Lecture 5

Plantations, Commodities, and Labour

How did plantations work?

• Indentured labour: sign a contract, shipped from Europe to the Americas to work, at the end → can have land
    * Does not work well for sugar plantations → cannot force the workers to do more than a day’s work
      * Competitive market doesn’t allow for free labour - solution = slavery
• Slaves work in all sorts of industries, but plantations are key (because the production is so large)
• Americas: slave society! The entire economy is based on the plantation system
• The only way to increase production is to increase land and workers → expansion
• Sugar: very valuable (rhum)
• To keep costs low: slaves would do the food production themselves for themselves → can feed themselves
• Slave mines: slaves can’t grow their own food - harder

Who worked there?

• A mix of cultures because they are prisoners of war (soldiers, leaders, peasants)
    * Former leaders from Africa → lead these communities
    * Some defeated European colonizers because they were soldiers!
• Ex: Haiti
    * Slaves were born in Africa, kidnapped from very large areas → very different languages
    * Europeans organize different groups of people so they can’t organize to rebel
    * Only successful slave revolution!
• Tried to use white European slaves
    * Didn’t work, local white people rebelled because didn’t permit it, were scared that them too could become slaves

What did they produce?

• Sugar
• Cotton: inefficient to grow and labour intensive
    * Incorporate industrial machines to help with production
    * Starts making the United States powerful
• Tobacco
• Indigo
• Lumber and timber
• Rice and wheat

What impact did that production have?

• Threats: torture, execution, being sold → terror

• Slaves are commodities
    * They are stripped of their legal rights

• Plantations: businesslike operation

• Must disembed slaves from their communities

• Cheaper to keep importing slaves!

• Slave labour → cheaper products → profits → more slaves → more production

• Triangular trade
    * Europe to Africa: manufactured goods
    * Africa to America: slaves
    * America to Europe: raw materials

West Africa and the Slave Trade

State Formation on the Gold Coast

• 1550-1560 West African Coast: major changes
    * State building: coastal villages, larger towns/cities
      * Large cities rely on trade (European)
    * Administrative core starts the process of state building
    * States incorporate a lot of different groups - needs a lot of organization
    * States build through a series of war → creates a massive number of new slaves
• States who were equipped (militarily) by Europeans became dominant!
• Gold coast becomes more unified → Europeans are able to expand slave trade
• More powerful states = win more wars, so they capture even more slaves

Expansion of the Slave Trade South to Congo

• Causes:
    * Europeans don’t want to deal with stronger and wealthy states.
    * These states also want to incorporate slaves into their own territory.
    * Wars are getting bigger → slows down gold production, destroying the states’ wealth
    * Flow of gold across the Atlantic reverses (from Brazil to Gold Coast)
    * With the gold, Europeans buy slaves → SLAVE TRADE EXPANDS

Demographic/Developmental impact

• Slaves would have been way more valuable in their community than the price they were sold at
• Lack of opportunity
• Loss in labour
    * Hard to build infrastructure because it takes a lot of labour-power
    * Hard to develop a base of trained workers
• Loss in markets
    * No internal market
• Loss in pressure for technological advancement: Europeans wouldn’t sell them/show them new industrial ways that would help them develop
• Losing population so no developmental progress (intensification/expansion is hard)
• Loss of wealth due to wars

Capital

Free trade and monopoly

• Monopoly trade companies start to fall apart
• Free trade!
• Voyages are funded on the subscription model

Where did the money go?

• Abolition movement in Britain was because slavery was becoming not enough profitable
• Profits made from the slave trade allowed the Industrial Revolution to happen in England
• Infrastructure, banks, productive capacity

Slavery and the modern economy

• Money from plantations → produced a very stable fiscal environment because of guaranteed income → foreign investors

• 20-50% of British capital came from slave trade + plantations
    * Invested in nonfinancial assets

• People in faraway regions whose employment and work depend on people on other continents → GLOBALIZATION
    * People are completely dependent on other continents
    * Interconnected world