· Mercantilism
o Trade generates wealth
o Export more finished goods than you import
· British Parliament
o Britain trying to get past civil war, Protectorate, & Glorious Revolution
o People dissatisfied with new government
o Parliament slow, corrupt, inefficient, expensive, but worked
o Anne was last Stuart queen; Parliament had to find non-Catholic to replace her
§ George I of Hanover became king
· Spoke German thus dependent on Parliament
· Dependent on sir Robert Walpole, who became first official Prime Minister
o Parliament dominated by House of Lords, wealthy landowners
o House of Commons dominated by gentry, the substantial property owners
o Parliament set laws to favor wealthy property owners
o People questioned whether revolution had really been glorious
o Non-jurers (dissenters)
§ Scots-source of rebellion for parliament
§ If James II returned to throne, he would repudiate the debt and undo the glorious revolution
§ The Fifteen-1715
· People rallied around James III returning to throne
§ The Forty-Five-1745
· Uprising crushed
· Half-hearted, violent revolt
· Even though people hated Parliament, it still worked
· Religious tensions eased as it became clear that uprising was over political affiliations
§ South Sea Bubble
· Knowing it was essentially a Ponzi scheme, Parliament let it continue
· When it burst in 1720, did not repudiate debt, but Parliament decided to pay the people back & control the debt
o Managed debt to some degree
§ Bubble Act-ensured joint stock companies had to have royal charters
§ Put people off from joint-stock finance companies
o Keep taxes down & attempt to avoid war
o Flexible system
