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During the Middle Ages, guilds and economic structures were initially open but became highly constricted by the late Middle Ages, with hereditary guilds and rigid regulations. This led to a divergence in Europe, where Northwest Europe reformed these institutions while Mediterranean Europe maintained them.

In medieval Europe, decentralization of monarchical institutions allowed capitalism to evolve because small governments couldn't maintain power, leading to a balance of social authorities like the church, state, nobility, and merchant guilds.

The Catholic and Protestant churches were powerful in pre-modern Europe due to the weak state, providing social organization and fostering ideals of personal responsibility and individualism.

The Catholic Church in medieval Europe allowed for a surprising amount of political discourse, providing structures for what could be agreed upon and what could not. This openness to disagreement is a notable aspect of the Church's influence at the time.

In the High Middle Ages, the Catholic Church's influence was so pervasive in Western Europe that it shaped the very identity of its people. They identified first as Christians rather than Europeans, and this religious framework influenced everything from science to ethics.

Universities in medieval Europe originated as Catholic institutions and became key in developing cities as organizational alternatives to the Church. By the 12th century, they began secularizing, showing Europe's rapid adoption of logical traditions from Byzantines and Muslims.