in the last quarter of the 15th century; it is estimated that there was an increase of over 60% in the volume of cloth exports during Henry VII’s reign
Bulk of exports had previously comprised of raw wool, mainly shipped from E coast ports (eg. Boston, Lynn, Yarmouth) and exported through Calais by the Merchants of the Staple
Merchants of the Staple: incorporated by royal charter in 1319, they controlled the export of wool; the staple was based at Calais, from 1363, but the eventual decline in the wool trade reduced the company’s importance
Finished cloth increasingly dominated the trade, which led to the development of weaving (domestic process), fulling and dyeing (commercial enterprises)
Cloth industry offered opportunities for rural employment to supplement agrarian income
Cloth industry tended to move from older corporate boroughs to newer manufacturing centres in smaller market towns and villages in East Anglia, the W Riding of Yorkshire and parts of the West Country
Some cloth towns (eg. Lavenham, Sussex; Lewes, Sussex) were extremely prosperous as a result of the boom in the cloth industry. However historic cities (eg. Winchester, Lincoln) had suffered significant decay
Increasing proportion of finished cloth was exported from London through the Merchant Adventurers; this reinforced London’s commercial dominance within the country and established a commercial axis with Antwerp — the commercial metropolis of Europe during this period. English cloth was transported all over Europe from here
Who were the Merchant Adventurers?
Trading organisation which increasingly dominated London’s cloth trade with Europe; it increasingly supplanted the Merchants of Staple’s economic position as the cloth trade developed
Founded in 1407 and dominated by members of the Mercers’ Company, the wealthiest and most influential company of the City of London, and the most powerful English business organisation of the age
Could act as the voice of the industry when its commercial needs were subordinated to national policy
The king increasingly used their expertise in the negotiating of trade treaties such as the Intercursus Magnus and the Intercursus Malus
However the Merchant Adventurers did not achieve complete domination of the cloth trade because they couldn’t overcome the trading privileges enjoyed by the Hanseatic League (Treaty of Utrecht 1474, Restoration of Privileges 1504). This was a sacrifice of English commercial interests on Henry VII’s part
Henry VII had agreed to provide the Hanseatic League with trading privileges and certain tax exemptions perhaps to ensure that it wouldn’t offer support to Yorkist claimant to the throne, the Earl of Suffolk
Besides the cloth industry, what other industries contributed to the English economy during Henry VII’s reign?
England remained dependent on the cloth industry for trade; other industries remained small and failed to compete effectively with their continental counterparts
Germany and Bohemia were superior in mining and metallurgy; the Spanish, Portuguese and Dutch were superior in shipbuilding
Most English industrial activities (eg. weaving, brewing) were small-scale craft operations which required little capital investment. Such operations supplied the basic necessities of life, food and shelter
Mining required more capital investment but still remained fairly small scale:
1) Tin was mined in Cornwall
2) Lead was mined in upland areas such as the high Pennines and the Mendips
3) Coal was mined in Durham and Northumberland. Development of basic pumping technology (first recorded at Finchale, County Durham in 1486) enabled greater production
4) Much of the coal from the NE was shipped to Newcastle to meet the growing demand for domestic and industrial fuel in London; there was also a small export trade to Germany and the Netherlands
5) Iron ore was mined and smelted in the Weald of Sussex and Kent, where there was a blast furnace as early as 1496
What trade laws and treaties were passed and agreed during Henry VII’s reign?
Crown’s approach to trade during Henry VII’s reign had little consistency: he was interested in maximising customs revenue but was also prepared to sacrifice revenue and trade in order to secure the dynasty, he was also happy for Parliament to legislate in favour of sectional interests
1493 — Henry VII imposed an embargo on trade with the Netherlands due to fear and insecurity brought about by Margaret of Burgundy’s support for Perkin Warbeck. Merchants were required to direct their trade through Calais instead of directly with the Netherlands, which invited their retaliation
The embargo ended with the treaty Intercursus Magnus 1499. However in 1503 Henry VII attempted to reimpose the embargo when the claim of the Earl of Suffolk was once again being taken seriously around Burgundy; he was fortunate that circumstances allowed him to negotiate the Intercursus Malus 1506 instead
Several other trade treaties were concluded but they were of minor importance; Henry VII rated foreign policy and dynastic interests as greater priorities than the interests of English merchants
French trading restrictions (existing since Edward IV’s reign) were removed in 1486, but they were reimposed the following year as a result of Henry VII’s support for Brittany, then largely removed again by the Treaty of Etaples 1492. Most remaining trading restrictions were removed in 1497
What were the weaknesses in Henry VII’s trading policy?
The attempt to make a significant breakthrough in the Mediterranean trade proved a dismal failure
Hanseatic League was largely successful in limiting the development of English trading interests in the Baltic
Henry VII passed the Navigation Acts 1485/1489, the objectives of which were to encourage English shipping by trying to ensure that only English ships could carry certain goods to and from English ports
Such legislation had only limited usefulness as foreign vessels continued to transport a substantial proportion of English exports
What were the Intercursus Magnus and the Intercursus Malus?
1499 — Intercursus Magnus set down that English merchants could export to any part of the Duke of Burgundy’s lands except Flanders; merchants would be granted swift and fair justice; effective arrangements would be put in place for the resolution of disputes. Provided a solid basis for trading relationships between England and Burgundy
1506 — Intercursus Malus in practice extorted from Philip of Burgundy’s weakness; it never became fully operative and the following year trading relationships were restored on the basis of Intercursus Magnus
What was early English exploration like during Henry VII’s reign?
15th century was a great era of European exploration; Spanish and Portuguese explorers had opened up much of the world, with the Portuguese particularly benefitting from their domination of the spice trade. However English sailors were much slower to engage in such activities
Bristol merchants and seamen were interested in the possibilities of transatlantic discovery. It was rumoured that such a discovery had been made some time before 1465; there is evidence that Atlantic exploration was taking place from 1480, albeit on a small scale and unsuccessfully
John Cabot appears to have arrived in Bristol in 1494 or 1495. During this period Bristol fish merchants were looking for alternative fishing grounds to exploit after having been excluded from Icelandic waters by the Hanseatic League
Cabot received authorisation from Henry VII to “search out any [areas] […] which have been before these times unknown to all Christians”. He set sail in 1497 and located what became known as Newfoundland; he reported the existence of extensive fishing grounds. He set set off on a second voyage the following year and never returned, he was presumed lost at sea
Cabot established that a substantial landmass existed within reasonable sailing from Europe; however it is almost certain that Cabot never set foot on the American mainland, despite claims to the contrary
Recently it has been discovered that Bristol merchant William Weston might have landed in America in 1499/1500, even if he did not he was certainly the first Englishman to lead an expedition to the New World
John Cabot’s son Sebastian Cabot received sponsorship from Henry VII and led an unsuccessful attempt to find the “north-west passage” to Asia in 1508
English exploration of the N Atlantic tailed off with the accession of Henry VIII as he had little interest in supporting such enterprises; Cabot’s newly discovered fishing grounds became the preserve of seamen from Portugal and the Basque region of N Spain
What were the extents of prosperity and depression during Henry VII’s reign?
There is little evidence from which to estimate the extent of prosperity and depression in the final years of the 15th century
Apart from a temporary rise in the 1480s, prices seem to have remained steady, and available evidence suggests that a similar thing occurred with wages
Appears to be a decline in the export price of wool and in the price of grain and animal products in the 1490s; perhaps implies a reduction in farming profitability at this time but also rising real incomes for domestic consumers
Both building workers and agricultural labourers were, on the whole, better off during the 1490s than they would be at any other time during the Tudor period
