Question

joint-stock companies were used to fund english settlements after those funded by individuals a>became too prosperous and were seized by the crown b.became too prosperous and were seized by the crown c. failed d. became too expensive to run answer

Answer 1

Joint-stock companies were used to fund English settlements after individual funding attempts failed. They represented a business model that distributed the economic risks of colonization. The companies failed if the colonies did not survive.

Step-by-step explanation:

Joint-stock companies were used to fund English settlements after those funded by individuals failed. A joint-stock company is a type of business entity in which shares of the company's stock can be bought and sold by shareholders. Each shareholder owns company stock in proportion to the amount he or she owns. This model was pivotal in the colonization of the Americas, as it distributed the economic risk associated with the establishment of colonies. Examples of these include the Virginia Company, which established Jamestown, and the Massachusetts Bay Company. These organizations were funded by individuals who hoped to profit from the wealth of the New World, but it wasn't without risk. Companies failed if the colonies failed, which was often the case in the early attempts at settlement.

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