The Economy under the French Regime

I Definitions
 A) Mother Country: The country which has
“conquered” another (ex: France, Britain, Spain)
 B) Colony: The area which the mother country has
“conquered” (ex: New France, 13 Colonies)
 C) Mercantilism: An economic policy designed to
enrich the mother country
 How was this to be done?
 Get precious metals (ex: GOLD) and other
natural resources from the colony
 Have the colony buy manufactured goods (ex: HATS)
from the mother country
 D) Triangular Trade: The French policy of
mercantilism led to a trade network between the
mother country and its two colonies in the “new world”
What did Triangular Trade look like?
MANUFACTURED GOODS: CLOTH, METALS, LIQUOR
RESOURCES:
•TIMBER
• FISH
•WHEAT
•BARRELS
RESOURCES:
•RUM
•MOLASSES
•TOBACCO
II Resource Exploitation
A) Fish and Whales
DEMAND:

1. Why was fish in demand in Europe?
Catholics ate fish each Friday

2. Why was whale oil in demand in Europe?
Used as fuel for lamps
3. IMPACT ON THE LAND AND PEOPLE


Fishers lived in temporary settlements
Fishers and whalers came to the East Coast of
North America on a seasonal basis to catch
cod and kill whales
II Resource Exploitation
B) Furs
 1. Why was fur in demand in Europe?
Fur hats were fashionable in Europe

Fur becomes the main export of
the colony by the mid-18th century!
How did the fur trade operate?
Amerindians hunted animals and prepared the pelts
Coureurs des bois traded with the Amerindians
Voyageurs transported furs to trading posts
Furs then transported back to Europe to be
made into finished product
Impact of the fur trade on the land
and people
 On Amerindian groups:
 Alliances between the French and Huron
 Use of European goods by Amerindians
Impact of the fur trade on the land
and people
 On society and territory:
 Slow settlement (only men involved in fur trade being
brought over by Company of 100 Associates)
 Establishment of trading posts (ex: Quebec City and
Montreal)
 Territorial expansion
North America ~1750
Impact of the fur trade on the land
and people
 On relations between New France and the English
colonies:
 Commercial (business) rivalry
 Wars
III Agriculture
 Key terms:
 Agriculture = farming
 Surplus = extra
A) Organization
 As the population of New France slowly increases, the
main economic activity of most Canadiens revolves
around agriculture
 Once the needs of their families were met, farmers were
able to sell their agricultural surplus. The main
markets where this surplus was sent:
 Cities in the colony
 Local market
(Montréal, Québec City, Trois-Rivières)  France
Effect of agriculture on the
territory:
 Increase in the area of cultivated land
 Establishment of public markets
 Construction of mills (for grain, wheat, etc.)
IV Craft Activities
A) Organization:
 Gradually new economic activities develop in the colony,
such as:
 Carpentry
 Wig and Hat making
 Masonry
 Working with metal objects
B) Effect of craft activities on the territory:
 Growth of cities
 Increase in the number of workshops & boutiques
V Attempts at Economic Diversification
Economic Diversification = trying to get more
variety in the economic activities of the colony
A) Measures taken by the state:

After Royal Government in 1663, the first Intendant
Jean Talon sees the colony is depending too much on
the fur trade. Encourages the development of:


Crops (flax, hemp, hops)
Livestock (cows, pigs, chickens, etc)
← Flax
used as an oil
Hops ↑
used in brewing
 Subsequent Intendants (Bégon and Hocquart) further
diversify the economy:
 Iron ore mining in the Mauricie
 Establishment of the naval shipyard in Québec City
B) Obstacles to economic diversification
 Although some progress was made, diversification was
not very successful:
 Economy was still mostly  Mercantilism still
based on the fur trade
favoured France
 Lack of specialized labour  Lack of capital ($)