Lesson 7: The Colonial Economy

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1 Unit 4: Colonial Life Lesson 7: The Colonial Economy Today you re going to explore the economics of the colonies. 1

2 5-U2.1.1: Describe significant developments in the southern colonies, including development of one-crop economies. 5-U2.3.4.: Describe the development of the emerging labor force in the colonies, including cash crop farming, slavery, indentured servants. 5-U2.1.2: Describe significant developments in the New England colonies, such as agricultural and nonagricultural. 5-U2.1.3: Describe significant developments in the Middle Colonies, like the breadbasket economy. 2

3 3

4 How did the natural resources of the three colonial regions differ? 4

5 5

6 Raw Materials The Colonies Britain Manufactured Goods Navigation Acts 6

7 Every society has RESOURCES. NATURAL RESOURCES HUMAN RESOURCES CAPITAL RESOURCES which are used to produce GOODS and SERVICES 7

8 Economic Activity Natural Resources Human Resources Capital Resources Fishing in New England Wheat Farming in the Middle Colonies Tobacco Growing on a Plantation in Virginia 8

9 Economic Activity Natural Resources Human Resources Capital Resources Fishing in New England fish water bait fisherman shipbuilders barrel makers boats nets barrels Wheat Farming in the Middle Colonies good soil water seeds farmers millers blacksmith plows wagons sacks farm tools Tobacco Growing on a Plantation in Virginia good soil water seeds lots of land warm climate enslaved people plantation owners indentured servants drying barns wagons farm tools tobacco cutters 9

10 LIMITED RESOURCES UNLIMITED WANTS SCARCITY SPECIALIZATION 10

11 Examples of Specialization Fishing in New England Wheat Farming in the Middle Colonies Tobacco Growing on a Plantation in Virginia 11

12 LIMITED RESOURCES UNLIMITED WANTS SCARCITY SPECIALIZATION TRADE 12

13 Mystery Source Just Imported from LONDON And to be sold by JOHN GREENHOW, at his Store near the Church in Williamsburg for ready money only 13

14 white calico cloth linens blue cotton handkerchiefs, blue handkerchiefs, red blankets of all sorts and sizes wool cloaks ready made shirts fine men s stockings, blue fashionable men s and boy s hats low priced hats fine night caps feathers for ladies hats blue feathers latest fashion aprons, plain steel scissors laces of all Kinds shirt and waist coat buttons a fancy assortment of paper boxes baskets smoothing irons fine needles and pins needle cases silver thimbles sugar, refined cinnamon, cloves, and nutmegs brown sugar candy white sugar candy fine chocolate licorice horn combs all sorts of wedding fans candlesticks brass desk furniture candles toys of various sorts whistles for children a variety of children's books various other books and stationary slates and pencils paper of all sorts and sizes playing cards pencils sealing wax brooms most sorts of nails files of all sorts and sizes chisels wire pewter plates and dishes mugs iron kettles polishing powders crates of earthenware large, noble and rich Chinese bowls coffee oats coarse salt in bags sponges glass bottles bottle corks soap tools of almost every occupation garden tools window glass of all sizes looking glasses of all sizes 14

15 New England Colonies Colonial Exports New Hampshire Cattle, lumber, fish, and fur Rhode Island Cattle, corn, lumber, and ships Massachusetts Fish, whale products, fur, timber products, metals and metal products, raw wool, and ships Connecticut Flour, dried meat, fish, rum 15

16 Middle Colonies Colonial Exports New York Fur, timber, foodstuff, cattle, horses, beer, fine flour, flax, and iron bars New Jersey Cattle, flax, Indian com, wheat, and flour Pennsylvania Foodstuff, wheat, corn, apples, dairy cattle, glass, wine, beer, rope, and bricks Delaware Furs, tobacco, meat, grain, flour, bread, barrel staves, lumber, horses, cloth, and iron 16

17 Southern Colonies Colonial Exports Maryland Flax, corn, tobacco, fruit, vegetables, fish, iron, lumber, clay, bricks, beaver, and ships Virginia Wheat, flax, tobacco, corn, and iron North Carolina Tobacco, wheat, corn, forest products (tar, pitch, lumber), barrel staves, furs, metals, and for a time even exotic birds South Carolina Rice, indigo, beef, silkworms, cotton, lumber, some tobacco, grapes, wine, olives, raisins, capers, and currents Georgia Rice, clay, pottery, cotton, indigo, tobacco, fruit, barrel staves, and pork 17

18 raw materials such as trees The Colonies England manufactured goods such as furniture and barrels 18

19 19

20 Mercantilism The colonies were supposed to supply raw materials for England and also provide a market for English goods. Like many European nations at the time, England believed that its colonies should benefit the home country. England hoped to grow wealthy by exporting manufactured goods to the colonies. This system actively discouraged the growth of American manufacturing. 20

21 21

22 Year Act Possible Impact on the Colonies 1699 The Wool Act Declared that wool produced in the colonies could only be exported to Britain 22

23 Year Act Possible Impact on the Colonies 1699 The Wool Act Declared that wool produced in the colonies could only be exported to Britain The Colonies could not make money by exporting wool to countries other than Britain. 23

24 Year Act Possible Impact on the Colonies 1699 The Wool Act Declared that wool produced in the colonies could only be exported to Britain The Colonies could not make money by exporting wool to countries other than Britain The Hat Act Declared that hats made in the colonies could not be exported.

25 Year Act Possible Impact on the Colonies 1699 The Wool Act Declared that wool produced in the colonies could only be exported to Britain The Colonies could not make money by exporting wool to countries other than Britain The Hat Act Declared that hats made in the colonies could not be exported. The Colonies could not make money by selling hats to other countries.

26 Year Act Possible Impact on the Colonies 1699 The Wool Act Declared that wool produced in the colonies could only be exported to Britain The Colonies could not make money by exporting wool to countries other than Britain The Hat Act Declared that hats made in the colonies could not be exported. The Colonies could not make money by selling hats to other countries The Molasses Act Put a high tax on all molasses, rum and sugar which the colonies imported from countries other than Britain

27 Year Act Possible Impact on the Colonies 1699 The Wool Act Declared that wool produced in the colonies could only be exported to Britain The Colonies could not make money by exporting wool to countries other than Britain The Hat Act Declared that hats made in the colonies could not be exported. The Colonies could not make money by selling hats to other countries The Molasses Act Put a high tax on all molasses, rum and sugar which the colonies imported from countries other than Britain It would make it more expensive to buy molasses, rum and sugar from any place except Britain. This would be a problem because the Colonies traded areas of the West Indies for these products.

28 Year Act Possible Impact on the Colonies 1699 The Wool Act Declared that wool produced in the colonies could only be exported to Britain The Colonies could not make money by exporting wool to countries other than Britain The Hat Act Declared that hats made in the colonies could not be exported. The Colonies could not make money by selling hats to other countries The Molasses Act Put a high tax on all molasses, rum and sugar which the colonies imported from countries other than Britain It would make it more expensive to buy molasses, rum and sugar from any place except Britain. This would be a problem because the Colonies traded areas of the West Indies for these products The Iron Act Declared that no new furnaces which produced steel for tools could be built in the colonies. It also banned the manufacture of hardware in the colonies.

29 Year Act Possible Impact on the Colonies 1699 The Wool Act Declared that wool produced in the colonies could only be exported to Britain The Colonies could not make money by exporting wool to countries other than Britain The Hat Act Declared that hats made in the colonies could not be exported. The Colonies could not make money by selling hats to other countries The Molasses Act Put a high tax on all molasses, rum and sugar which the colonies imported from countries other than Britain It would make it more expensive to buy molasses, rum and sugar from any place except Britain. This would be a problem because the Colonies traded areas of the West Indies for these products The Iron Act Declared that no new furnaces which produced steel for tools could be built in the colonies. It also banned the manufacture of hardware in the colonies. This would seriously limit the ability of the Colonies to make manufactured goods.

30 Why? When? Who? What? Navigation Acts The Navigation Acts were a series of laws that regulated trade between England and its colonies. Under these laws, only colonial or English ships could carry goods to and from the colonies. The laws also listed certain products like tobacco and cotton that colonial merchants could ship only to England. The Navigation Acts were passed by Parliament. They affected a lot of people in the colonies, especially merchants. Parliament began to pass these acts in the 1650s. This continued into the 1700s. England passed these laws to ensure that only England benefited from colonial trade, not any other countries.

31 Colonial Balance of Trade Exports Imports Unfavorable Balance of Trade

32

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