Transcript 3.1 England and its Colonies -Mercantilism

3.1 England and its Colonies
-Mercantilism
OBJECTIVE:
Learn about Mercantilism, the
Navigation Acts and the Glorious
Revolution
Understand how the relationship
between England and her colonies
began to change before the
revolution.
COMPARE/CONTRAST
NORTHERN
MIDDLE
SOUTHERN
COMPARE/CONTRAST
NORTHERN
MIDDLE
SOUTHERN
Puritan
Religious
Freedom
Farm & Industry
Small Farms
Slow, but
Growing Conflict
w/Indians
Good Climate
Quaker
Rel. Toleration
Farm & Industry
Farms
Democratic
Tolerant
Good Rel.w/Indian
Catholic/Misc.
Economic
Cash Crops
Plantations
Slavery
Buffer State
Punitive Wars
Malarial
MERCANTILISM
Wealth = Power
More Wealth  More Power
Export Revenue $ > Import Expenses
Colonies Provide:
1. Supplies of Raw Materials
2. A Market for Finished Goods
KEY IDEA
America existed to serve the interests of England
America was a MEANS to English ENDS
PROBLEM:
Keeping the colonies under England’s
economic and political control
England’s Solutions:
1. 1651-
2. 1686-
3. After 1688 -
PROBLEM:
Keeping the colonies under England’s
economic and political control
England’s Solutions:
1. 1651- Parliament passes Navigation Acts to regulate
colonial trade (result?)
2. 1684-Charles II revokes Mass. Charter (Royal colony now)
3.
1686- James II merged northern colonies (Dominion NE)
disbanded local assemblies, levied taxes
3. 1688 - Glorious Revolution of William and Mary
King appointed Governor but restores charter (Toleration)
“Salutary Neglect begins”
Raw Materials
England
Colonies
Finished Products
1.
2.
3.
4.
5.
6.
Mercantilist Controls on Trade
Navigation Laws, 1650
= only English ships may trade with the colonies
Trade with Europe must first pass through England
Certain products could only be made in England
Currency was restricted – produced primarily in
England
“Royal Veto” used against colonial assemblies
Royal Governor, ESPECIALLY Sir Edmund Andros
PROSPROS
& CONS of Mercantilism
CONS





England paid bounties on
shipping industry
=government subsidies
American had a monopoly
on Tobacco
Guaranteed Market for raw
materials
America was not taxed to
support the English Army or
Navy
Americans generally. better
off than English

Stifled American economic
initiative

Southern Colonies favored over
Northern (sugar, tobacco)

Cash Crop prices set by English
Merchants

Price Gouging on finished goods

Colonies were dependent on
England

Not equal partners
http://members.tripod.com/lylesj/trade/tritrade.html
Salutary Neglect
 Stricter
regulations on trade not enforced
AS LONG AS trade imbalance continued
 Colonies
controlled by Royal Governors
BUT local assemblies used “power of the
purse”
CAUSE:
Increased
Competition
in Europe
2 EFFECT:
Mercantilism
3 EFFECT:
Trade imbalance
in Colonies
Dominion of New England
Glorious Revolution
6 EFFECT
Colonial
Self-Government
5 EFFECT
Salutary
Neglect
4 EFFECT
Colonial Smuggling
Royal Crackdown
INTENTION/
CAUSE
UNINTENDED
EFFECT
ECONOMIC
CONTROL OF
COLONIES
UNIFY
THE COLONIES