SC Economy

1. SC Economy 8-1.5

2. I. Natural Resources • SC had lots of natural resources to help make money including: • Deer – skins were traded. • Pine forests for lumber. • Fertile land. • Mild climate. • Long growing season. • Good port and lots of waterways for shipping & transportation.

3. II. Ways SC made money • The 1st settlers traded beads, guns, trinkets for skins and furs from the Native Americans. • This ended when natives were turned into slaves. • Since 1st settlers came from Barbados, SC had trade with them. • SC sold cattle and native slaves.

4. II. Ways SC made money • Pine trees were used for naval stores. • Pitch and tar was used to make wooden ships watertight. • African slaves brought the knowledge of rice cultivation and cattle herding. • Rice became known as “Carolina Gold.”

5. II. Ways SC made money • Eliza Lucas moved to SC from Antigua. • She planted indigo, a plant used to make a valuable blue dye. • The British were offering a subsidy as an incentive to grow indigo. • She shared her success with other SC planters • Indigo became the second cash crop of SC behind rice.

6. III. Mercantilism • Mercantilism is an economic system in which the mother country (England) controls trade to export more than it imports. • If you sell more than you buy, you make money. • SC had two jobs: • Source of raw materials. • Markets for new goods.

7. III. Mercantilism • Mercantilism improves the balance of trade (exports over imports). • England offered subsidies to develop new products. • Rice and indigo were both on the enumerated list. • This means they could only be sold to England, no matter what price others were offering. • Rice was not enforced so SC had an economic advantage.