America had been in and out of major wars since the 1740s, but seeking its independence by going to war with Great Britain created special economic problems for the colonies. Because Great Britain was the main holder of colonial debts, war with Britain would relieve some debt problems for the colonies; however, the colonies themselves lacked gold...
Saturday, November 4, 2017
1772—Credit Crisis
By early 1770, the colonies, led by new manufacturing and trade, were coming out of the depression of the 1760s. Great Britain and Europe, however, were facing their own financial crisis as the new boom in trade created a credit bubble. Scottish and British banks had begun expanding credit starting in 1770. Once again, this was accompanied by over...
1764–1765—Sugar Act, Currency Act, and Stamp Act Boycotts
By the early 1760s, all the British colonies in America were experiencing a postwar recession. The depression was affecting the full spectrum of industries and colonists. Most historians think that, by 1764, it had become America’s first depression. Great Britain too was struggling with massive debts from the French and Indian War and believed the...
1762—Colonial Recession
The recession of 1762 was the first truly American recession affecting all the colonies. It was a classic type of recession, created by war and inflation, and one that would be repeated throughout the centuries. This economic crisis was caused by the clash of two empires over the assets of the New World.
By the middle of the 18th century, Great...
1750—Iron Act
Iron had determined the world’s economic and military powers for centuries. In biblical times the Philistines forbade the Israelites from making or working iron, and other countries followed in trying to limit nations from producing or obtaining this strategic metal. In the 18th century, iron had increased in importance, as it was the metal of cannon...