How did Spanish contact with the New World drive the development of capitalism in Europe? (Supporting Details: Encomienda System, Incas)

Spanish contact with the New World drives the development of capitalism in Europe.

Explanation:

Capitalism came during the 17th century when merchants became involved in the production of goods by supplying materials. Spanish involvement in the New World has started markets in Europe, which has led them to earn wealth for their empire.

Encomienda is a system of acquiring labours. It introduced by Spanish in America during the colonizing. The purpose was to enslave Native Indians and used them as a labour source. Native Americans were captured and put into works in sugar plantation and mines. Many of them died from disease, beatings, and hunger. The encomienda system begin in several areas, most Peru (Inca Empire) remain most vital for Spanish colonizers. Many Native Peruvians (Incas) forced to work in mines for weeks at a time, which led to the death of thousands of them.

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