Trade/ treaty

Question 1

What Is Mercantilism?

Answer 1

Exporting more than importing
- restricts imports levy high duties on imported goods
- Protects goods made and sold in country

Question 2

What is Free trade?

Answer 2

Goods can be bought and sold with little gov intervention

Question 3

What did Pitt aim to achieve in Ireland?

Answer 3

• reduce duties levied on goods manufactured in Britain
• Ireland able to import and export other foreign goods to Britain without increased duties

Question 4

What happened when Pitt introduced his plans?

Answer 4

introduced H.O.C Feb 1785
Opposed by William Eden claimed Ireland had cheap labour and low taxes so Irish products would be cheaper = more people buy Irish goods destroy British industries

Question 5

What happened to Pitts Bill?

Answer 5

Opposition became very intense so by May Pitt forced to make many changes
Bill now unrecognisable = Irish Gov reject the Bill
Free trade between Ireland and England FAILED

Question 6

What and when was the Eden Treaty

Answer 6

Treaty with France
Signed 26th Sept 1786 at Versailles

Question 7

Benefits of Eden Treaty

Answer 7

Easier to trade British manufactured goods (pottery, cottons)
Lower duty on French Brandy - 4Million gallons was smuggled into Britain every year

Question 8

Who opposed Eden Treaty and why?

Answer 8

Fox opposed, believed it was dangerous to sign a treaty with a potential enemy of England

Question 9

Consequences of Eden Treaty

Answer 9

Between 1783 and 1792 trade deficit of £2.5 million turned into surplus of £2 million