Before the creation of stock markets, there were ways to invest capital, such as real estate and perhaps tangible valuables that would increase in value over time. But when and where was there a way created to invest in the growth of businesses? The very first stock market (The Amsterdam Stock Exchange) began in 1602 in Amsterdam, Netherlands. It was the Dutch East India Company that became the first public company, or the first company to sell/issue shares of stock to the public. This allowed individuals to invest in the company and share in its profits. This was the catalyst that led to the creation of a secondary market, where individuals could buy and sell stocks from various other companies, ultimately giving birth to the modern stock market as we know it today.
Econ Addicts 