USA HISTORY

Detailed explanation-1: -Gold and silver from the New World were of wider use to Western Europe, since it was traded with East Asia for goods at a time when Europe produced little that East Asia wanted.

Detailed explanation-2: -In 1493, during his second voyage, Columbus founded Isabela, the first permanent Spanish settlement in the New World, on Hispaniola. After finding gold in recoverable quantities nearby, the Spanish quickly overran the island and spread to Puerto Rico in 1508, to Jamaica in 1509, and to Cuba in 1511.

Detailed explanation-3: -The Thirst for Gold With this precious yellow metal, armies, mercenaries, and gunpowder weapons could be paid for, and their kingdoms could be defended and expanded. Gold has always been rare, but at the end of the 15th century, it was exceptionally so in Europe.

Detailed explanation-4: -Between 1500 and 1650, the Spanish imported 181 tons of gold and 16, 000 tons of silver from the New World. In today’s money, that much gold would be worth nearly $4 billion, and the silver would be worth over $7 billion.