The correct answer is - 1. Self-governing city-states, in areas of the Holy Roman Empire, that had wealthy merchant families and industries known for banking, jewelry making, textiles, and metal working.
After the fall of the Holy Roman Empire, on the territory of Italy had developed multiple small but strong and well organized city-states. Some these city-states were Siena, Florence, Lucca, Venice, and Genoa. These city-states were ruled by wealthy merchant families that had a big regional economic and military power, and they were developing very well and became very rich by the means of banking, production of expensive goods, and trade.
