Showing posts with label trade. Show all posts
Showing posts with label trade. Show all posts

John Rolfe's Legacy


Who is John Rolfe? Why was he important to Jamestown? Was it because he married Pocahontas?
John Rolfe as many believed he looked

That was partly the reason, but mostly he is credited with the production of tobacco in the colonies. The tobacco he produced was much sweeter and more fragrant than the type the Native Americans grew.  This tobacco proved to be so popular it challenged the Spanish monopoly on tobacco.
Tobacco - the cash crop that saved Jamestown

Rolfe was born in Norfolk, England in 1585. His parents were John and Dorothea.  His exact birthdate is unknown, but he was baptized on May 6, 1585.

John Rolfe arrived in Jamestown from the ship Sea Venture.  The Sea Venture was actually the flagship for a nine ship convoy headed for the colonies.  It stopped in the Caribbean where John Rolfe learned more about tobacco.  Some people credit Rolfe with the planting of tobacco in the colonies, but records show the Native Americans already had tobacco plants.  Unfortunately, the English did not like this type of tobacco,  but the kind planted by the Spaniards.

His ship was wrecked just off the coast of Bermuda.  While there, his wife gave birth to a daughter.  Both his wife and daughter would die on the Caribbean island.  When Rolfe arrived in Jamestown, he planted some of the seeds he got in Bermuda, teaching the Native Americans how to plant the different brand of tobacco. 
Pocahontas statue

Around the time Rolfe was in Jamestown, the colony had been almost completely wiped out during the Starving Time.  Pocahontas was captured and held prisoner.  She learned to speak English and even converted to Christianity.  It was not long after this that she met John Rolfe.  She took on the Christian name of Rebecca.  Rolfe fell in love with Pocahontas, now called Rebecca, and asked permission to marry her.  In the spring of 1614, they married.  Their marriage marked a period of peace between the colonists and the Native Americans.
Pocahontas - Lady Rebecca Rolfe

Not long afterwards, Rebecca gave John a son named Thomas.  The young family returned to England.  While in England, Rolfe and his new wife, Rebecca met King James I and Sir Walter Raleign.  Rebecca was a novelty to the English and was invited to many parties and gatherings.  Unfortunately, Rebecca contracted smallpox (a disease she had no immunity against) and died only 7 months later.  Rolfe was so devastated that he left his son in the care of family, in hopes of attaining a proper British education. 
inside Jamestown settlement

Rolfe then returned to Virginia.  He became involved in politics.  He served as a secretary and recorder, then later served on the council.  He married Jane Pierce.  He continued to work on refining the growing of tobacco in the young colony.  By the year 1617, nearly 20,000 pounds of tobacco were being exported to England every year.  By 1618, the amount had doubled to nearly 40,000 pounds. 
monument at Jamestown

John Rolfe died in 1622.  Many felt he perished when his home was attacked during Indian raids, one of which destroyed his home. His remains were never found.  His son with Pocahontas (Rebecca), Thomas came to reside in Virginia.  Rolfe’s family line extends into the Bollings, Randolphs, and Wilson families of Virginia. His son, Thomas, returned to Virginia after his father died and settled on land given to him by his uncle who was the Powhatan chief.
grave marker - but no body was ever found

John Rolfe’s two main legacies are turning tobacco into a cash crop for the dying Jamestown settlement, thus securing its survival and his son from his marriage to Pocahontas – Thomas Rolfe, who returned to Virginia and started a family there.
The James River from the Jamestown settlement

Rules of Exchange


In every country there is a mode of economy that works. 

What does economy mean? 
The word economy has its origins in France and Greece from the 16th century and means household management.  The definition which applies to our purpose is “the management of resources of a community, country, etc., especially with a view to its production”. 



The economy of the American colonies was important to Britain and one of the main reasons the colonies finally decided to break away.


The colonies had become prosperous.  Merchants were making money. Trade was improving and, while Britain had a stranglehold on whom the colonies could deal with, those who held the power in the colonies wanted more autonomy. They wanted to make their own decisions. They wanted a chance to purchase goods from other countries without fear of retribution from the Mother Country – in this case – Britain, who demanded singular control over all trade.


The types of currency included – the pence, the shilling (12 pence to a shilling), crown (5 shillings to one crown), and pounds (20 shillings to a pound).


 After a certain time, it was illegal to bring British currency to the colonies. Coinage from other counties, such as Spain, were allowed.  The Spanish milled dollar, otherwise known as pieces of eight, was acceptable not because it was not English currency, but because of its composition. The metal from certain coins was the real value.  The coins were weighed in grams. The owner would evaluate the value of the pieces in order to make a fair exchange.  



Even back in the 1700s credit and debit was allowed. Amounts would be written in ledgers, books.  All transactions were kept in a “wastebook”.  Once the book was filled it was sent to the necessary (to be used as we use toilet paper today). A day book was used to write all information about transactions down. They were written according to dates.  

The information in the day book could be used as evidence in court cases if the proprietor needed to stake a claim for monies not paid. It was extremely important for accurate records to be kept and to be written in pen. Pencil faded and then could not be read in court. 


A ledger was a leather bound book that listed all clients in alphabetical order.  All transactions with each client was recorded in the ledger.  This was also written in ink. Back in the 1700s, if there was a fire, the book was saved first, and then the family.  After all, if you lost record of what was owed to you, there was no proof of the transactions.




An example of how an exchange works:
Mr. Smith has 5 hogsheads of tobacco. He takes them to the tobacco warehouse to be inspected. The information is written in the ledger and Mr. Smith is given a “tobacco note” which includes the weight, the property, and the mark of the tobacco. Now, Mr. Smith will take this note to Mr. Greenhow’s business who will offer him credit or ready money for the amount.  For 5 hogsheads of tobacco, Mr. Smith will get credit for 150 pounds of Virginia money. Mr. Smith’s tobacco now belongs to Mr. Greenhow who will put his name on it. Once the tobacco is sent to Britain to sell, his profit will be converted to British pounds sterling and a credit will be put on his books of his factors.  Those assets will purchase goods to bring back to Williamsburg. The advance, difference between the price it will cost to the price you sell it at, will show your profit.  For example, if a book costs 1 pound in Britain, you will sell it for 2 pounds in Williamsburg.  This is a 100% advance, or profit. 



How can Mr. Greenhow increase his wealth? He listens to his community and finds opportunities to benefit himself and his community all at the same time.  Here is an example: Mr. Jones is near ruin.  He has too much debt and does not know where to go. He goes to Mr. Greenhow for 100 pounds of exchange. Keep in mind that each colony has its own rate of exchange.  Now, Mr. Greenhow agrees to the exchange. He will agree to repay Mr. Jones’ debt.  He offers a bill of exchange for 150 pounds.  Mr. Jones agrees to repay the 150 pounds by a certain date (sounds like our form of loan).  Now these funds are exchanged to Mr. Jones’ factor.  Unfortunately, Mr. Jones does not repay his debt so he is taken to court. Then he is put in gaol (our form of jail). Fortunately for Mr. Jones, he has assets (free and clear) that he must now give to Mr. Greenhow to settle his debts. Exchanges are done with a multitude of merchants, moving purchases and amounts from one to another. The books are balanced this way. (Ah, so this is where the saying “balance the books” comes from).

How much did something cost in the colonies? The following are just a few items where records show how much they cost.  There are many more available through primary sources.
Bacon – 6 pence/pound
Butter – 7.5 pence/pound
Chicken – 6 pence for each one
Eggs – 7.5 pence per dozen
Flour – 2 pence per pound


Brown sugar – 3 pence per pound
Apples – 2 shillings & 6 pence per bushel
Chocolate – 2 shillings & 6 pence per pound
Tea – 12 shillings & 10 pence per pound


Pork – 1 pound, 5 shillings per 100 pounds
Shoe buckles – 11.25 pence per pair
Spectacles – 1 shilling per pair



Necklace – 1 shilling each
Breeches – 6 shillings & 8 pence per pair
Kid gloves – 3 shillings per pair
Man’s hat – 18 shillings


Riding hat with feather – 15 shillings & 2 pence each
Hooped petticoat – 10 shillings each
Pumps, fine stitched – 10 shillings
Women’s damask shoes – 17 shillings & 6 pence pair
Woman’s cloak – 1 pound, 4 shillings


Silk brocade suit – 15 pounds
Wig with queue – 2 pounds, 3 shillings
Scissors – 7.5 pence
Axe – 6 shillings, 6 pence
Gulliver’s Travels book – 5 shillings
Ainsworth’s Dictionary – 2 pounds, 8 shillings


Wax candles – 1 shilling, 3 pence per pound
Smoking chair – 1 pound, 15 shillings
Pistols – 3 pounds, 15 shillings, & 3 pence
Saddle – 1 pound, 16 shillings
Round trip to England – 22 pounds


Foreign coins were accepted as exchange and would be weighed on a scale by the proprietor to assess their true worth. These pieces of coins could be melted down or exchanged again elsewhere for services.  Many have heard the saying “pieces of eight”.  This referred to how a coin was broken into pieces. Usually into 8 pieces. These pieces could be weighed in grams and valued.


Trade and the Economy


Trade - or what you export and import effects your economy in a multitude of ways.  Today, it can  make a poor country rich, or a rich country poor if banns are placed on them.  The same is true of America in the 1600s and 1700s.  At first, they follow what the Mother Country - England tells them to do, but after a while, they realize this form of trade may not be in their best interest.  It takes a while for them to start making choices on their own, but once they do - it changes the world economy in SO many ways.


Trade with the colonies made everyone wealthy.  Because of the Navigation Laws which regulated who could trade with the colonies and who the colonies could trade with, it ensured prosperity for all involved.  Imagine you had goods to trade.  You knew who to trade with and you also knew no one else could trade with this country.  Your product has a set market.  The same is true with goods coming into your colony.  Because you are member of the British Empire, you have the backing of one of the most powerful countries in the world.  They not only are purchasing your goods, but they are sending steady stream of goods to you.  Sounds like the perfect deal, doesn’t it?  Except for one thing – England does not have a monopoly on goods.  There are other countries which have things you want.  How are you going to get them if you are only allowed to trade with England?  You can do without coffee or wine OR you could break the law.

Let’s discuss the trade: There were many legs on the journey.  Some were quite simple – just from one location to the next.  Others stopped in one location and then after a trade, traveled to another location.

We start in Virginia:
Tobacco

Step 1: You want to sell tobacco to England.  Tobacco is in huge demand.  Eversince John Rolfe first arrived in Jamestown and showed the people how to plant it, tobacco has been one of the most important sources of income for the young colonies. Settlers who learned to plant it became very wealthy.
tea

textiles

Step 2: If you live in England, you will trade textiles and tea for the tobacco. Textiles are yarns and fabrics used to make clothing and household products like blankets, sheets, and tablecloths.  Fancy fabrics colonists could not make on their own were in high demand – such as silks and satins.
Step 3: Virginia wants slaves.  But you don’t trade with West Africa.  England, on the other hand does, so you must wait for their ships that trade guns for slaves to reach the colonies.

Coffee

Step 3: (a secret step) You want coffee from Amsterdam.  You send tobacco to them and trade it for coffee.
Step 4: (another secret step) You want French wine so you sell tobacco to the French for their wine. 
Keep in mind – if you want those last two steps, you are breaking the Navigation Laws! Your ship will be confiscated and you will be thrown into prison.  Is it worth the risk? You will make a fortune if you are successful because of the danger.
Wine

What if you lived in New England?
Step 1: You have plenty of fish (cod) and lumber which the British want.  You send fish to England and get tea and textiles in exchange.
Step 2: You trade fish to the West Indies (Jamaica) for sugar
raw sugar

You live in the West Indies:
Step 1: You have sugar. You travel to New England and trade sugar for fish.
Step 2: You trade sugar for slaves in West Africa.
rifles/guns

If you live in Africa:
Step 1: Your biggest commodity is slavery.  Both the West Indies and Virginia want them. So, you trade guns from England for the slaves they will sell to Virginia and you trade slaves directly for sugar from the West Indies.
Step 2: You trade slaves to Virginia for tobacco or whatever else you want.  Money is always good and they can give you that.

What about England?!
Finally, if you live in England – You have all the power to stop trade or make trade. You control the seas so if there is any illegal trading going on you can put a stop to it.  After all, the law is on your side, right? But because of supply and demand, you also know where you can make money and how much.  Every so often you look the other way instead of stopping those illegal shipments.
Step 1: You have guns to trade for slaves.  Selling slaves to Virginia and the West Indies is lucrative.  From there you trade for sugar and tobacco – two things in demand in England.  It’s a win-win situation for you.

Step 2: you want lumber to build more ships and keep Britain as the most powerful country in the world with a navy that beats all the others.  You pick up lumber and fish from New England and return home.
Step 3: you have plenty of tea! And you want to sell that tea to the colonists.  So you sell it to Virginia in the south and New England in the north.  Two major areas and in exchange you get things you want – lumber, fish, tobacco, rum.  Not a bad exchange.
Step 4: If you want – you can stop any of those ships that are secretly going to Amsterdam and France.  Why should the colonists drink their coffee and wine when you can buy from those countries, raise the price, and sell it for a profit to the colonies?  The problem is – those ship captains have gotten good at slipping past you.

Triangular Trade – the trade between the colonies, the West Indies and Africa, and then England.  What made this trade important is how it was controlled by England.  Or at least they thought they controlled it.  Think about it – after a while, colonists didn’t want to keep just trading with England.  Why should they when they could get similar goods or ones they wanted desperately but at a lower price from the country of origin?  If you were give a choice of buying a pair of shoes directly from the manufacturer for $20, why would you pay $30 for the same pair in a store?  It doesn’t make sense.  The same happened to the colonists.  England started placing a tax on goods received and soon, the prices from other countries was far cheaper.  So again, I ask – why would you keep paying more when you could get the same thing for free of next to nothing?
scale to weigh money

Then when England started taxing items such as tea – the colonists were angry.  Why should they have to pay a tax on tea and other goods?  The tax was used as a way to cover the debt George made while fighting a war.  The colonists were not involved in the war so why pay the bill for the war? Makes far too much sense.  Hundreds of miles away from the Mother Country, American decided enough was enough.  No more taxes.  And, if necessary, they would always cut off times and do everything on their own.  It would take work, but it could be done.  The Americans just needed to commit to the idea of not going under the knife.

If you want an excellent lesson plan – go to http://teachers.history.org and sign up for free.  There are many different types of lesson plans, but this one is listed under economy.  Then click on Global Economy.