SC Economy 8-1.5.

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Presentation transcript:

SC Economy 8-1.5

I. Natural Resources SC had lots of natural resources to help make money including: Deer – skins were traded. Pine forests for lumber. Fertile land. Mild climate. Long growing season. Good port and lots of waterways for shipping & transportation.

II. Ways SC made money The 1st settlers traded beads, guns, trinkets for skins and furs from the Native Americans. This ended when natives were turned into slaves. Since 1st settlers came from Barbados, SC had trade with them. SC sold cattle and native slaves.

II. Ways SC made money Pine trees were used for naval stores. Pitch and tar was used to make wooden ships watertight. African slaves brought the knowledge of rice cultivation and cattle herding. Rice became known as “Carolina Gold.”

II. Ways SC made money Eliza Lucas moved to SC from Antigua. She planted indigo, a plant used to make a valuable blue dye. The British were offering a subsidy as an incentive to grow indigo. She shared her success with other SC planters Indigo became the second cash crop of SC behind rice.

III. Mercantilism Mercantilism is an economic system in which the mother country (England) controls trade to export more than it imports. If you sell more than you buy, you make money. SC had two jobs: Source of raw materials. Markets for new goods.

III. Mercantilism Mercantilism improves the balance of trade (exports over imports). England offered subsidies to develop new products. Rice and indigo were both on the enumerated list. This means they could only be sold to England, no matter what price others were offering. Rice was not enforced so SC had an economic advantage.