1. European Competition
A. Mercantilism
1. Dominant economic theory
2. Country’s strength = amount of gold & silver

2. B. Favorable trade balance
1. Export more than you import
2. Sell more than you buy

3. C. Create a surplus of trade goods
D. Colonization
1.Colonies provide raw materials

4. 2. Market place for the Mother Country
E. Complete economic circle

7. Motives for Spanish Colonization
A. Secure claims to new territories
B. Secure gold & silver
Agricultural products Indigo & Sugar

8. D. Convert Indians to Christianity
E. Raw materials

9. French Colonization
A. Fish for Cod
B. Fur trade
C. Convert Indians to Christianity
D. Raw material

11. Dutch Colonization
A. Fur trade
B. Establish ports for trade (New Amsterdam)
C. Raw Materials

13. English Colonization
A. Competition with Spain
B. Spread Anglican Church (Church of England)
C. Raw materials
D. Gold & Silver