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The manifestations of European capitalism during the 19th century

What is capitalism

Capitalism is a set of special repercussions that affected European society and countries as it is one of the systems related to economic and social systems and is based on freedom of ownership, whether it is the means of production or in initiative and competition.

The manifestations of the prosperity of European capitalism

European capitalism witnessed a period of tremendous prosperity characterized by a wide scope during the nineteenth century, and there were a group of factors that led to the occurrence of this prosperity, and one of the most manifestations of its emergence and spread forms of capitalist concentration [1] .

This prosperity led to a set of multiple outcomes that actively participated and played a prominent role in shaping Europe over the past period of time. There are a number of aspects that contributed greatly to the prosperity of European capitalism, including:

Technical aspects : Western European countries have experienced the technical and industrial revolutions, whether the first or the second, and the resulting development contributed to raising production processes and was represented in many inventions, including those related to communication, such as steam ships , locomotives and telegraphs, especially in each of the following countries: Britain and France and Germany

Quantitative manifestations : As a result of the repeated and urgent requests from the industrial contracting authorities for raw materials, there has been a development in production processes with a clear and noticeable increase in prices.

  • There has also been development and renewal in the industrial establishments, as in the beginning the industries were limited to those produced in the home workshops before the advent of the nineteenth century, and after that the industries became present in the family enterprises in the period that preceded the existence of the sources of external financing and this was the beginning Introductory to the emergence of some companies with anonymous identity and name.
  •  Banks also had a process of development, as they were limited to family banks in the past to deposit, preserve and spend money, but with the beginning of the ninth century there were banking institutions that assumed the tasks of the investment and creativity process for customers, and they also provided loans to industrialists so that they could complete their projects.

capital focus

It is one of the most important manifestations of the prosperity of European capitalism, and what it means by capitalist concentration is the presence, concentration and confinement of economic activities under the control and in the hands of a certain and limited number of major companies .

  1. Horizontal focus : It is the inclusion and aggregation of various different institutions that manufacture and present the same product, so that they are all subject to the leadership of one department.
  2. Vertical focus : It is a process of merging a group of institutions, each of which contributes to the manufacture of a product in order to become an integrated chain of institutions that manufacture one product.
  3. The phenomenon of capitalist concentration has resulted in several large and huge institutions, the most important of which are:
  4.  Cartel : It is an agreement concluded between a group of institutions that produce a substance in order to stop or limit the processes of competition between them, in addition to the preservation of each institution with its legal and financial personality.
  5.  Trust : It is an institution that is built or established as a result of the merger of an unlimited number of institutions that are subject to one management, and therefore each company loses its independence in addition to its legal and financial personality as well.
  6. Holding, in the sense of ownership companies : It is a group of large and huge companies that undertake the task of purchasing shares of other companies, regardless of whether they are similar to them in the nature of economic activity or not.

The impact of prosperity on European life

The prosperity of European capitalism led to the occurrence of results and transformations that the European population witnessed, as [2] :

  • The number of population in Europe at the beginning of the nineteenth century happened to them to increase and rise very quickly, due to the increase in agricultural and agricultural production rates, which in turn eliminated famines and helped improve nutrition and provide food crops, in addition to that methods of prevention and treatment have developed.
  • The urban population has seen a very large increase at the expense of the residents of the villages, due to the capacity of the cities to receive many immigrants who are looking for the best opportunities to be able to live in the conditions of the doll suitable for them, and in the cities there are many factories, and therefore there are many job opportunities that they can acquire any One of them easily when compared to the job opportunities that exist in the countryside, and this resulted in the presence of millions of cities in Europe, including Berlin, London and Paris.
  • European society knew a clear social difference between a rich, dominant and ambitious bourgeoisie class that includes a group of industrialists who own projects and money, and another class of the proletariat, which is the working class that includes the rest of the people and has been exploited by the bourgeois class in difficult and difficult occupational conditions and difficult and miserable living conditions as if This class has been subjugated to a service without taking into account their human and human rights, such as working long hours and periods in which they work hard, misery and toil in return for low wages that are not worth anything compared to what they do of the effort they make.
  • As a result of this severe suffering and drought that dominated the class, there was a clear and biggest reason to push and motivate the proletariat class to organize itself in order to form the unions that would protect them and preserve their rights. After a series of continuous and successive strikes and protests, European countries were forced to intervene in order to improve the conditions related to this class. Their right was wasted by issuing and enacting a set of social laws that are represented in the right to strike, compulsory education, and determining the working hours they work.

But the development of European capitalism during the nineteenth century created a set of problems besides the social problems that existed, for example, there are other problems related mainly to how to dispose of surplus production, and surplus capital, and this may lead Europe to think of expanding outside its lands and seizing what is adjacent to it through Expansionist movements will be known and will be called European imperialism.


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