Economics in the Early Renaissance - Research Paper Example

Economics in the early renaissance Taxation is the best mechanism of revenue collection used by governments to During the early renaissance, governments portrayed understanding of effective taxation thus enhancing the economic development of their semi-autonomous city-states. The early renaissance witnessed the development of capitalist economies in countries throughout the world. Just as is the case with contemporary economies, the renaissance economies had myriad industries and sectors besides witnessing the introduction of other exciting sectors such as the banking industry in some elite industry (Molho 44). The economic development at the time portrayed the economy as a cohesive structure with numerous facets all of which function independently albeit in unison to enhance the economic growth of the entire society. The numerous sectors in the early renaissance economies thrived on peaceful economies coupled with systematic integration with other neighboring economies in order to expand their economies. Specific dynasties and think tanks such as Aristotle and Plato contributed fundamental economic ideas that fostered the development of the economies as I discuss in the easy below. In the research of the early renaissance economy, I research the theories fostered by numerous classical and neoclassical economists such as Adam Smith and David Ricardo. Effective taxation refers to a system of taxation in which the government demands a fair share of the citizens’ earning thus leaving the citizens with an adequate amount to foster the economic growth of the countries. At a time that the church played an important role in te formulation and implementation of policies, taxation was a fundamental issue since the royal dynasties often collaborated with the church to defraud the people. However, in order for the countries to register economic growth, the leadership had to implement effective policies that would enhance effective taxation, a system that would curb exploitation and enhance the appropriate utilization of the expenditure. Among the early cities worse governments exhibited effective management of resources was Florence. Florence was a small inland city in Italy that unlike other inland cities became economic success. Among the reasons for Florence’s success was the use of the resources in enhancing the liquidity of the economy. The Medici circulated the money in the economy through increased public spending thus resulting in the thriving of arts among other sectors of the economy. This way, the government raised the purchasing power of the people thus improving commerce in the city. Such was a manifestation of Aristotle’s approach to commerce which vouched for the improved public spending thereby increasing circulation. Contemporary economies provide a perfect understanding of the role of peace in the development of an economy. War-torn countries such as Syria have dwindling economies owing to the lack of peace, stability and security peaceful and secure economies such as the Scandinavian countries enjoy rapid economic growth owing to the stability that continues to entice both local and foreign investors. The conspicuous role of peace and stability in the economic development of the contemporary society is an extrapolated view of the societies during the early renaissance. At such times, the rampant wars deterred economic growth; however, the societies that managed to stay peaceful and stable enjoy rapid economic growth. The dynasties of the time thus forged for peace treaties with their neighbors in order to advance their economies besides introducing new industries that revolved the economies of the early societies. The contribution of such think tanks as Aristotle and Plato pioneered the economic development during the early renaissance, a manifestation that proved that as trading in goods and services intensified so did the trade in ideas. Each of such individuals championed for different economic policies that enjoyed varied successes thus explaining the subsequent success of their respective societies. Trade grew between cities as leaders learnt newer and effective ways of taxing their people thus resulting in the development of strong cities capable of defending their boundaries besides providing security and safety to their citizens. Taxation was the most efficient way of enriching the governments; however, the mechanism of earning revenue required effective ways of both collection and spending in order to increase the capital capacity of the governments and the services the governments offered the people (Schernikau 55). The different think tanks of the period thus sought to inform the different taxation systems that their respective governments introduced besides devising appropriate economic policies for their territories. Trade was the greatest economic activity that fostered the growth of cities. Additionally trade influenced the development of peaceful and secure societies that integrated easily with other societies. Religion played a fundamental role in the governance of the early societies. Religion did not only influence the societal values but also influenced the structure of governance since the religious leaders took part in the decision-making processes. As such, religious wars were among the greatest platforms prior to the early renaissance. This explains the underdevelopment that characterized the periods prior to the early renaissance periods. Christianity, which was the predominant religion at the time, influenced the structure of the society. The church influenced the development and implementation of policies most of which were economical. The Roman Catholic for example was a major property owner in certain societies and therefore influenced the revenue collection through effective taxation. I feel the role of the church was appropriate in installing appropriate societal values thus enhancing the development of cohesive societies that were easy to govern. Societal values help instil appropriate principles in individuals wand was therefore essential in the creation of peaceful and cohesive societies at the time thus making it easier for the dynasties to govern. However, the structure and the role of the church in the development and implementation of the policies in most cases portrayed elfishness as the religious leaders colluded with the government among other category of leaders to defraud the people. The church succeeded in developing a submissive and superstitious population that was easy to govern. This created a vulnerable population that was equally easy to defraud. The royal dynasties enjoyed divine anointing. This explained the role of the church in the local politics as religion validated the leaders thus making it easy for the numerous royalties to govern. Wars were rife at the time since different families fought for influence in their respective societies. Besides the wars, scientific invention and arts among other sectors of the economy were equally rife and enjoying robust activity. The likes of Leonardo Da Vinci fostered numerous scientific and artistic inventions thus portraying the capacity of both art and science in the economic advancement of the early societies. Arts employed hundreds of citizens in the cities in the early renaissance. Painting and drawing is an age-old profession that had not only exhibited the role of arts in economic development but also provided an effective platform for preserving culture and criticizing the societies. During the early renaissance, art expanded thus employing more people as the likes of Da Vinci striving to foster new discoveries in both arts and science thus perfecting warfare and military science. As I have explained before, peace was fundamental in the development of strong economies just as is the case in the contemporary economies. However, peace remained elusive as the small cities remained fortified but rivaled on numerous occasions. Segmentation of cities under established dynasties was the easiest way of ensuring that the societies survived the tumultuous times. However, the segmentation made the cities vulnerable thus required effective fortification of armies and economic powers. Such small cities as Florence that could not develop large and strong armies relied on effective scientific inventions in order to invent appropriate arms that would secure the cities (Miskimin 22). This explains the role of Da Vinci among other scientists at the tine who came up with new military inventions thus influencing the use of advanced weaponry in warfare. Da Vinci’s inventions helped secure Florence besides marking the introduction of sophisticate weaponry thus revolutionizing warfare. The Roman Empire, which was among the earliest civilizations during the early renaissance, exhibited its influence using arts. Paintings, sculpture and songs among other types of art served to unify the societies and providing them with an effective platform for the societies to preserve their cultures. Da Vinci and the Medici portrayed the use of arts in unifying their society besides creating additional employment in the societies thus expanding the country’s tax bracket. At the time artists competed thus resulting in numerous iconic paintings and sculptures in the early societies. Rising the purchasing power of a people is an effective way of enhancing economic growth in the contemporary society. This was the basic Aristotle’s thinking as he strived to develop policies that would increase the earnings of the common people. This way, the taxation regimes would not burden the people thus resulting in rapid economic growth. The Medici promoted art as they promoted artists to paint and develop sculptures freely. Furthermore, they introduced drama and songs as ways of entertainment. This way, arts employed numerous people in the city thus enhancing the economic growth of the city. The small city of Florence typified economic growth during the early renaissance. The city had numerous economic sectors a feature that enhanced the creation of the banking idea. As the economy of the city kept increasing so did the need to save the revenue for lean periods when the economy would rely on the reserves. As such, the Medici conceived the idea that would evolve to the modern day banks. Coupled with its growing military might owing to the Medici’s appreciation of military science, the city did not only foster economic growth but also fostered the growth of other inventions through the appreciation of arts and science. Alongside arts and science was religion. The Medici adopted a liberal approach to religion. However, the religious leaders influenced the formation and implementation of policies in the city thus creating appropriate social values that provided the social fabric of the city. Transportation has remained an important economic sector since time immemorial. During the early renaissance, the Italian cities portrayed the importance of transportation in the expansion of trade among other commercial activities. Among the natural features that boosted the resources of the region during the early renaissance were the numerous rivers. In fact, most cities lay along the major rivers. The Danube, Rhone and Rhine were among the essential rivers that provided natural means of transport thus making integration in the society easier. International trade was an important feature that would enhance the economic growth of the segmented societies. Florence for example was a small city that did not produce numerous crops. As such, the city thus relied on international trade in order to enhance its economy. This validated the need for an efficient and reliable means of transport to enhance such transactions. Plato underscored the need for peace in the development of strong economies. However, peace relied on friendly interaction with neighbors since just as I have explained above, international trade results in the holistic development of numerous regions. This implies that neighboring regions had to maintain peace and friendly relationship in order to enhance the growth of international trade. The need for peace influenced the design of the cities. In most cases, the location of the cities helped enhance the security of the societies. Most of the cities lay alongside riverbanks and mountains. This way the cities enjoyed the security of observing an external aggression rom their numerous neighbors. This strategic design later enhanced the development of international trade as the people relied on the rives to navigate thus transport their goods to other external regions. As an inland city, Florence became successful, strong and peaceful in a manner that proved the capacity of the service industry in the economy of Italy, one of the earliest civilizations. The Medici introduced the banking industry a business that would later enjoy immense success thus making Florence the commercial center. The success of the small inland city arose from effective diplomacy as the Medici sought to develop working relations with the neighboring cities. After enjoying an immense success in the city, the Medici opened up branches for the bank in other cities a feature that instigated the development of peaceful Italy. With the banks, the capitalists and the political leaders saved their wealth in the banks. As such, they would not dare instigate wars since they risked losing their wealth. The Medici banks thus became fundamental features of the society that upheld the peace and stability of the entire region. The early renaissance thus enjoyed increased peace as the city states minimized their animosities a feature that contributed to the development of the contemporary societies. Italy enjoyed clever think tanks who advanced numerous ideas and pioneered scientific discoveries thus enhancing the economic development of Italy during the early renaissance. The likes of Plato and Aristotle formulated effective policies on both diplomacy and economics thus enhancing the economic performance of the region. The development of arts in Italy through the works of such artists as Da Vinci and Michelangelo fostered the development of the economy of numerous cities (Goldthwaite 43). As I discussed earlier, arts employed thousands of people in Italy alone during the early renaissance. Additionally, the early Italian cities exhibited the importance of economic integration. The region enjoyed international trade routes that linked the region to other territories. This way, the region enjoyed intensified economic activities thus resulting in the rapid growth of the semi-autonomous cities. In retrospect, I believe that the early renaissance witnessed enhanced economic growth owing to numerous factors key among which was political stability coupled with the heightening need for diplomacy in resolving conflicts. The Medici for example are among the essential families that contributed to the economic growth during the early renaissance. The Medici exhibited exemplary diplomacy prowess, as they often preferred diplomatic ways of resolving conflicts. The Medici further expanded the services industry by developing banks. Coupled with their diplomatic approach to economics, the Medici endeared to numerous other capitalists who saved their money in the bank thus resulting in the rapid growth of the bank in the region. In a show of effective governance, the Medici minimized the number of their enemies while instead creating new friends thus earning their bank new markets. The Medici bank embodied the growth of trade and creative ideas during the early renaissance period. Peace and stability are yet other fundamental factors that contributed to the development of economies during the early renaissance. The period unlike the prior period experienced increased peace. Furthermore, the period witnessed great scientific innovations key among which was the introduction of military science. This created a peaceful ambience thus enabling the growth of trade. With the peace and stability, production increased thus intensifying trade among other commercial activities. The strategic location of the city-states further played an essential role in the development of the economies during the period. The cities in Italy for example enjoyed strategic location along riverbanks and the existence of trade routes in the land. The existence of rivers provided reliable means of transport thus enhancing the growth of trade in the region. Briefly, the peace that succeeded the early renaissance period was a major precursor o the economic development witnessed during the period. The peace enhanced economic activities thus economic growth. Work cited Goldthwaite, Richard A. The Economy of Renaissance Florence. Baltimore: Johns Hopkins University Press, 2009. Print. Miskimin, Harry A. The Economy of Early Renaissance Europe, 1300-1460. Cambridge: University Press, 1975. Print. Molho, Anthony. Florentine Public Finances in the Early Renaissance, 1400-1433. Cambridge, Mass: Harvard Univ. Press, 1971. Print. Schernikau, Lars. Economics of the International Coal Trade: The Renaissance of Steam Coal. Dordrecht: Springer, 2010. Internet resource. Read More