were thus inextricably linked in the minds of European statesman during the early
modern period, which explains the incessant mercantilist warfare of the time.
The 18th century saw the gradual rise to pre-eminence of Britain in this struggle
for power and plenty in the west, while Russia became dominant in the east. The Iberians
continued their hold on Latin America, but the 17th century saw Portugal being replaced
in the Indian Ocean and Southeast Asia by the Dutch. 1648 was an important turning
point, marking the end of the long-standing war between the Netherlands and Spain. This
freed up silver and soldiers, two essential "inputs" for the Dutch East India Company's
activities in Asia, and facilitated a series of conquests in Ceylon, on the Malabar coast,
and in the East Indies. By the late 17th century, the Dutch had succeeded in controlling
the supply of spices such as cloves, leading to a dramatic reduction in their exports, and
an end to Southeast Asia's "Age of Commerce". As Figure 4.1 shows, the Dutch
maintained their dominant position in the European-Asian seaborne trade until the end of
the 18th century. Meanwhile, the British found in India an abundant supply of several
commodities, notably cotton textiles, which they exported not only to Europe, but to
Africa and the Americas as well. By the third quarter of the 18th century, and after
military victories at Plassey in 1757, and Buxar in 1764, the English East India Company
was embarked on a path which would ultimately lead to dominion over the entire
subcontinent. After the Bengal mutiny of 1857, India formerly became part of the British
Empire.
In Western Europe, the triangular struggle for domination between the
Netherlands, France and England became a bilateral struggle between the latter two
powers following William of Orange's takeover of the British throne in 1688-1689.
England and France fought during the Nine Years War (1689-1697), the War of the
Spanish Succession (1701-1713), and the War of the Austrian Succession (1740-1748).
The Seven Years War (1756-1763) was an important victory for Britain, which gained
control of France's North American possessions as well as several islands and ports in the
Caribbean and along the African and Indian coasts. In Eastern Europe, Russia under
Peter the Great and Catherine the Great was strengthening her position as a great
European power, defeating Sweden in the Great Northern War, absorbing the former
Grand Duchy of Lithuania and much of Poland, and expanding to the south at the