Question

How did Philip II's manage to go bankrupt despite all the gold and silver from the American colonies? * A. His frequent wars against Protestant and Muslims. B. His support of Spanish manufacturing. C. He ruled that all art depict religious subjects. D. He provided financial support to artists.

Answer 1

A. His frequent wars against Protestant and Muslims.

Step-by-step explanation:

Philip II was a fervent Catholic and it is true that he started many wars to defend the power and influence of the Catholic Church against Protestants and Muslims, but wars cost a lot of money and Philip has already inherited the throne with Spain bordering on bankruptcy. To pay for the wars, he had to borrow money from other nations, which caused a huge expenditure of money, leading to complete bankruptcy in 1598. It took a long period of reforms for Spain to have an efficient economy again.