Trying to get out of debt

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Presentation transcript:

Trying to get out of debt Students will identify the underlying economic issues in the colonies

Problem… Many merchants in the colonies were smuggling goods in and out of the colonies without paying customs duties Colonial courts were sympathetic to colonists and rarely punished Students will identify the underlying economic issues in the colonies

Solution… George Grenville became first lord of the treasury in 1763 Convinced Parliament to pass a law allowing smugglers to be tried in a new vice-admiralty court in Halifax, Nova Scotia Vice-admiralty court was run by naval officers and had no jury Students will identify the underlying economic issues in the colonies

Effect… John Hancock smuggled molasses from the French Caribbean colonies Faced trial in the vice-admiralty court His lawyer, John Adams, argued that the colonists were not afforded the same rights as British citizens Students will identify the underlying economic issues in the colonies

Problem… More revenue was needed to pay for the 10,000 British troops in the colonies Students will identify the underlying economic issues in the colonies

Solution… Grenville introduces the American Revenue Act of 1764 Better known as the Sugar Act New taxes on raw sugar, molasses, silk, wine, coffee, pimento, and indigo Goods accused of being smuggled could be taken until they could be proved to be legitimate Students will identify the underlying economic issues in the colonies

Effect… There was no Due Process in the seizure of goods Lawsuits against the government were prevented James Otis distributes pamphlets against the government arguing lack of representation “No taxation without representation” Students will identify the underlying economic issues in the colonies

Problem… Inflation is happening in the colonies Students will identify the underlying economic issues in the colonies

Solution… Currency Act of 1764 is passed Bans the use of paper money in the colonies Students will identify the underlying economic issues in the colonies

Problem… Sugar Act is not brining in enough money to cover government costs Students will identify the underlying economic issues in the colonies

Solution… Stamp Act is passed in 1765 Taxes all printed materials Including: newspapers, pamphlets, posters, wills, mortgages, deeds, licenses, diplomas, and even playing cards First direct tax on the colonists Students will identify the underlying economic issues in the colonies

Effect… People went nuts Sons of Liberty staged demonstrations Patrick Henry gave speeches 9 colonies met, calling themselves the Stamp Act Congress, and issued a Declaration of Rights and Grievances A boycott of British goods began Students will identify the underlying economic issues in the colonies

Problem… Domestic troubles in Britain and the boycott are making Britain’s finance situation worse Students will identify the underlying economic issues in the colonies

Solution… The Townshend Acts 1767 New customs duties on glass, lead, paper, paint, and tea imported to the colonies Legalized writs of assistance, which allowed customs officials to enter any location to look for evidence of smuggling Students will identify the underlying economic issues in the colonies

Effect… 1768 – Massachusetts assembly circulates letter denouncing Townshend Acts British government dissolves assembly 1769 – Virginia House of Burgess declared that only they could tax Virginia's citizens British government dissolves House Larger boycott on British goods takes place in the colonies Students will identify the underlying economic issues in the colonies

Effect… In the fall of 1768 people became hostile toward customs officers in Boston 1,000 troops were stationed to keep peace March 5, 1770 – A crowd of colonists taunted soldiers, throwing snowballs at them Soldiers fired on the crowd killing 5 and wounding 6, known as the Boston Massacre Students will identify the underlying economic issues in the colonies

Effect… As news of the massacre spread throughout the colonies, British repealed almost all the taxes in the Townshend Acts Only tax that remained was on tea Students will identify the underlying economic issues in the colonies