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Essay / Impact of the Industrial Revolution on International Trade
Before the events of the 18th century unfolded, the bonds of an increasingly global world agitated agrarian and rural societies. In particular, families had begun to produce surpluses and purchase new products, previously considered luxury goods. This era of industrial revolution laid the foundation for the industrial revolution. At this time, trade to Europe was mainly in spices from India, silk and porcelain from China and, despite silver flowing in from the Americas, kept the balance in favor of the East. Capital and labor requirements were not intensive and commercial activities were mainly housed in corporations. This essay attempts to understand the impact of the industrial revolution on commerce. The 18th and 19th centuries, a period of industrial revolution, show three distinct movements of trade, labor and capital within international trade, which can be better understood when examined together. Trade: In the 17th century, traditionally, regions were self-sufficient in food, but as the population grew especially in Europe, demand increased, causing food prices to rise. Eventually, the corn laws were abolished, leading to the importation of cheaper food products, thereby increasing consumption. Thus, food products, despite their higher volume, have become the most important product of exchange. The Americas, with their sugar cane, cotton, cocoa, coffee and banana plantations, became the food basket of Europe. With industrialization, the supply chain changed to add value to the product, as in the case of meat, until the 1870s. Live animals were shipped from America and then slaughtered in Europe for consumption. Transportation costs have made meat an expensive food product, but... middle of paper ...... primary products come from one place, secondary products from another place, and tertiary products come from moreover, thus profoundly changing the world. trade with a growing polarization towards the free movement of labor, capital and goods. The different spheres of commerce were more interconnected and as commerce expanded and affected the lives of the common man, new businesses, services and sectors emerged. and fortunes grew. The new cities of Bristol, Bombay and Buenos Aires were home to thriving neighborhoods for the bourgeoisie and advertising for newer products became the order of the day. All of this ultimately led to a division of labor where some regions specialized in manufacturing and others in raw materials. . England, Europe and the United States were the main beneficiaries, at the expense of the artisanal economy of India and China..