Presentation on theme: "Economics in History Throughout history, people have always had an economic system The main purpose of an economic system is to answer 3 questions What."— Presentation transcript:
Throughout history, people have always had an economic system The main purpose of an economic system is to answer 3 questions What goods and services do people need and want? How can we make these goods and services? How will we distribute them?
The term commodities refers to the goods and services that are distributed in an economic system
These commodities are either shared, traded or bought and sold depending on the type of economy
An industrial economy is an economy which depends on manufacturing technologies to make the goods that they sell
The 1 st industrial economies started during the industrial revolution in Europe in the late 1700's
Now most regions of the world use this type of economy
3 main resources Europeans wanted were Fish Furs Lumber
Fish was a very valuable food source resource as cheap protein and for religious reasons since many days were decreed meatless days by the church
Many European countries were involved in the migratory fishery off the coast of Newfoundland but the English were the most successful.
Migratory fishery Countries would fish during the spring and summer, preserve it, and return home to Europe during the fall
Domestic Fishery Began in early 1700's when settlers from Ireland and England began to permanently settle in Newfoundland.
Fur Trade Was originally developed by the French who settled the interior of North America
The beaver pelts were of high quality and were made into hats for sale in Europe
Fur traders set up a trade system with the First Nations people and traded guns, blankets, and other goods for their pelts.
Lumber Lumber was of great value to the Europeans because most of the great forests of Europe had been already cut down.
Great Britain needed lumber for housing and for shipbuilding to provide ships for the navy to defend itself and the British Empire
Production Until the 1700's, even though most Europeans had metal tools to make their work easier, it was still done mostly by hand.
Some goods were made by specialized workers such as a blacksmith or a baker or shoemaker.
People could buy these goods in cities but most people had to make their own things
Distribution In Europe, the economic system was based on the fact that if you owned land or a resource, then you had the right to make as much profit as you wanted from it.
The most common way to distribute goods and services was through markets
Early settlers brought goods with them, made them themselves, or traded for them. There were few markets in America.
The Impact of Contact The term contact refers to the time when Europeans first came to North America.
Early Contact in the Maritimes Early Europeans desperately needed the help of the First Nations people to survive the winters in the New World.
Likewise, the First Nations people were curious about the newcomers
Both sides saw an economic advantage by working together. The Europeans wanted furs and the First Nations wanted trade goods to make their way of life easier.
Treaties A treaty is an agreement between two or more nations
The British wanted treaties with the First Nations to avoid conflicts and to prevent them from allying with the French
Likewise, the First Nations felt that Britain would protect their rights to land and their natural resources
Between 1717 and 1779, the British and First Nations signed a number of treaties called the “Covenant Chain of Treaties”
Each treaty was different but they all shared a common theme : First Nations agreed to act peacefully towards the British and the British agreed to respect First Nations rights
Effects of Fur Trade First Nations traditional way of life changed when they became trappers and they became more dependent on European trade goods to meet their needs
As a result, the First Nations economies were almost completely destroyed because of contact
First Nations began to meet some of their basic needs by trading furs for European goods
After a while, the furs ran out and the European traders moved on
First Nations could no longer meet their basic needs by trading
In the meantime, settlers had arrived and taken over the land which made it harder for First Nations people to hunt and fish in traditional ways
Eventually, First Nations found it very hard to meet their needs because they could not follow their traditional economies and were not able to take part in the new economy that was developing Beothuk Handout
Beothuk - Handout The Beothuk were the First Nations people of Newfoundland.
They fished along the coastline for parts of the year and then moved inland to hunt the caribou and other animals during the winter.
Because the English participated in a migratory style of fishery, the Beothuk had no need to make contact with them
At first, the Beothuk kept their distance from the European fishermen who visited the island to fish. The Beothuks would collect articles left behind by the fishermen that were useful to them.
As settlers began arriving and settling the coastlines of Newfoundland, the Beothuks found it difficult to get to their food sources. This forced them to move inland.
When Europeans moved inland to trap furs, conflicts arose between them and the Beothuks. Many Beothuks were killed and they lost the ability to meet their basic needs.
Eventually, the Beothuk died out and became extinct as a people in 1829 when the last known Beothuk, Shanawdithit, died of tuberculosis.