Mercantilism & Navigation Acts

Summary

In this online lesson, Mr. Hoven discusses the economic philosophy of mercantilism and the Navigation Acts following the French and Indian War. Britain, burdened with war debt, adopted mercantilism to bolster its economy by exploiting colonies for raw materials and selling manufactured goods back to them, thus aiming to export more than it imports. The Navigation Acts enforced this system, mandating that all colonial trade be conducted on British ships and only with Britain. These policies led to increased taxes and a lack of representation for the colonies, sowing the seeds for resentment and eventually, the Revolutionary War.

Takeaways

• 📚 The lesson discusses mercantilism and the Navigation Acts in the context of British colonial policy post-French and Indian War.
• 💵 Mercantilism was an economic philosophy adopted by Britain to manage debt accumulated from the French and Indian War.
• 🚢 The Navigation Acts were established to enforce mercantilist policies, restricting colonial trade to British ships and markets.
• 🌐 Colonies were seen as sources of raw materials and markets for British manufactured goods under mercantilism.
• 🏛️ The British monarchy and government profited from mercantilism, while colonies bore the burden of taxes and limited representation.
• 🛃 The Navigation Acts dictated that colonies could only import goods from Britain and had to use British ships for trade.
• 💼 The Acts also mandated that colonies produce goods that Britain needed for its manufacturing industries.
• 💸 Colonies faced high costs due to taxes imposed on British manufactured goods, which were essential for their own use.
• 🤔 The imbalance of mercantilist policies and Navigation Acts led to growing resentment among the colonies, contributing to the tensions leading to the Revolutionary War.
• 🏴󠁧󠁢󠁥󠁮󠁧󠁿 The lesson highlights the historical significance of these economic and trade policies in shaping the relationship between Britain and its American colonies.

Q & A

What was the main reason for the British to implement mercantilism after the French and Indian War?

The British had to pay off the significant debt accumulated from the French and Indian War, and they developed mercantilism as a way to generate wealth.

What is the difference between import and export as described in the script?

Import refers to bringing goods into a country, while export is the process of sending goods from one country to another market.

How does mercantilism benefit the mother country according to the script?

Mercantilism benefits the mother country by making them wealthy through exporting more finished goods than they import in raw materials, thus creating a trade surplus.

What were the colonies' roles under the mercantilism system?

Colonies served as sources of raw materials and natural resources for the mother country, and as markets for the manufactured goods produced by the mother country.

What were the Navigation Acts, and how did they enforce mercantilism?

The Navigation Acts were laws established by the British to enforce mercantilism by ensuring that colonies could only use British ships for trade and could only import goods from Britain.

Why did the Navigation Acts cause resentment among the colonies?

The Navigation Acts caused resentment because they imposed heavy taxes on goods, restricted trade options, and denied the colonies representation in the government.

What was the King's role in the mercantilism system as depicted in the script?

The King was expected to become very wealthy due to the profits generated from the mercantilism system, which increased the wealth of the monarchy and Britain.

How did the mercantilism and Navigation Acts impact the colonies financially?

The colonies were financially burdened as they had to send their raw materials to Britain for little to no profit and then pay high taxes and inflated prices for the finished goods sent back.

What were the long-term consequences of the mercantilism and Navigation Acts for the colonies?

The long-term consequences included increased debt, a sense of injustice due to lack of representation, and growing resentment towards Britain, which eventually contributed to the Revolutionary War.

What was the British strategy for manufacturing goods under mercantilism?

Britain's strategy was to import raw materials from the colonies, manufacture goods domestically, and then export these finished products to other countries to maximize profits.

How did the mercantilism system and Navigation Acts affect the relationship between Britain and its colonies?

The mercantilism system and Navigation Acts strained the relationship by imposing economic controls and taxation without representation, leading to growing discontent and a threat to the colonies' rights.

Outlines

00:00

📚 Introduction to Mercantilism and Navigation Acts

Mr. Hoven introduces the concepts of mercantilism and the Navigation Acts in the context of the British Empire's need to pay off debts from the French and Indian War. Mercantilism is described as an economic philosophy where colonies exist for the profit of the mother country. The instructor explains the difference between imports and exports, with imports being goods brought into a country and exports being goods sent out to different markets. The British aimed to become wealthy by exporting more than they imported, utilizing the colonies as sources of raw materials and markets for manufactured goods. The Navigation Acts were established to enforce this system, requiring that all trade be conducted using British ships and that colonies could only import from Britain, leading to significant taxation and resentment among the colonies.

05:00

💸 The Impact of Mercantilism on Colonies

This section delves into the negative consequences of mercantilism and the Navigation Acts on the colonies. The British control over taxation and lack of representation for the colonies led to financial strain and growing discontent. The colonies were forced to send their raw materials to Britain, where they were processed and taxed heavily before being sent back as manufactured goods. This system not only placed a financial burden on the colonies but also threatened their rights and autonomy. The resentment caused by these policies contributed to tensions that would eventually lead to the Revolutionary War, as the colonies sought to break free from Britain's oppressive control and gain independence.

Keywords

💡Mercantilism

Mercantilism is an economic philosophy that was prevalent in the 16th to 18th centuries, where colonies existed for the profit of the mother country. In the context of the video, it refers to the British policy of using their colonies as sources of raw materials and markets for manufactured goods. The British aimed to become wealthy by exporting more than they imported, which is exemplified by the script's mention of colonies sending raw materials to Britain and receiving finished products in return, all while being taxed heavily.

💡Navigation Acts

The Navigation Acts were a series of laws established by the British to enforce mercantilism. They dictated that colonies could only ship their goods using British ships and could only import goods from Britain. This policy is highlighted in the script as a means to protect British trade and ensure that the colonies were dependent on Britain for both imports and exports, thereby controlling their economic activities and increasing British revenue.

💡Import

Import refers to the act of bringing goods into the port of a country. In the video, it is explained as anything that is brought into a country, such as food, vegetables, or materials used to make things. The script uses this term to contrast with export, emphasizing the economic dynamics where colonies were expected to import finished goods from Britain.

💡Export

Export is the act of sending goods from one country to another market. The script explains that under mercantilism, colonies would export raw materials to the mother country, which would then process and manufacture these into finished goods. The video uses the example of the 13 colonies exporting raw materials to Britain, which would then export finished products back, often at a high cost to the colonies.

💡French and Indian War

The French and Indian War is mentioned as a historical event that led to significant debt for Britain. The war's outcome resulted in Britain taking over parts of North America, which then became part of their colonial empire. The video connects this war to the need for Britain to implement mercantilist policies to recoup their financial losses, setting the stage for the economic policies discussed.

💡Colonies

Colonies, as used in the video, refer to the territories under the control of a mother country, in this case, Britain. The script describes how colonies were viewed as sources of raw materials and markets for British manufactured goods. The colonies' role in the mercantilist system is central to understanding the economic and political tensions that arose, as they were subject to heavy taxation and had no representation in the British government.

💡Raw Materials

Raw materials are natural resources that are used as inputs for the production of goods. The video explains that under mercantilism, colonies were expected to provide raw materials such as cotton, iron, and tobacco to Britain. These materials were then processed into manufactured goods, which were exported back to the colonies, illustrating the exploitative nature of the mercantilist system.

💡Manufactured Goods

Manufactured goods are products that have been processed or made from raw materials. The script discusses how Britain would take the raw materials from its colonies, manufacture them into goods, and then export these finished products back to the colonies. This process was a key aspect of the mercantilist system, as it allowed Britain to profit from the labor and resources of its colonies.

💡Taxation

Taxation in the context of the video refers to the practice of levying taxes on goods, particularly those that were imported into the colonies by Britain. The script mentions that the Navigation Acts enforced that all goods, including manufactured ones, were taxed by Britain, which led to high costs for the colonies and contributed to their resentment and eventual push for independence.

💡Representation

Representation in the video refers to the political concept of having a voice or a vote in the government that makes decisions affecting one's interests. The script points out that while the colonies were heavily taxed by Britain, they had no representation in the British government. This lack of representation was a significant grievance that contributed to the growing unrest leading up to the Revolutionary War.

💡Revolutionary War

The Revolutionary War is hinted at in the video as a consequence of the tensions caused by mercantilism and the Navigation Acts. The script suggests that the heavy taxation and lack of representation led to a growing desire for independence among the colonies, culminating in the American Revolutionary War, which was a fight for freedom from British rule.

Highlights

The British had to pay off debts from the French and Indian War, leading to the development of mercantilism.

Import is defined as bringing goods into a country, while export is sending goods out to a different market.

Mercantilism is an economic philosophy where colonies exist for the profit of the mother country.

Colonies were sources of raw materials and natural resources for the mother country under mercantilism.

The mother country aimed to become wealthy by exporting more than it imported.

Under mercantilism, raw materials were sent to the mother country, which then sent back finished products.

Manufactured goods could only come from Great Britain and were heavily taxed.

The King and the British royalty expected to become rich from mercantilism.

The Navigation Acts were established to enforce mercantilism and protect British trade.

Colonies could only use British ships for shipping their goods, restricting trade with other nations.

Colonies were required to import only from Great Britain, further taxing their economy.

Colonies had to produce goods that the British needed for their manufacturing industry.

The Navigation Acts led to resentment among the colonies due to the control and taxation without representation.

Colonies were burdened with high taxes on manufactured goods sent from Great Britain.

The effects of mercantilism and the Navigation Acts contributed to the lead-up of the Revolutionary War.

The British gained significant power and wealth at the expense of the colonies' rights and economy.

Transcripts

Hello and welcome to this Online lesson

My name is Mr hoven and Today We are

going to take a brief look at merism and

the Navigation acts so Last Time We Were

Together We talked about the french and

Indian War and the fact that during the

french and Indian War the British spre a

lot of money in order to defeat the

french and their native allies and then

take over different parts of North

America So now the war is over and the

British have to pay off all of this debt

from the french and Indian War Let's go

ahead and get

started so it's really important before

We get into the mercantilism and

Navigation acts is to understand the

difference between import and export to

import something is to bring goods into

the port of a country so it's anything

That's brought into a country any goods

so any like food vegetables materials to

make things That's brought into a

country That's known as An import and

export is a good That is sent out of a

country to a different market so

exported is something that Like grown or

dug up or mined here in like the United

States and to be exported to another

country so import export import to bring

goods into the port of a country export

to send goods from a country to a

different market Moving

on so mercantilism it's An economic

philosophy Again great Britain needed to

pay off all the debts from the french

and Indian War so they develop this

concept of mercantilism and mercantilism

is a philosophy Where colonies exist for

the profit of The mother country Yes if

you can see in the picture here you've

got all the colonies that have Gold and

Silver They have food stuff They have

Raw materials And The mother country is

sitting there at the table Waiting to be

served colonies are a source of Raw

materials and natural resources For The

mother

country colonies are markets for

manufactured products coming from the

mother country so under mercantilism

When goods are sent or Raw materials are

dug up there sent to the mother country

mother country sends back the finished

product The mother country seeks to to

become wealthy by exporting more than it

imports so it imports the Raw materials

and it exports the finished goods to

other countries to make money so That's

kind of How mercantilism works but Let's

look at it a little bit deeper so the

mercantilism system you have this image

on your homework you have the 13

colonies Over Here and on this side

youve got great Britain and down here is

the king We get to him in a little bit

so Mer

got ra materi like cton Iron et things

that are up things those are the

materials sent over to great

Britain and in turn great Britain

processes those products creates

manufactured products taxes them and

sends them back to the colonies in order

to make

money to amer had

cometi tax place and manufactures goods

as well as Tea and spices from the East

indies so under this Mer system

manufactured goods only could come from

great Britain they were also taxed so

theist are paying a huge much more money

to pay off Britain's de And The King Oh

sitting in the Corner would was thinking

that Oh Look at this mercantilism going

to make me Bloody rich so Merc makes The

King makes the royalty Bloody rich it

makes Britain Bloody rich but here's the

issue You're taxing colonies and You're

not allowing them to have any

representation in the government so

things are going to start getting a

little

messy so in order to enforce this idea

of mercantilism the British established

these Navigation acts and the Navigation

acts enforce were enforced to protect

British Trade colonies could only ship

their goods using British ships so no

American goods could be shipped with

American good you couldn't go to Spain

you couldn't go to the netherlands you

couldn't go anywhere else you couldn't

go to France you had to use just a

British ship To Move around your goods

also colonies can only import goods like

I said before from great Britain so the

only time colonies can get anything new

into their country or finished products

has to come from great Britain

also all those finished goods they're

taxed by great Britain so they cost a

ton of money they keep taxing keep that

in mind It's really important great

Britain takes those manufactured goods

that they take from the Raw materials in

the new world they tax the heck out of

them they send them back and make them

pay a huge inflated Price finally

colonies must produce goods that the

British need they need to be growing and

mining What the British need to make

those manufactur goods send them around

the world make money at the expense of

the colonies hopefully that Point is

getting Through The colonies are kind of

getting the Raw end of the deal

here and the effects of mercantilism and

Navigation x cist resented this control

on these laws Again they had to send all

of their hard earn money Excuse me all

their hard farmed hard mined Raw

materials to great Britain

they get almost No Money with that

almost none whatsoever

n then those manufactur goods are sent

back with a

tax to the new world those people have

to pay the tax Plus the Price Which is

going to put them in deb but Britain

controls them taxation representation

cause of problems leading into the

revolutionary war their rights had been

threatened and Britain Gain much power

and wealth Remember The King thinking

going to

become so that about wraps things up for

today and we'll see you next

time