[Sidenote: Spanish defeats of the sixteenth century.]
The unfortunate policies of Charles I and Philip II were continued during the seventeenth century in the reigns of Philip III, Philip IV, and Charles II, but Spain was no longer able to hold her front rank position in European affairs, especially after the buffets of fortune which fell to her lot in the reign of Philip IV. Not only that, but a decline also set in which affected Spanish civilization in all its phases. The impetus of Spain’s greatness in the sixteenth century carried her along to yet loftier heights in some manifestations of her inner life, notably in art and literature, but even in these characteristics the decline was rapid and almost complete by the end of the reign of Charles II. Italy, France, and the Low Countries continued to absorb Spanish effort, but now it was Spain’s turn to acknowledge defeat, while France, the great power of the century, took toll for the losses she had suffered at the hands of Charles I and Philip II. The unsuccessful Catalan revolt and the victorious war of the Portuguese for independence assisted to drain Spain of her resources, financial and otherwise, while the last-named event destroyed peninsula unity, carrying with it such of the Portuguese colonies as had not already been lost. Spain yielded the aggressive to her strongest opponent, and endeavored herself to maintain the defence. Nevertheless, great achievements were still the rule in the colonies, even if of a less showy type than formerly. Spain was still the conqueror and civilizer. On the other hand, the efforts of other nations to found colonies in lands claimed by Spain began to be successful, and this movement gathered force throughout the century, together with the direct annexation of some lands which were already Spanish.
[Sidenote: Philip III and Spanish relations with England, the Low Countries, and the Empire.]