The Union of Kalmar (1397-1523) had a big effect on trade and the economy in Sweden. This agreement brought together Denmark, Norway, and Sweden under one king, which helped these countries trade more easily with each other.

1. Trade Expansion

• Market Access: The Union allowed Swedish traders to sell their goods to a larger market. This helped them trade directly with important places in Europe, like England and the Hanseatic League.
• Regulation: By having a single set of trade rules, trading became more organized. This made it easier to import and export goods.

2. Key Exports

• Timber: In the late 1400s, timber became Sweden’s most important export. It made up about half of all the goods Sweden sold to other countries. The Union helped ship this timber to Denmark and other places.
• Iron: By the early 1500s, Sweden was also exporting a lot of iron. Iron was very important for the industry in Europe. At times, the iron trade brought in about 25% of Sweden’s trade income during the Union.

3. Economic Benefits

• Revenue Growth: With trade becoming more centralized, the royal family made more money from taxes on trading. During the Union, tax income grew by about 40%.
• Urban Development: Cities like Stockholm and Visby became busy trading centers. By the early 1500s, Stockholm was a major port with over 5,000 residents, which was double its size from the beginning of the Union.

4. Challenges and Declines

• Internal Conflicts: Even though trade grew, there were also problems. Sweden faced political and military fights, which disrupted trade routes and created economic issues.
• Dissolution Impact: The Union ended in 1523, which gave Sweden more control over its own affairs and changed how trade worked, allowing Sweden to develop its own economic plans.

In summary, the Union of Kalmar was very important for Sweden’s economy. It helped increase trade, boost key exports, and grow cities, even though there were still challenges along the way.