Mercantilism

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Mercantilism Salutary Neglect
Boston Harbor by Paul Revere
WHAT ECONOMIC AND POLITICAL POLICIES WERE THE
COLONISTS ACCUSTOMED TO?
Colonial Virginia Legislature (House of Burgesses)
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Mercantilism

• Mercantilism economic theory (1500s-1700s) a
  countrys power is determined by the amount of
  precious metals it accumulates.
• Gold can be gained through
• 1.) mining
• 2.) trade (exporting more than is imported)

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Mercantilism and Colonies

• A colony is used for
• 1.) Preventing the import of raw materials
  (lumber, whale oil, tobacco, etc.) from foreign
  countries.
• 2.) A market for British goods.

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Navigation Acts

• Navigation Acts mercantilist restrictions on
  colonial trade
• 1.) Colonies can only trade with Britain
• 2.) Restricted colonial manufacturing

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Colonial Self-Government

• By 1700s, colonies ruled by
• 1.) Appointed royal governor
• 2.) Elected colonial legislature (more powerful)

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Salutary Neglect

• Salutary Neglect Britains unofficial policy of
  ignoring the colonies by
• 1.) Not enforcing the Navigation Acts
• 2.) Permitting colonial legislatures to control
  local affairs
• Salutary Neglect seemed to benefit both Britain
  and the colonies.

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Salutary Neglect Abandoned

• 1763 Large debts from Fr. Ind. War
• Eng. enforces Navigation laws
• Colonists outraged