Question

In which industry did capitalism undermine guilds with a domestic system?

Answer 1

Answer:

Option: A. Woolen cloth

Explanation:

As capitalism began to emerge, the economic system started to change. Capitalism brought the competition in the market, which led to the growth of production in the industries. The arrival of industries led to the decline of guilds, especially in the woollen cloth because cotton cloth was taking its hold in markets. The cottage industry was a small scale manufacturing industries that often operated in houses which were part of the domestic system. It began to decline rapidly after the arrival of the textile machine.