3.1 England and its Colonies -Mercantilism Lesson Objective: Learn about Mercantilism, the Navigation Acts and the Glorious Revolution Essential Question: How did the relationship between England and her colonies began to change before the revolution?

1.The economic system that England used in the colonies to generate wealth for England was called _____________. 2.England tried to assert control of the colonies in 1651 through the _________ Acts. 3.The policy of “unofficially” relaxing England’s control over the colonies was called salutary _______. 4.Southern Colonies grew _____ crops like tobacco, rice, and indigo. 5.Almost 20 percent of slaves died during the “___________ passage.”

MERCANTILISM Wealth = Power More Wealth  More Power Export Revenue $ > Import Expenses Balance of trade Colonies Provide: 1.Supplies of Raw Materials 2.A Market for Finished Goods

England Colonies Raw Materials Finished Products Currency

Mercantilist Controls on Trade 1.Navigation Acts, 1651 = only English ships may trade with the colonies 2.Trade with Europe must first pass through England 3.Certain products could only be made in England 4.Currency was restricted – produced primarily in England 5.“Royal Veto” used against colonial assemblies

Tensions Emerge Many merchants ignored Navigation Acts and smuggled goods Mostly in New England Many in the “Puritan Utopia” refused to follow English law Regulating trade / religious toleration James II- Dominion of New England Consolidated all colonies of New England and New York and made them one Royal Colony Sir Edmund Andros “You have no more privileges left you, than not to be sold for slaves.” Outlawed local assemblies Unilaterally levied taxes

Glorious Revolution Parliament was fearful of James II and his potential dynasty – WHY? William and Mary sailed from Holland and took control In the colonies, Andros was arrested Mass. Charter was returned with changes King appoints the governor, more religious toleration

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” - Colonial assemblies paid the governor’s salary! British Crown Council Colonial Assemblies Royal Governor

CAUSE: Increased Competition in Europe 2 EFFECT: Mercantilism 3 EFFECT: Trade imbalance in Colonies 4 EFFECT Colonial Smuggling Royal Crackdown 5 EFFECT Salutary Neglect 6 EFFECT Colonial Self-Government Glorious Revolution Dominion of New England

Mercantilism PROS CONS

Mercantilism PROS England paid bounties on shipping industry =government subsidies England paid bounties on shipping industry =government subsidies America had a monopoly on Tobacco America had a monopoly on Tobacco America was not taxed to support the English Army or Navy America was not taxed to support the English Army or Navy Americans generally. better off than English Americans generally. better off than English CONS Stifled American economic initiative Stifled American economic initiative Southern Colonies favored over Northern Southern Colonies favored over Northern Cash Crop prices set by English Merchants Cash Crop prices set by English Merchants Gouging Gouging Colonies were dependent on England Colonies were dependent on England Not equal partners Not equal partners Currency Depreciation Currency Depreciation