Middle Ages Economy

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Middle Age Economy

The economy mostly seen in the early middle ages was feudalism, Europe’s form of government

in the Middle Ages, was developed in the fifth century to meet the changing needs of the time. It

was based heavily on the honor system. The king had overall power, then the lord, then the

vassals, or landowners, and finally down to the peasants, known then as the villeins. The fiefs, or

estates, could be rented out to one vassal who would then rent portions of the fief to three more,

and so on. Each person would give their peer a fee (called the guild) and goods in return for

protection. As an old medieval saying states, "No land without the lord, no lord without the

land." The system became outdated in the 1400s.

During the eleventh and twelfth centuries, Europe enjoyed an economic and

agricultural boom. A slight warming of the climate and improved agricultural techniques allowed

lands that had previously been marginal or even infertile to become fully productive. In the late

twelfth and early thirteenth centuries, however, the climate once again began to cool and

agricultural innovations could not maintain the productivity of frontier lands that again became

marginal or were abandoned entirely. The decreased agricultural output could no longer support

the same level of economic activity and, as early as the middle of the thirteenth century, the

economy was beginning to weaken. By early in the fourteenth century and continuing well into

that century, a declining population, shrinking markets, a decrease in arable land and a general

mood of pessimism were evidence of deteriorating economic conditions. This trend was far from

universal and it was certainly less severe in northern Italy. Also, north of the Alps, some

communities quickly rebounded and thrived on their commercial and manufacturing ventures.

Coventry, England, for example, flourished with its woolen cloth industry while Bruges, in

modern-day Belgium, was one of the major commercial centers of the North. In the early

fourteenth century, Florence's textile industry and banking catapulted the city-state into the

forefront of European enterprise and, eventually, into the Italian Renaissance. Significant private

international banking and commercial ventures provided the found...

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... farmers, manorialism came to an end. In the cities of

Europe, urban populations tended to recover more quickly from the plague than rural

communities. This led to large migrations into cities after plague outbreaks but many of these

immigrants remained unemployed. The gap between the rich and the poor widened as the elite

closed ranks to protect their holdings and positions. Close-knit and exclusive guilds were

organized by occupation to regulate workers and eliminate outside competition.

Attempts by the nobility and mercantile elite to legislate the wages and services of the

peasantry and to protect their market monopolies led to violent revolts that were often ruthlessly

suppressed. The French Jaquerie of 1358 was followed by the Florentine Ciompi revolt in 1378

and the English peasant’s revolt in 1381. Similar popular uprisings occurred in Germany, Spain

and the Netherlands. Still, the ruling classes managed to maintain their power. Slowly, the

economy began to recover from the devastations of the late 1300's and early 1400's, and by 1500,

the economic crisis had passed, setting the stage for the flourishing of the Renaissance.

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