Medieval & Early Modern Economic and Social Terms Defined

Key Historical and Economic Terms Defined

Credit

A banking and financial instrument. New commercial techniques were very expensive, and long-distance trade expeditions were financed through credit.

Exchange Letters (Bills of Exchange)

These were created to avoid the need for merchants to travel with large sums of money, thereby reducing the risk of theft.

Local Market Fair

A weekly gathering where local farmers would go to town to sell their products.

Major Trade Fair

A larger, often annual, event that lasted for extended periods. Foreign merchants would attend, facilitating significant trade and profit.

Hanseatic League

A powerful community of merchants operating across the Atlantic and Baltic Sea regions, whose success depended heavily on their established trade routes.

Inheritance Conflicts

Struggles for control of a sovereign kingdom that arose after the death of a monarch without direct heirs, often involving two or more claimants to the throne opposing each other.

University

Institutions where individuals, including children of the bourgeoisie and aristocracy, were educated to acquire knowledge useful for governing the kingdom and managing family businesses.

Three-Year Crop Rotation

An agricultural system where only one-third of the arable land was left fallow each year, improving soil fertility and crop yields.

Parliament

A representative assembly, typically comprising representatives from the estates (nobility, clergy, and urban citizens). Monarchs would convene these assemblies, often to gain support from cities and reduce the power of the nobility.

Bourgeoisie

A social class comprising the inhabitants of cities, typically engaged in trade, crafts, or professions, distinct from the nobility and peasantry.

Freedom Charter

A document granted by monarchs to cities, providing them with certain liberties and releasing them from feudal dependencies, thereby fostering urban autonomy.