Colonial Mercantilism

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Warm Up
①
Name the three colonial regions:
②
Name the colonies in each of the three
colonial regions
③
Which country controls these 13 colonies
New England
Middle
Southern
Colonial Mercantilism
A step towards the American Revolution
Why Do Countries Want Colonies
I.
II.
The money a colony makes goes to the
mother country
The mother country gets rich because of
colonies
A.
III.
The more colonies the more money
Colonies produce money!!!!!
Colonies EQUAL Money
Mercantilism
I.
Beginning around
1650, the British
government
pursued a policy of
mercantilism with
the 13 colonies
Mercantilism
What is mercantilism?
Belief in the benefits of profitable trade
(you should sell more than you buy)
Why use Mercantilism?
Mercantilism is an economic theory that
states a nation becomes stronger by
controlling its trade
II. Nations that make more money are
stronger
III. It also states that a nation should have
more exports than imports.
I.
Using Mercantilism
I.
England followed this theory of
mercantilism with the 13 colonies:
A.
To achieve this balance of trade England
passed laws to ensure a favorable balance of
trade
B.
These laws made sure that England would
make money from its colonies
Raw Materials

Manufactured Goods

Moving Materials
Import
I.
II.
III.
IV.
Goods or products
brought into a country
Stuff from outside a
country
BUY
Imports require you to
spend money
Export




Goods sent to market
outside a country
Stuff from your country
SELL
Exports ear a nation
money
SO MERCANTILLISM?
If you EARN (Export) more than you SPEND
(Import), then you will have a PROFIT at the
end.
Characteristics of
Mercantilism
England
Colonist were not permitted to make most of
the finished products made in England
X
Products such as tobacco and wood could only
be sold to England or its colonies.
X
Colonists could only use English ships to trade
their goods.
X
X
Colonial ships were protected by the English
navy
Colonist had to buy molasses from English
colonies in the West Indies
X
X
Colonist were assured a ready market for
their goods
Goods traded between Europe and America
had to pass through England to be taxed
English
Colonies
X
Increasing Control Over The
Colonies
I.
As the 13 colonies become successful,
England wants more control over the colonies
A.
II.
III.
Ensure mercantilism
The English Parliament began enacting
stronger controls over the American colonies
The first major act of control was the
Navigation Acts
THE NAVIGATION ACTS
Between 1651 and 1673 English Parliament
passed 4 Navigation Acts to ensure proper
mercantilist trade balance.
The Navigation Acts
The Navigation Acts:
I.
Allowed only English could trade with English
colonies
A.
II.
III.
No other country could get rich on English colonies.
Restricted trade of profitable resources like
tobacco and sugar with England only
All goods had to go through English ports to
be taxed
1. THE NAVIGATION ACTS SEVERELY
RESTRICTED COLONIAL TRADE TO
THE BENEFIT OF ENGLAND
2. ENGLAND GOT RICH WHILE
COLONIAL TRADE AND PROFIT WAS
RESTRICTED
Fight Against Navigation Acts
I.
II.
III.
IV.
Colonists did not like English control over their
business
Many colonists smuggled goods in and out of
the colonies for financial gain
Others bribed officials to allow them to bypass
Navigation Acts
Colonists were unwilling to pay English taxes
and follow English laws.
Were the Navigation Acts
Enforced?
I.
II.
III.
England developed a policy of salutary
neglect toward the colonies
Trade laws were not enforced
The colonies were left alone by the
English government. (neglected)
Impact of Mercantilism
I.
II.
III.
Mercantilism led to the regulation of colonial
trade.
Though the regulations were not followed
many colonists disliked English control in their
affairs
Mercantilism and the Navigation Acts led
many colonists to resent the English crown.
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