First you get the money, Then you get the power Mo' Money- Mo' Power First you get the money, Then you get the power

Let’s talk about about power. What is POWER? Name 3 people that you think have POWER? Why do you consider these people powerful? When the song is over… it’s discussion time. Have an answer. 

Directions Set up your journal for Cornell Notes. Title: Mercantilism Cut out the first three paragraphs of your expert reading. Paste them into your journal in the details section of your Cornell Notes. Cut and paste the Triangle Trade and Middle Passage sections in your journal on the NEXT page. BELOW: Cut and paste the Transatlantic trade foldable in your journal Find a partner and use the Reciprocal Teaching strategy to read the expert reading and write your questions. #1 Reads the paragraph #2 creates the question SWITCH/ALTERNATE Class discussion reviewing mercantilism. Read and discuss the last two paragraphs of your expert reading.

Definition of Mercantilism An economic theory that a nation’s power is determined by its wealth. A belief that the colonies exist to benefit the parent country More money = more power!

How does mercantilism work? The colony sells raw materials to the parent country and the parent country sells manufactured goods to the colony.

Mercantilism is exclusive. The colony must trade only with the parent country. If the colony can get goods only from another country, the goods must be shipped to the parent country and then sent to the colony.

The government is involved. Under the system of mercantilism, the government regulates the economy for the good of the empire. The good of the individual is not considered.

Mercantilism and England Developed in order to provide specie (gold and silver) for the government so they could afford to support a navy that would protect merchant ships. The colonies provided cheap raw materials and were a market for British products. In the 17th century, England passed a series of laws to regulate trade between the mother country and her colonies. These laws were known as the Navigation Acts.

What’s in it for me? Mercantilism brought gold and silver to Britain and set up a monopoly on trade with the colonies. The colonies did not get any benefit from this, so they eventually set up their own production and trade with other countries. (This was illegal!) For a long time, England ignored the colonies and their economic practices. (salutary neglect)

The Downfall of Mercantilism When England began to stockpile gold and silver, the result was inflation which resulted in higher prices. Other nations with less gold and silver had lower prices. When England forced the colonies to buy her higher priced goods, the colonies became discontent. This resulted in smuggling and rebellion!

Downfall of Mercantilism (con’t) As more craftsmen came to the colonies, Americans depended less and less on trade with England and began to feel independent.

Closing thoughts…. Why is it good to have competition in business? Think about what it would be like if there were only 1 sneaker company… and it isn’t Nike which means NO JORDANS! How does mercantilism stomp out competition? Who benefits the most from mercantilism? Why? What do you think the colonists are going to do with England if England continues this mercantilist dominance?

Follow each of the steps in the Frayer Model to diagram the word mercantilism for better understanding.

What’s the connection? Colonial merchants also wanted to make a profit and developed their own trade routes to avoid the restrictions of the Navigation Acts. Of the many trade routes developed during this time, the most famous was the triangular trade route.

Iron neck chain

ATLANTIC SLAVE TRADE 1502 – 1870 The Middle Passage

Leg Irons.

Neck Ring

Olaudah Equiano

Slave Trade Triangle :Slaves captured or bought in Africa Shipped to Caribbean to work on Sugar plantations Slaves traded for sugar Sugar traded in Europe for manufactured goods European manufactured goods traded in Africa for slaves. Slave Triangle