All Credit goes to Capitalism

 

According to Harari, there is an essential link between Capitalism, empire, and science.  Harari contrasts the societies of east asia and europe. The separation between these two world powers was commonly the economic systems behind them  At the core of capitalism is the concept of credit. Harari uses the example of a baker wanting to open a shop to illustrate how capitalism allows drastic economic expansion without the introduction of new capital. Expeditionary forces in european capitalist countries had the opportunities to explore and colonize because of the loans they were capable of receiving.  Those in previous eras and other societies had to present their colonizing opportunities to royalty to ask for loans. Often royalty was not willing to take the financial risk of funding of an expedition, because of the unreliability of its potential to pay out.  As credit loans came into practice by the british monarchy, the brits were increasingly likely to receive reasonable loans with which they could explore and expand.

Progress is closely linked with capitalism.  As capitalist lend for low interest rates, the pie in which they share grows in size and trust for the future grows.  In many feudal British societies, it was impossible for a peasant to fulfill their dreams of social mobility. As economic progression in England continued, however, it became an increasingly lucrative market for all those who partook.

Harari raises some important questions regarding why countries with capitalist tendencies had interest in expanding and colonizing.  It is commonly known that the silk road on the asian continent created a massive network of trade. Where european and asian countries differ is in the use of low interest credit and trust of future capital gain.  This imaginative edge gave european explorers and private entities the funding to conquer every corner of the world.

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