Chapter 2

Founding the Colonies

Mediterranean
Late 1300s is center for long distance trade

Europe recovering
from the Black Death
1370s
to the
early
1600s
Northern Europe
Late experiences commercial growth
1400s to
early
1500s

Spain captures Granada

149
2

Columbus sails to America

Spain starts conquering the New World

1500
s

Chapter 3
Colonial Economic Activities

Navigation Act of 1651 dealt its Dutch-dominated

industry a crippling blow, but the shipbuilding
industry in New York again grew rapidly after 1720.

Around 1695, the second of the great southern staples was introduced

In 1697, 51 manufacturing handicrafts

Before 1700, whalers operated near the New England coast

By 1700, the New England fleet exceeded 2,000 exclusive of fishing boats

By the early 1700s, rice was an established crop in the area

around Charleston

In 1732, plans for the last British colony to be settled in North

America were being made

In

1732, King George II

In 1751, by
midcentury,
slavery was legalized, and slaves began
pouring into Georgia, which was
converted to a Crown colony. By 1770, 45
percent of the population was black.
Because there was more work to do.

In 1770, a fair-size gristmill would grind 100 bushels of grain per day

Chapter 4
The Economic Relations of the Colonies
1642-1649 The English Civil War .
1651 1660 1663 Navigation Acts
3.
1700 Pre-colony money

1751 The Currency Act

1764 The Currency Act
1769-1772 Exports imports
1776 Population growth

CHAPTER 5

ECONOMIC PROGRESS AND WEALTH

Because of high levels of migration and rapid population growth, total output grew at high rates. Standard of living
grew at high rates by contemporary standards.
Impact of the Horse in Native American

162
0dit

Tobacco in the Upper South

163

Tobacco Prices

167

Tobacco Demands

170

Grain and Livestock

177

Transportation and Distribution

160

1370s to
the early
1600s

Late
1400s to
early
1500s

1492

Europe recovering from the Black Death

England went from 3.7 million in 1348 to 2.2 million in 1370s, France lost almost 40% of its population, most
places lost between 30 & 50%. There were many outbreaks from the 1300s on ward of the bubonic plague. During
the Elizabethan Era, the Black Death or bubonic plague hit England especially hard in 1563, 1593, 1603 and1608
about 30-50% of Europes population died in 2 years from the 1603 attack!

Northern Europe experiences commercial growth

Having recovered from the plague, Europe started to experience economic growth as well as population growth.
European nations started to compete for commercial, political and military growth. Expansion through Europe and
other nations was a key component to this growth.

Spain captures Granada

In 1492, Christian Spain captured
Granada from the Moors and ended 7
centuries of Muslim rule in the area.
Columbus sails to America
Christopher Columbus, under the
employ of Spain, sailed across the
Atlantic Ocean believing there were
no more than 2,500 miles between the
Canary Islands and Japan. Instead of

finding Japan, Columbus landed in the Bahamas on the island of San Salvador.

1500s

Spain starts conquering the New World

In 1521 Hernando Cortez and his conquistadors
conquered Mexico and, shortly thereafter, silver
and gold flowed into Spain from America in
increasing quantities. No other country had as yet
established a single permanent settlement in the
New World and although Spain was a colonizer,
Spanish attempts to settle in the Americas werent
extremely successful. Spains interests were
treasures from the mines in America, especially
silver and to spread Christianity to the conquered.

Chapter 3
Colonial Economic Activities

Navigation Act of 1651 dealt its Dutchdominated industry a crippling blow, but the
shipbuilding industry in New York again grew
rapidly after 1720.

Around 1695, the second of the great southern

staples was introduced
Early Virginia colonists had experimented
with rice production, and South Carolina had
tried to cultivate the staple in the first two

years after settlement, but success awaited the

introduction of new varieties of the grain.

In 1697, 51 manufacturing handicrafts

In addition to the building trades, were
represented in Philadelphia. It shows great
variety of skills.

Before 1700, whalers operated near the New England

coast
But their take was small. During the eighteenth century,
however, whalers ranged far and wide, and by 1775, more
than 300 vessels of all sizes sailed from the Massachusetts
ports, of which Nantucket was the great whaling center.

By 1700, the New England fleet exceeded 2,000 exclusive of fishing boats
Its one of the reasons England wanted to settle in New word because it has materi

By the early 1700s, rice was an established crop in the area around Charleston
Although problems of irrigation remained.

In 1732, plans for the last British colony to be settled in North America were being made
Its the beginning of America.

In 1732, King George II

Obligingly King George II granted Dr. Bray and his associates the land between the Savannah and Altamaha Rivers;
the original tract included considerably less territory than that occupied by the modern state of Georgia.

In 1751, by midcentury, slavery was legalized, and slaves began pouring into Georgia, which was hwork to do.

In 1770, a fair-size gristmill would grind 100 bushels of grain per day
The largest mills, with several pairs of stones, might convert 75,000 bushels of wheat into flour annually. Its a large
number showing how good their development is.

Chapter 4
The Economic Relations of the Colonies
The English Civil War

1642-1649

The war started in the 1642 and ended in1649. This war was a series of armed conflicts and political disagreements
between Parliamentarians and Royalists in England over principally, the manner of its government. This took the
attention off the colonies and made parliament focus on the main land.
Navigation ActsDue to the fact that England was in a civil war they forgot about the colonies to solve their
problems on the home front. With England focusing on their civil war it allowed the Dutch to open trading
routes to the colonies. Once the civil war was over, in 1651 Parliament passed the first part of the Navigation
acts which prohibiting the shipping of American products in Dutch
vessels.

1651 1660 1663

Navigation acts were reinforced and redefined in the 1660 and 1663 by Parliament. This made the requirements
for commercial shipping very strict due to the increased regulations. These acts were modified from time to time by
mutilpul of policy changes, and can be classified into three categories.
1.

All trade of the colonies was to be carried in vessels that were English built and owned, commanded by an English
captain, and manned by a crew of whom three quarters were English.

2.

All foreign merchants were excluded from dealing directly in the commerce of the English colonies. They could
engage in colonial trade only through England and merchants resident there.

3.

Certain commodities produced in the colonies could be exported only to England.

Pre-colony moneyThe colonies lacked a money system which would later lead to the Currency Acts. Prior to the
Currency Act the colonist would use commodities as money, this was a problem because Commodity spoilage rates
were high, Controlling the quality of payments made with commodities, it was an Inconvenience, High storage costs
of commodities and Portability. In order to prevent these problems the colonist adopted a make shift money system.
The most popular of this make shift money system was the Spanish Reales. This was because the Spanish heled the
worlds market in gold and was worth the most of what they had.

1700

They used gold and silver coins Spanish Reales Pieces of Eight - coinage in circulation.

They also used a Pine Tree Shilling - 1st coin minted in British North America

Along with those coins they used Promissory Notes, Bills of Exchange, Bills of Credit issued by colonial
government and bills of exchange and bills of credit typically had a market value that was less than their face value.

They also use the wampum as money until the late 18th century. This was also a good currency with the Indians.

.
1751

1764

1769-1772

The Currency Act This was passed in response to English merchants concerns about the fluctuating value of
colonial money. The purpose was to limit Bills of Credit to 2 years life in attempt to limit problem of over-issuance.
It also made bills to only used for payment of debts and taxes. These bills where on limited to the New England
colonies.
The Currency Act Parliament passed this bill to extend the provisions of the 1751 which gave parliament
exclusive power over the American money supply and gradually eliminated Bills of Credits. This was highly
supported by the merchants because it gave the colonies a money system.
Exports imports The American colonies had a great ability to produce certain products that England couldnt
produce and since the colonies couldn't refined raw products into a finished product they export about
80% of the raw product to England. This chart shows the top exports from the colonies to England. Chart
from the book.
Since the colonies couldnt turn there raw product into manufactured products they had to import 80% most
of what the export. Since Navigation Acts required the colonies to only ship with England ship and us their
routes this map shows the trade between the Colonies and England.

1776

Population growth Due to the fact that the colonies would where big into exporting and importing the started to
expand, due to appealing attractions that the colonies showed. The costal cities were the ones to grow the fastest,
these cities play a key parts in the colonies success and growing into an independent nation.
Philadelphia (Pennsylvania) = 40,000 Middle
New York (New York) = 25,000 Upper Middle
Boston (Massachusetts) = 16,000 North
Charleston (South Carolina) = 12,000 Southern
Newport (Rhode Island) = 11,000
Northern

CHAPTER 5
ECONOMIC PROGRESS AND WEALTH
Because of high levels of migration and rapid population growth, total output grew at high rates. Standard of living
grew at high rates by contemporary standards.

Impact of the Horse in Native American

Introduced by the Spanish, imposed dramatic changes on the
lives of American Indian. Before the horse they were living
of the year in communal earthen lodges. A good days journey
about 5 miles for a group of hunters. That 5 miles turn into 20
miles. They were now much more mobile and able to chase
Therefore, they used smaller and more independent hunting
groups and focused less on agriculture.

daily
much
was
food.

1620

Tobacco in the Upper South Information on tobacco prices in the Chesapeake Bay area as shown on the graph
suggests that most of the increases in the productivity of tobacco occurred early in the colonial period. Between 20d.
and 30d. sterling per pound in the 1620.

1630

Tobacco Prices Tobacco prices fell to less that 3d. per pound. Second phase, lasted four decades, followed that
precipitous declined; the average price decrease to about a penny per pound.

1670

1700

1770

Tobacco Demands Tobacco output for workers doubled. High demands from Europe was growing, and the cost
of the labor and land required to produce tobacco did not decrease over the years.

Grain and Livestock Grain and Livestock in the Middle

Colonies gains in productivity as well as tobacco, appear to
have been modest, indeed low in the eighteen century.
Pennsylvania farms was in declined; farm land size from 500
acres to 140 acres at the end of the century.

in the colonies that in England primarily due to high transportation costs of shipping finished goods
from
Transportation and Distribution In the early 1700s English good sold for as much as 80140% more England
Ocean ship cost fell between 1670 and 1770; and the key for economic expansion was
smaller crew, lower armaments, low insurance cost and shorter time in ports is the
source of productivity gains.

CHAPTER 6
Three Crises and Revolt

1699

Duplication production law- made it illegal to export colonial wool, wool yarn and finished wool products to any
foreign country or to other colonies.
Molasses act- imposed a tax per gallon on imports of molasses

1763

British colonies.
Conclusion of seven years war- English became victorious over
French in the defense of the American colonies.

1765

from non-

the

Sugar act- this act cut halved the previous tax on molasses, but
further enforced, was believed to generate larger revenue.
Stamp act- imposed a direct tax to American colonies, and required that printed
materials must be produced on stamped paper.

1766

1770

Stamp act congress met- congress passed resolutions of fealty, and organized a
boycott of English goods; also established nonimportation associations in the
colonies.

Declaratory act- repealed the stamp act, and affirmed the right of parliament
legislate in all matter concerning the Americans

to

Quartering act- required colonists to provide barracks, some provisions, and

of the costs of military transport for British troops within the colonies.

part

Town shed acts- replaced the stamp act,

that the colonists would accept this tax
because it wasnt a direct tax.

1773

idea

Boston massacre- American colonists surrounded British soldiers and began to taunt them; British soldiers killed
five male civilians and injured six others.
Tea Act- allowed the East India Company to ship tea directly to the colonies; this also undercut the smugglers of
Dutch tea.

1773

Boston tea party- American colonists threw a whole shipment of tea into the harbor in protest of the tea act.

Intolerable acts- closed the port of Boston to all shipping until the colonists paid the East India company for its tea;
permitted British officials charged with crimes committed in an American colony while enforcing British laws to be
tried in another colony or in Britain; revised the charter of Massachusetts to make certain cherished rights dependent
on the arbitrary decision of the Crown-appointed governor; provided for the quartering of troops in the city of
Boston.

1774

Continental Congress provided list of grievances- 1) taxes had been imposed upon the colonies by the British
parliament. 2) Parliament had claimed the right to legislate for the colonies 3) commissioners was set up in the
colonies to collect taxes 4) admiralty court jurisdictions had been extended into the interior. 5) Judges tenures had
been put at the pleasure of the crown. 6) A standing harm had been imposed upon the colonies. 7) Persons could be
transported out of the colonies for trials. 8) The port of Boston had been closed. 9) Martial law had been imposed
upon Boston. 10) The Quebec Act had confiscated the colonists western lands.