Which propaganda effort was so successful, people still believe it today?

.. and the fact that portugese explorer Vasco da Gama had already discovered a sea route to India, making Columbus' proposal more of a possible improvement than a ground-breaking discovery.

The reason why a sea route to India was needed was because the city of Constantinople and with it the Roman Empire fell in 1453, meaning all trade from India to Europe was henceforth monopolized by the Venetians and Ottomans, who charged quite steep markups. The Fall of Constantinople also kickstarted the european renaissance, as a result of Greek scholars seeking refuge in the west, taking their documents and knowledge with them.

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