Massachusetts Bay Colony - Economy and Trade

Economy and Trade

In the early years of the colony, it was highly dependent on the import of staples from England, and was supported by the investments of a number of wealthy immigrants. Certain businesses, notably shipbuilding, fisheries, and the fur and lumber trades, quickly got started. As early as 1632 ships built in the colony began trading, either with other colonies, England, or foreign ports in Europe. By 1660 the colony's merchant fleet was estimated at 200 ships, and by the end of the century its shipyards were estimated to turn out several hundred ships annually. In the early years the fleet carried principally fish, to destinations from the West Indies to Europe. It was common for a merchant to ship dried fish to Portugal or Spain, pick up wine and oil for transport to England, and then carry finished goods from England or elsewhere back to the colony. Following the introduction of the Navigation Acts in 1651, this and other patterns of trade became illegal, turning colonial merchants who sought to continue these trading patterns into smugglers. Colonial authorities, many of whom either were merchants or were politically dependent on them, opposed attempts by the crown to require them to enforce the collection of duties pursuant to those acts.

The colony's economy depended on the success of its trade, in part because its land was not as suitable for agriculture as that of other colonies like Virginia, where large plantations could be established. The fishery was important enough that those involved in it were exempted from taxation and military service. Larger communities supported craftsmen skilled in providing many of the necessities of 18th century life. Some income-producing activities, like the carding, spinning, and weaving of wool and other fibers, took place in the home. Goods were transported to local markets over roads that were sometimes little more than widened Indian trails. Towns were required to maintain their roads, on penalty of fines, and the colony in 1639 required special town commissions to lay out roads in a more sensible manner. Bridges were fairly uncommon, since they were expensive to maintain, and fines were imposed on their owners for the loss of life or goods if they failed. Consequently, most river crossings were made by ferry. Notable exceptions were a bridge across the Mystic River, constructed in 1638, and another over the Saugus River, whose upkeep costs were subsidized by the colony.

The colonial government attempted to regulate the economy in a number of ways. On several occasions it passed laws regulating wages and prices of economically important goods and services, but most of these initiatives did not last very long. Two trades, shoemaking and coopering (barrel-making), were authorized to form guilds, making it possible to set price, quality and expertise levels for their work. The colony set standards governing the use of weights and measures. For example, mill operators were required to weigh grain before and after milling, to ensure the customer received back what he delivered (less the miller's percentage).

The Puritan dislike of ostentation led the colony to also regulate expenditures on what it perceived as luxury items. Items of personal adornment, like lace and costly silk outerwear in particular, were frowned upon. Attempts to ban these items failed, and the colony resorted to laws restricting their display to those who could demonstrate £200 in assets.