Economic Systems Evolve with Context

Economic systems are shaped by both material changes and the social and cultural contexts in which they occur. Major historical shifts, such as the rise of mercantile trade, colonialism, and the enclosure of farmland, illustrate how economic transformations are intricately linked to broader societal changes. These dynamics reveal that while technological advancements and environmental factors influence economic development, they do so within a framework of evolving social norms and values. Understanding capitalism requires examining its historical emergence during significant transitions from the Middle Ages to the modern era, highlighting the interplay between economy and culture.