Colonial Government: English Economic Principles Define the following: Import- Export- Mercantilism- Navigation Acts-

Colonial Government: English Economic Principles Basic Principles of Mercantilism Mercantilism is an economic theory whose goal is building a state's wealth and power by increasing exports and accumulating precious metals such as gold and silver in return. To achieve this goal, a country must export, or sell goods to other countries, more than it imports, or buys goods from other countries. Raw materials such as tobacco, lumber, and rice were commonly exported from the colonies to England. Manufactured goods such as tools, furniture, and clothing were often imported from England to the colonies.

Colonial Government: English Economic Principles Why were the colonies important to the success of mercantilism? Were the colonies the only market for England's manufactured goods? Why or why not? How do imports and exports impact the economy?

Colonial Government: English Economic Principles The Navigation Acts required any goods bought by the colonies from other countries to go to England first. Why was this part of the acts? Why do you think the government of England insisted on this? How did the Navigation Acts restricted the trade of goods by the colonists? How did the colonies and Britain both profit from the Navigation Acts? 

Colonial Government: English Economic Principles Why did the colonists begin to resist the trade laws? How was the colonists' relationship with their government in Britain changing?