Directions: Read the given passage carefully and answer the questions as follows:
Commonplace items sometimes play surprising roles in world development. For example, though most people today associate nutmeg with simple baked goods, this common spice once altered the course of political history.
For centuries, the nutmeg tree grew only in the Banda Islands, a small chain in the southwest Pacific. Locals harvested the aromatic nuts of the tree and sold them to traders. Eventually these nuts, from which the spice is made, ended up as a luxury item in the European market, via Venetian spice merchants. Eager to establish a monopoly over this valuable spice, the Dutch attacked the Bandas, subjugating the native people in a mostly successful attempt to control the nutmeg trade.
However, one island in the Banda chain remained in the hands of the British and was the object of much conflict between the Netherlands and England. After many battles, the British offered to cede control of the island in exchange for New Amsterdam, a Dutch outpost on the east coast of North America. At the time, the Dutch, inveterate traders, were more interested in the spice trade than in the mercantile value of New Amsterdam and so accepted the offer. In 1667, the Treaty of Breda gave the Dutch complete control of the Banda Islands, and thus of the nutmeg trade, and gave the British New Amsterdam, which they promptly renamed New York.
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