How the Dutch East India Company Changed Capitalism Forever

CrashCourse

This episode of Crash Course World History explores the history of the Dutch East India Company (Verenigde Oostindische Compagnie or VOC), arguably the first modern multinational corporation. John Green explains how the VOC revolutionized global economics through financial innovations like the stock market, fractional shares, and corporate governance. The video details how the Dutch overtook the Portuguese and competed with the British to dominate the valuable spice trade in the 17th century. The narrative contrasts the VOC's financial sophistication with its brutal enforcement of monopolies. Key themes include the relationship between capitalism and violence, the concept of a corporate entity operating with sovereign powers (waging war, minting money), and the human cost of economic efficiency. The video specifically covers the ruthless strategies of Governor-General Jan Pieterszoon Coen and the devastation of the Banda Islands for nutmeg control. For educators, this video serves as an excellent bridge between economics and history. It explains complex financial concepts—such as interest rates, futures markets, and bonds—within a historical narrative. It prompts critical thinking about the ethics of corporate power, the definition of a state, and the historical roots of modern global capitalism, making it applicable for World History, Economics, and Civics classrooms.