The debased coinage was replaced by a recoinage of newly minted coins with a true silver weight.
Goldsmiths, who also worked silver, often acted as guardians of clients' wealth. They began to borrow at interest at one rate in order to lend out to traders at a higher rate. This began banking.
Patents were begun to encourage the new merchant lords to develop local manufactures or to expand import and export trade. Patents were for a new manufacture or an improved older one and determined the wages of its trades. There was chartering of merchant companies and granting of exclusive rights to new industries as monopolies. Some monopolies or licenses were patents or copyrights of inventors. Others established trading companies for trade to certain foreign lands and supporting consular services. People holding monopolies were accountable to the government. There were monopolies on certain smoked fish, fish oil, seal oil, oil of blubber, vinegar, salt, currants, aniseed, juniper berry liquor, bottles, glasses, brushes, pots, bags, cloth, starch, steel, tin, iron, cards, horn, ox shinbones, ashes, shreds of gloves, earth coal, calamite stone, powder, saltpeter, lead manufacturing by- products, and transportation of leather.
For far-flung enterprises and those where special arrangements with foreign countries was required, there was sharing of stock of companies, usually by merchants of the same type of goods. In joint-stock companies each member took a certain number of shares and all the selling of the goods of each merchant was carried on by the officials of the company. The device of joint stock might take the form of a fully incorporated body or of a less formal and unincorporated syndicate. The greatest joint-stock company was East India Company, chartered in 1600 to trade there in competition with the Dutch East India Company. It was given a fifteen year monopoly on trade east of the southern tip of Africa. Unlike the Muscovy Company, and Merchants of the Staple, individual members could not trade on their own account, but only through the corporate body on its voyages. It was regulated as to each particular voyage and helped with problems by the Crown and Privy Council, for instance when further subscriptions were needed, or when carpenters were needed to be pressed into service for fitting out ships, or to deal with an unsuccessful captain. Its charter retained many of the aspects of the medieval trade guild: power to purchase lands, to sue and be sued, to make by- laws, and to punish offenders against them by fine or imprisonment. Admission was by purchase of a share in a voyage, redemption, presentation, patrimony (sons of members who were twenty-one), and apprenticeship. Purchase of a share in a voyage was the most common method. A share for the first ship cost 100 pounds. When share purchase did not suffice, redemption for such cash payments as could be obtained was resorted to. Occasionally presentation or a faculty "for the making of a freeman" was granted to some nobleman or powerful member. Members' liability was limited to their individual subscriptions. Each voyage had 1) a Royal Commission authorizing the Company to undertake the expedition and vesting in its commanders powers for punishing offences during the voyage, and quenching any mutiny, quarrels, or dissension that might arise; 2) a code of instructions from the Company to the Admiral and to commanders of ships setting forth in great detail the scope and objects of the voyage together with minute regulations for its conduct and trade; 3) authorization for coinage of money or export of specie (gold or silver); and 4) letters missive from the sovereign to foreign rulers at whose ports the ships were to trade. The first voyage brought back spices that were sold at auction in London for ten times their price in the Indies and brought to shareholders a profit equivalent to 9 1/2% yearly for the ten years when the going interest rate was 8% a year.
Town government was often controlled by a few merchant wholesalers. The entire trade of a town might be controlled by its drapers or by a company of the Merchant Adventurers of London. The charter of the latter as of 1564 allowed a common seal, perpetual existence, liberty to purchase lands, and liberty to exercise their government in any part of the nation. It was controlled by a group of rich Londoners, no more than 50, who owned the bulk of the cloth exported. There were policies of insurance given by groups of people for losses of ships and their goods. Marine insurance was regulated.
New companies were incorporated for many trades. They were associations of employers rather than the old guilds which were associations of actual workers. The ostensible reason was the supervision of the quality of the wares produced in that trade. (Shoemakers, haberdashers, saddlers, and curriers exercised close supervision over these wares.) They paid heavily for their patents or charters.
There was no sharp line between craftsman and shopkeeper or between shopkeeper and wholesale merchant. In London, an enterprising citizen could pass freely from one occupation to another. Borrowing money for a new enterprise was common. Industrial suburbs grew up around London and some towns became known as specialists in certain industries. The building crafts in the towns often joined together into one company, e.g. wrights, carpenters, slaters, and sawyers, or joiners, turners, carvers, bricklayers, tilers, wallers, plasterers, and paviors. These companies included small contractors, independent masters, and journeymen. The master craftsman often was a tradesman as well, who supplied timber, bricks, or lime for the building being constructed. The company of painters was chartered with a provision prohibiting painting by persons not apprenticed for seven years.
The prosperous merchants began to form a capitalistic class as capitalism grew. Competition for renting farm land, previously unknown, caused these rents to rise. The price of wheat rose to an average of 14s. per quarter, thereby encouraging tillage once more. There was steady inflation.
With enclosure of agricultural land there could be more innovation and more efficiency, e.g. the time for sowing could be chosen. It was easier to prevent over-grazing and half-starved animals as a result. The complications of the open system with its endless quarrels and lawsuits were avoided. Now noblemen talked about manure and drainage, rotation of crops, clover, and turnips instead of hunting, horses, and dogs. The breed of horses and cattle was improved. There were specializations such as the hunting horse and the coach horse. By royal proclamation of 1562, there were requirements for the keeping of certain horses. For instance, everyone with lands of at least 1,000 pounds had to keep six horses or geldings able for demilances [rider bearing a light lance] and ten horses or geldings for light horsemen [rode to battle, but fought on foot]. One with under 100 pounds but over 100 marks yearly had to keep one gelding for a light horseman. Dogs had been bred into various types of hounds for hunting, water and land spaniels for falconry, and other dogs as house dogs or toy dogs. There were no longer any wild boar or wild cattle. The turkey joined the cocks, hens, geese, ducks, pigeons, and peacocks in the farmyard. Manure and dressings were used to fertilize the soil. Hay became a major crop because it could be grown on grazing lands and required little care.
There are new and bigger industries such as glassware, iron, brasswares, alum and coppers, gunpowder, paper, coal, and sugar. The coal trade was given a monopoly. Coal was used for fuel as well as wood, which was becoming scarce. Iron smelters increasingly used coal instead of charcoal, which was limited. Iron was used for fire-backs, pots, and boilers. Good quality steel was first produced in 1565 with the help of German craftsmen, and a slitting mill was opened in 1588. Small metal goods, especially cutlery, was made, as well as nails, bolts, hinges, locks, ploughing and harrowing equipment, rakes, pitch forks, shovels, spades, and sickles. Lead was used for windows and roofs. Copper and brass were used to make pots and pans. Pewter was used for plates, drinking vessels, and candlesticks. Competition was the mainspring of trade and therefore of town life.