HISTORY 7A Lecture Notes - Chinese Whispers, Puritans, Outlandish
24 Oct 2013
School
Department
Course
Professor
Document Summary
Starting from 1768, british troops were stationed in boston, trying to force them to obey parliamentary laws. Knew that there were riots breaking out within england because of the high cider taxes, and they also knew that the colonies were under-taxed: the revenue act of 1764 (sugar act) Lowering the tax a merchant"s game. Before, england got almost nothing from molasses because the merchants were able to smuggle and evade taxation. In order to raise more money, they lowered tax as opposed to raising it. The tax before was high enough so that it was a prohibitive tax stopped people buying sugar from other places and would only buy english sugar. However, they didn"t take into account smuggling. By lowering the tax and revising the customs service, the incentive to smuggle was much lower (smuggling comes with its own price)
