• October 9th, 2017

Econ 111a American Economic History

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Econ 111a American Economic History

Question 1: The American colonies regularly faced a trade deficit in the eighteenth century, but it faced a small balance of payments deficit. Use the following table on the Balance of Payments for the 13 Colonies from 1768–1772 to discuss why this was the case.

Question 2: Greater Productivity is one of the key reasons that income per capita grows over time. Some argue that technological change is the main cause of productivity growth. Discuss whether the productivity growth of shipping in the American colonies supports this view or whether it is a counter-example.

. Are the following charts consistent with this argument? Explain. What market imperfection did the inspections help address? Explain how.

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