Despite its wealth, Spain underwent great economic and social crisis. Among the greatest conflict that Spain faced was inflation which is the decline in the value of money which resulted in increased prices. Inflation was caused by a burst in Spain's population where the demand for supplies increased. Furthermore, inflation started because of silver that flooded in the markets, decreasing its value where people needed more and more silver to purchase their demands. Additionally, Spain lost many of its artisans and businessmen because of the wars with Muslims and Jews. Socially, lower classes were pressured with taxes that were not imposed on the nobles. Draining all their money, lower class people weren’t able to save money in order to form their own business; therefore, Spain never had a middle class. Using old-fashioned methods increased the prices even more in Spain. As a result, Spanish people would buy goods from Spain's enemies including France, England, and Netherlands. Our hero, Philip, burned his beloved land Spain with debts because he borrowed money from Germany and Italy in order to support his army in wars. Later, he would spend all the money he gains in order to repay those debts. Spain went bankrupt 3 times at least. Additionally, Philip would put his army in order to keep the Dutch in Netherlands under his control since they were different from Spain religiously and economically wise. While Spain was catholic (Philip) and had a feeble economy, Dutch were protestants and strong economically. These religious conflicts resulted in a revolt where Philip wanted to destroy Protestantism and the Dutch swept over the Catholic churches. Later on, Philip used the force of the army to make Alva stop the rebellion, killing many Protestants. Finally, the seven northern Netherland Protestant states united and became independent from
Despite its wealth, Spain underwent great economic and social crisis. Among the greatest conflict that Spain faced was inflation which is the decline in the value of money which resulted in increased prices. Inflation was caused by a burst in Spain's population where the demand for supplies increased. Furthermore, inflation started because of silver that flooded in the markets, decreasing its value where people needed more and more silver to purchase their demands. Additionally, Spain lost many of its artisans and businessmen because of the wars with Muslims and Jews. Socially, lower classes were pressured with taxes that were not imposed on the nobles. Draining all their money, lower class people weren’t able to save money in order to form their own business; therefore, Spain never had a middle class. Using old-fashioned methods increased the prices even more in Spain. As a result, Spanish people would buy goods from Spain's enemies including France, England, and Netherlands. Our hero, Philip, burned his beloved land Spain with debts because he borrowed money from Germany and Italy in order to support his army in wars. Later, he would spend all the money he gains in order to repay those debts. Spain went bankrupt 3 times at least. Additionally, Philip would put his army in order to keep the Dutch in Netherlands under his control since they were different from Spain religiously and economically wise. While Spain was catholic (Philip) and had a feeble economy, Dutch were protestants and strong economically. These religious conflicts resulted in a revolt where Philip wanted to destroy Protestantism and the Dutch swept over the Catholic churches. Later on, Philip used the force of the army to make Alva stop the rebellion, killing many Protestants. Finally, the seven northern Netherland Protestant states united and became independent from