Day-4 Answer Writing Challenge : Model Answer

Question: American Revolution was an economic revolt against mercantilism. Substantiate.

Answer: 

ORIGINAL  ANSWER

The claim that the American Revolution was, in part, an economic revolt against mercantilism is supported by several key factors and events that took place leading up to and during the revolution. Mercantilism was an economic system that emphasized the idea that a nation’s wealth and power were based on its ability to accumulate precious metals and maintain a favorable balance of trade. Here’s how the American Revolution can be seen as a response to mercantilism:

1. Trade Regulations and Taxes:
   • British mercantilist policies heavily regulated colonial trade. The Navigation Acts, for example, restricted colonial trade to English vessels and required certain goods to be shipped exclusively to England, stifling colonial economic growth. The Sugar Act and Stamp Act imposed direct taxes on the colonies, leading to widespread opposition.
2. Smuggling and Illicit Trade:
   • Due to the strict British trade regulations, smuggling and illicit trade became common in the American colonies. This was a way for colonists to evade the trade restrictions imposed by the British and maintain economic viability.
3. Economic Grievances:
   • The economic hardships resulting from mercantilist policies, including taxes, trade restrictions, and limitations on colonial manufacturing, contributed to the economic grievances of the colonists. These grievances played a significant role in fueling anti-British sentiments.
4. No Taxation Without Representation:
   • The famous slogan “No taxation without representation” reflected the colonists’ frustration with being taxed by the British government without having a say in how those taxes were imposed or spent. This economic aspect of representation was intertwined with political grievances.
5. Boston Tea Party:
   • The Boston Tea Party in 1773 was a direct response to the British Tea Act, which granted the British East India Company a monopoly on tea sales in the colonies and imposed a tax. Colonists, protesting both taxation and restrictions on trade, famously dumped British tea into Boston Harbor.
6. Economic Boycotts:
   • Colonists organized economic boycotts of British goods, such as the non-importation agreements, to exert economic pressure on the British government and protest mercantilist policies.
7. Economic Aspects of Independence:
   • When the Continental Congress declared independence in 1776, it highlighted economic reasons in the Declaration of Independence, such as “cutting off our Trade with all parts of the world.”
8. Creation of a New Economic System:
   • Following the American Revolution, the newly formed United States sought to create a more liberal economic system that was in stark contrast to the mercantilist policies of the British Empire. The U.S. Constitution, ratified in 1787, provided for the establishment of a free-market economy and emphasized individual economic liberties.

In summary, the American Revolution can indeed be seen as an economic revolt against mercantilism. The economic grievances of the colonists, stemming from British trade regulations, taxes, and restrictions, were integral to their desire for independence. The revolution ultimately led to the creation of a new economic system in the United States, emphasizing economic freedom and individual rights, as opposed to the mercantilist system that had previously governed colonial trade and economics.