The Making Of Market Conventions

2363 Words10 Pages
Chapter One: The Making Of Market Conventions This chapter highlights how global trade as well as regional trade affected different economies, countries and even individuals, in different ways. The first example of this is the Fujian trade diaspora, from the Southeast coast of China. This system focused on economic gain by spreading out across the world, traveling, and accumulating wealth while traveling. If successful, the individual was often rewarded upon their return home. The Chinese tribute system on the other hand, while still somewhat focused on economic gain, was centered more so around political as well as social gain. Often times in this system, traders would find themselves at a slight net positive, or net even, due to the…show more content…
The weight of many products made transportation across land extremely expensive, so often times traders would resort to sea as their cheapest form of transport. However, due to the lack of waterways, transport would still often end up having to be done by land. Transport costs controlled the size of cities, as well as the products that were traded. The naval power of the west was able to combat China’s use of large ships due to the lack in numbers. The innovation of China 's ships, however, due to lack of timber did not cease. They stuck to short water routes to reach midway points. As this happened, the Europeans developed trade patterns and established naval power. This power was used by Christopher Columbus in the discovery of the Americas, despite the fact he failed to find his original goal. He wanted to sail west, and though he failed many times to get sufficient funding, he was able to get Queen Isabel to finance his voyage. His calculations were off and there were doubts as to whether or not the trip would be successful, but despite all this, he managed to reach the New World out of luck. Warehouses allowed larger products to be stored for long periods of time at ports. As immigrants came to the Americas, warehouses provided stability for farmers by allowing housing for goods to trade. The Chinese Government provided incentives for migration, which encouraged many people moved to new Chinese
Open Document