How did the Islamic Caliphates contribute to economic growth along the Muslim trade routes?

• A. By focusing solely on agricultural development and neglecting urban centers.
• B. By discouraging trade with non-Muslim regions and imposing heavy tariffs on foreign goods.
• C. By establishing a unified legal and monetary system that facilitated trade across regions.
• D. By restricting the movement of merchants and limiting the construction of infrastructure.

Answer: (C)

Verified step by step guidance

1. Identify the key economic factors that influence trade and growth along trade routes, such as legal systems, monetary systems, infrastructure, and trade policies.
2. Understand the role of a unified legal system in reducing transaction costs and increasing trust among merchants from different regions, which encourages trade.
3. Recognize how a standardized monetary system simplifies exchanges by providing a common medium of exchange, reducing the need for complex currency conversions.
4. Consider the impact of facilitating trade through policies that promote openness and reduce barriers, rather than restricting movement or imposing heavy tariffs.
5. Conclude that the Islamic Caliphates contributed to economic growth primarily by creating a unified legal and monetary framework that made trade more efficient and widespread across diverse regions.