Unformatted text preview:

Chapter 2 1 How and why was the English attempt at colonization in North America different from other countries and other colonies Primary reason for success permanent colonization and settlement compared to Latin America colonizers returned to homeland If permanent colonization was the goal the major obstacle was to move people to the colonies Labor shortage would prove to be a persistent problem strong incentive to increase labor productivity and freedom of labor market o US today loose labor laws o Indentured servants almost always left 1 indentured servant job Reliance on cash crops huge emphasis on agriculture o 1 No gold or silver o 2 No natives to trade with 2 Which were the early colonies in North America First Englishmen to take serious ventures Humphrey Gilbert Walter Raleigh o Gilbert died after two attempts o Raleigh s first attempt in Roanoke failed His second attempt with John White failed as the lost colony in 1590 after returning to the colony no people were there mystery 1607 Two new colonies o 1 Sagadahoc Maine o 2 Jamestown Virginia 1st permanent English settlement Colonies were financial and human disasters 3 What were the early reforms Major reform was property rights o Landholdings changed from common rights to private rights Jamestown property rights changes o 1 Early settlers were given planters shares communal o 2 Later settlers were given garden plots of their own private o 3 Management became more local more local control 4 Why would someone immigrate to the New World What were the economic arrangements that allowed for immigration Came to New World to own land led to elite social status Joint stock companies today s mutual fund As more investments did not return colony became crown colony King would fund investments because not enough money in the colonies Indenture contract allowed a person to pay for their passage by selling their labor to someone for a specified future period of time 5 Why were farms usually larger in the Southern colonies Comparative advantage fertile new land o Grew tobacco that was cheaper to produce and better quality than tobacco grown elsewhere o Economy relied on cash crops that were in great demand in the populous industrializing areas of Europe 6 What were the major economic incentives that caused North America to develop differently than other colonies Permanent settlements early emphasis on farming Labor shortage indentured servants Chapter 7 1 Why were the Articles of Confederation inadequate Unifying rules no real substance or power to federal government By 1780 all 13 colonies had their own constitutions Did not give federal government authority to directly levy taxes o States taxed in proportion to the value of their land some states taxed more others less o Does not say that states were forbidden to tax imports and exports across the state border caused tension between states o Destroy common market between 13 states Weak federal government had limited ability to negotiate Power to tax left to the states Consequences o Free riding among states o Printed money to finance war inflation Each state could print their own money along with using foreign currency 2 What are the important economic sections of the Constitution Article I Section 8 The Congress shall have Power to lay and collect Taxes Duties Imposts and Excises to pay Debts and provide for the Common Defense and the general Welfare of the United States but all Duties Imposts and Excises shall be uniform throughout the United States To borrow money on the credit of the United States To regulate Commerce with foreign Nations and among several States and with the Indian tribes To coin Money regulate the Value thereof and oth foreign Coin and fix the Standard of Weights and Measures To provide for the Punishment of counterfeiting the Securities and current Coin of the United States o Article I Section 9 No Capitation or other direct Tax shall be laid No Preference shall be given by any Regulation of Commerce or Revenue to the Ports of one State over those of another nor shall Vessels bound to or from one State be obliged to enter clear or pay Duties in another Article I Section 10 o 1 No State shall enter into any Treaty Alliance or Confederation grant letters of Marque and Reprisal coin money emit Bills of Credit make any Thing but gold and silver coin a Tender in Payment of Debts pass any Bill of Attainder ex post facto Law or Law impairing the Obligation of Contracts or grant any Title of Nobility 2 No State shall without the consent of Congress lay any Impost or Duties on Imports or Exports except what may be absolutely necessary for executing its inspection Laws and the net Produce of all Duties and Imposts laid by any State on Imports or Exports shall be for the Use of the Treasury of the United States and all such Laws shall be subject to the Revision and Control of the Congress o The right of the people to be secure in their persons houses papers and effects against unreasonable searches and seizures shall not be violated and no Warrants shall issue but upon probable cause supported by Oath or affirmation and particularly describing the place to be searched and the persons or things to be seized Bill of Rights Amendment IV Bill of Rights Amendment X o State s powers to set local and state laws such as licensing regulation of business taxes zoning laws civil conduct and to use police powers to enforce them Constitutional Amendment XVI o The Congress shall have power to lay and collect taxes on incomes from whatever source derived without apportionment among the several States and without regard to any consensus or enumeration 3 How did the Constitution set the framework for growth and development money Power of tax delegated to federal government empowered to pay a portion of past debts including those belonging to the states led to a sound capital market Federal government had the sole right to mint coins and regulate coinage o Banned states of this right and banned state legislatures from issuing paper o Allowed states to charter private banks who could issue paper money States forbidden to enact tariffs toll free movement of goods o Interstate clause national common market reduced potential of local monopolies and increased the gain from regional specialization and trade permitted the extension of federal authority to many areas of interstate economic activity Authorized federal government to maintain an army and navy establish post offices and roads


View Full Document

FSU ECO 3622 - Study Guide

Download Study Guide
Our administrator received your request to download this document. We will send you the file to your email shortly.
Loading Unlocking...
Login

Join to view Study Guide and access 3M+ class-specific study document.

or
We will never post anything without your permission.
Don't have an account?
Sign Up

Join to view Study Guide 2 2 and access 3M+ class-specific study document.

or

By creating an account you agree to our Privacy Policy and Terms Of Use

Already a member?