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  1. Fifty years earlier a British monopoly and a tax on tea had driven American merchants to revolution; by 1815 policies of their own republican government allowed American merchants to grow rich by selling tea in Europe, at a lower price than any European trader could match.

  2. European economic development. Foreign trade, and especially trade with the Americas, was the most dynamic sector of the whole economy (for instance, French colonial trade increased tenfold between 1716 and 1787), and furthermore the demand from over-seas markets was stimulating the growth of a wide range of indus-

  3. The economic background. The century’s economic expansion owed much to powerful changes that were already under way by 1500. At that time, Europe comprised only between one-third and one-half the population it had possessed about 1300.

  4. In period loosely dated from the 1770s to the 1820s, Britain experienced an accelerated process of economic change that transformed a largely agrarian economy into the world's first industrial economy.

    • Overview
    • Major causes of the war

    The commercial restrictions that Britain’s war with France imposed on the U.S. exacerbated the U.S.’s relations with both powers. Although neither Britain nor France initially accepted the U.S.’s neutral rights to trade with the other—and punished U.S. ships for trying to do so—France had begun to temper its intransigence on the issue by 1810. That, paired with the ascendance of certain pro-French politicians in the U.S. and the conviction held by some Americans that the British were stirring up unrest among Native Americans on the frontier, set the stage for a U.S.-British war. The U.S. Congress declared war in 1812.

    Read more below: Major causes of the war

    Napoleonic Wars: Great Britain, France, and the neutrals, 1800–02

    Read more about Britain’s involvement in the Napoleonic Wars.

    How did the War of 1812 end?

    Peace talks between Britain and the U.S. began in 1814. Britain stalled negotiations as it waited for word of a victory in America, having recently committed extra troops to its western campaign. But news of their losses at places like Plattsburgh, New York, and Baltimore, Maryland, paired with the duke of Wellington’s counsel against continuing the war, convinced the British to pursue peace more genuinely, and both sides signed the Treaty of Ghent in December 1814. The final battle of the war occurred after this, when a British general unaware of the peace treaty led an assault on New Orleans that was roundly crushed.

    The tensions that caused the War of 1812 arose from the French revolutionary (1792–99) and Napoleonic Wars (1799–1815). During this nearly constant conflict between France and Britain, American interests were injured by each of the two countries’ endeavours to block the United States from trading with the other.

    American shipping initially prospered from trade with the French and Spanish empires, although the British countered the U.S. claim that “free ships make free goods” with the belated enforcement of the so-called Rule of 1756 (trade not permitted in peacetime would not be allowed in wartime). The Royal Navy did enforce the act from 1793 to 1794, especially in the Caribbean Sea, before the signing of the Jay Treaty (November 19, 1794). Under the primary terms of the treaty, American maritime commerce was given trading privileges in England and the British East Indies, Britain agreed to evacuate forts still held in the Northwest Territory by June 1, 1796, and the Mississippi River was declared freely open to both countries. Although the treaty was ratified by both countries, it was highly unpopular in the United States and was one of the rallying points used by the pro-French Republicans, led by Thomas Jefferson and James Madison, in wresting power from the pro-British Federalists, led by George Washington and John Adams.

    After Jefferson became president in 1801, relations with Britain slowly deteriorated, and systematic enforcement of the Rule of 1756 resumed after 1805. Compounding this troubling development, the decisive British naval victory at the Battle of Trafalgar (October 21, 1805) and efforts by the British to blockade French ports prompted the French emperor, Napoleon, to cut off Britain from European and American trade. The Berlin Decree (November 21, 1806) established Napoleon’s Continental System, which impinged on U.S. neutral rights by designating ships that visited British ports as enemy vessels. The British responded with Orders in Council (November 11, 1807) that required neutral ships to obtain licenses at English ports before trading with France or French colonies. In turn, France announced the Milan Decree (December 17, 1807), which strengthened the Berlin Decree by authorizing the capture of any neutral vessel that had submitted to search by the British. Consequently, American ships that obeyed Britain faced capture by the French in European ports, and if they complied with Napoleon’s Continental System, they could fall prey to the Royal Navy.

    Britannica Quiz

    A History of War

    The Royal Navy’s use of impressment to keep its ships fully crewed also provoked Americans. The British accosted American merchant ships to seize alleged Royal Navy deserters, carrying off thousands of U.S. citizens into the British navy. In 1807 the frigate H.M.S. Leopard fired on the U.S. Navy frigate Chesapeake and seized four sailors, three of them U.S. citizens. London eventually apologized for this incident, but it came close to causing war at the time. Jefferson, however, chose to exert economic pressure against Britain and France by pushing Congress in December 1807 to pass the Embargo Act, which forbade all export shipping from U.S. ports and most imports from Britain.

  5. With the enormous new markets that began to open after the War of 1812, however, came the irresistible temptation to do more than just get by. Manufacturers sought to increase production by developing new methods and investing in new factories, new machinery, and larger workforces.

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  7. History of Europe - Age of Revolution, Enlightenment, Industrialization: During the decades of economic and social transformation, western Europe also experienced massive political change. The central event throughout much of the Continent was the French Revolution (1789–99) and its aftermath.

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