How did the joint stock company facilitate colonial expansion?(1 point)

Question

Responses

It increased government control over colonization.
It increased government control over colonization.

It spread risk among many investors and expanded the amount of capital available with which to develop colonies.
It spread risk among many investors and expanded the amount of capital available with which to develop colonies.

It lessened the role of Christianity as a motivating force.
It lessened the role of Christianity as a motivating force.

It helped spread the idea of indigenous people as “inferior” and “needing to be civilized.”

Answer 1

The correct response is:

It spread risk among many investors and expanded the amount of capital available with which to develop colonies.

Joint stock companies allowed multiple investors to pool their resources, which mitigated individual risk and provided the necessary funding for overseas exploration and colonization.