Europe’s Dominance of the Global Economy in Eighteenth Century

Introduction 

Two great events primarily caused the massive development during the 19th century in Europe. The first event was the industrial revolution and its widespread impact on the state’s economy (Allen, 2000). The economic success was brought about by their unique culture of interacting with other nations that were successful regarding economic growth that led to the introduction of science and technology. Secondly, is the World Wars I of 1914 which led to the European portion of the global social product declining rapidly. The 18th century Europe was considered as the economic powerhouse globally and had the most successful productive power worldwide. Europe’s dominance of the global economy in the 18th century was brought about by European culture and diplomacy that positioned them as economic powerhouse globally. 

Relevance of external influence on Europe 

The Islamic nations were at their cultural climax thus supplied ideas and information to Europe through Sicily, Andalusia and Crusader kingdoms in Levant. The crusaders intensified exchanges between the Levant and Europe with Italians Maritime republic taking a pivotal role in such relations. In Levant particularly in cities like Arab, Antioch, and Latin, culture intermixed widely. These entailed the Latin translation of Arabic texts and Greek Classics in medicine, mathematics, astronomy, and science. BBC Documentary (2013) points that during the Islamic Golden Age, numerous advancements were made within the scientific field particularly astronomy, chemistry, and mathematics which led to the growth of science in Europe. In the 14th century, European learners had to attend Muslim centers for higher learning to study medicine, philosophy, mathematics, and cosmography. In the Middle East, several classical Greeks texts notably Aristotle’s works were successfully translated to Syriac 7th century by Jacobite monks and Nestorian living in Palestine. 

The Arabic philosophical literature was further converted into Ladino, Hebrew, and Latin (BBC Documentary, 2013). Also, the Islamic world greatly influences the European language including English through the Old French including the famous traditional star names like Aldebaran, scientific terms such as alchemy, algebra, and algorithm. Other significant contributions were technological invention through Silk Road such as Chinese innovations which include gunpowder and paper. Europe acquired several technologies from Muslim nations including the astronomical instruments such as Greek astrolabe and Saphaea, a universal astrolabe. The Islamic examples of automata and water clocks had the enormous impact on the European craftsmen producing mechanical clocks around the 13th century. 

Significance of central philosophy of economics and Adam Smith’s argument 

Throughout the classical national economics period, Smith’s work, “The Wealth of Nations of 1776” offered a theoretical rationalization of liberalization of trade experienced in Europe (Reed, 2016). Before rising to prominence, the critical economic game’s regulations were similar for Europe and the neighboring states like China. The two economies, for instance, were limited by the land’s productivity. According to Smith, when a country cannot reproduce its products, then it can acquire wealth from itself. The discovery of America led to an increased European wealth where they supplied abundant commodities to Europe. Europe mainly produced land-intensive agricultural products including timber, sugar and even cotton; hence, they supplied those products they believed were expensive to reproduce locally. Such access to critical resources made it possible for Europe’s profitability to expand further thus increasing productivity and shipping volumes which drove down the transaction cost per unit thus making the expansion worthwhile. 

The New World silver and products honed a Smithian dynamic thus giving a considerable improvement to development but could adequately challenge the limitations of the pre-industrial economy, constrained by the land. Smith argued that the division of labor and specialization adopted by Europe produces greater prosperity to the economy (Reed, 2016). The multiplication of production in ancient Europe of diverse arts and products in consequence of the division of labor resulted in increasing trade and exchange with the neighboring nations thus enabling Europe to accumulate more wealth. 

The role of race and slavery in buttressing that economic philosophy 

The root of the European racisms apparently lies within the slave trade. The Africans were the first immigrants to the British land especially those who had no choice in their destinies. There was no slave tradition in England, but gradually slavery replaced the established indentured servitude as cheap laborers in the plantation (Allen, 2000). Africans were considered as being inferior, barbaric and backward a concept that played a critical role in justifying slavery around the 18th century. Through the 15th century, Europeans and the blacks were connected by trade, migration and even empire either voluntary or forced. Slaves were brought to the Europe to work as cheap labor to aid in the production of sugar and cotton. After that, slavery was common and widespread in European plantations. Slave importation increased as the British colonialists were convinced of the fact that the Black slaves offered the best services regarding fulfilling their labor demand. 

During these periods, the black slaves mainly were deployed to work in the sugar, cotton plantations which led to increased productivity that further strengthened Europe economy (Allen, 2000). The slaves played critical roles in Europe where they contributed towards building the economic foundation of the nation. The majority of the business across Europe thrived and grew wealthier on the institution of the slave trade and investment in the plantation. 

Conclusion 

The technological innovation, the emergence of efficient communication and air transportation led to the increased intensive integration of Europe and other states. This led to the spread of innovation, technology, and knowledge throughout various parts of the world which further began producing commodities for the domestic and global truncation reducing the overreliance by other countries on the European economy. Industrial development thus proceeded gradually on the neighboring states. 

The WWI destroyed the well-established international exchange and trade, and the global currency systems broke out, and by the year 1914 countries like France, Russia, and even Germany dropped convertibility of currencies to gold. Based on the fact that the most severe war’s activities took place within Europe, it significantly destroyed their production structures and harmed the economic growth resulting to the breakdown of this economic culture. The international economic order went through core transformations to the advantage of the Americas around the year 1918. 

References 

Allen, R. C. (2000). Economic structure and agricultural productivity in Europe, 1300–1800. European Review of Economic History , 4 (1), 1-25. 

BBC Documentary(2013). An Islamic History of Europe. Retrieved from 

https://www.youtube.com/watch?v=YfhZR15QRKA   

Reed, L., W., (2016). Adam Smith: Ideas Change the World. Retrieved from 

https://fee.org/articles/the-wealth-of-everyone/