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Historians have identified several causes for the emergence of the Renaissance following the Middle Ages, such as: increased interaction between different cultures, the rediscovery of ancient Greek and Roman texts, the emergence of humanism, different artistic and technological innovations, and the impacts of conflict
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The reason why spanish contact with Incas drove capitalism in Europe is multifold. After being exposed to the riches of the Incas empire, more and more ships were created in Europe (introducing more producers of ships and shipping supplies, etc.) because more and more people wanted to go to the New world themselves and exploit the riches that were available there.
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Smith is known for creating the concept of gross domestic product (GDP) and for his theory of compensating wage differentials. 2 According to this theory, dangerous or undesirable jobs tend to pay higher wages as a way of attracting workers to these positions.
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