During the period from 1000 AD to 1500 AD, Europe experienced a complex economic trajectory marked by both development and setbacks. Initially, economic decline was precipitated by factors such as the Hundred Years’ War and the devastating impact of the Black Death pandemic, which significantly reduced population levels. However, from the late 15th century onwards, Europe began to see a revival fueled by increased trade and urban growth. This resurgence led to the emergence of new social classes like merchants and bankers, who played pivotal roles in fostering capitalist relations and the establishment of modern financial institutions. Urban centers across Europe became vital hubs for trade, manufacturing, and cultural exchange, laying the groundwork for the economic transformations that would continue into the early modern period.