Flashcards in The Price Revolution (1) Deck (13):
What was the highest inflation rate during the price revolution?
Was inflation spread evenly across Spain?
In what areas were the steepest price rises?
- the necessaries eg. wheat
What was the moral reason given by 16th-century writers to explain the price revolution?
- the wickedness of the population
How did 16th-century writers blame foreign speculators for the price revolution?
- believed foreign speculators for the increased cost of meat, horses, wool, and cloth ie. they were interfering with Spanish economy
Who were the first people to link imports of gold/silver from the New World to the price revolution?
- theologians at Salamanca
Who in 1556 attributed rising prices to the fact that currency was losing value due to a large supply being in circulation?
What did Mercado's 1569 work 'Manuel of Deals and Contracts' attribute the price revolution to?
- the fact that the New World trade led to increased prices because it created heavy demand for goods
ie. people were so eager to take their produce abroad that Spanish traders could increase prices
What did Hamilton's 1934 modern explanation say?
- it was based on official registers in Seville
- he agreed with the link between bullion and inflation saying there was an "extremely close correlation"
What criticisms of Hamilton do Elliott and Kamen make?
- there was more inflation in the early years before the majority of bullion import
- prices didn't rise evenly which would have occurred if it was monetary based
- Kamen questioned the accuracy of the records at Seville
- silver didn't often stay in Spain, it was often re-exported to pay for Spanish imports/ foreign bankers
Why did Kamen question the accuracy of records at Seville that Hamilton's work was based on?
- silver smuggling increased from 10% Hamilton increased?????
How could the law of supply and demand explain the price revolution?
- Lynch points out that the increased supply of money without increase in agricultural/ manufacturing output = same produce chasing "more and more money"