Economic Regulation

Author: Sir William Keith (1699- 1749). Keith was born into Scottish nobility. As the eldest son, William Keith was supposed to inherit his father’s title as baron. However, Keith was exiled from Great Britain for his treasonous sympathies and possible involvement with the Jacobites (see footnote). Keith ventured to the Americas and, under the rule of the Tories, became surveyor-general for the southern district of North America. He lost his post when the Whigs came into power under George I. Keith subsequently applied and was accepted as Lieutenant-Governor of Pennsylvania. Keith was known for promoting Indian peace conferences and Trade. After William Penn died, Penn’s wife and Keith disputed over the direction of the colony. William Keith’s father died in 1720, leaving Keith with a title and massive debt. This debt, along with pressures of Penn’s Wife and her supporters forced Keith to flee to England. On his voyage back to Brittan, he wrote "A Short Discourse on the Present State of the Colonies in America with respect to the Interest of Great Britain," where he proposed a stamp tax on the colonists in order to finance standing armies in North America. He served as an advisor of American Affairs to the British Crown. He died in a debtor’s prison.

Context: There was no italicized summary, nor were there any reference sources that gave me a good context on this work. However, “Economic Regulation” is dated 1740. Thus, I can generally surmise that Keith was back in England, near the end of his life. He was in debt, and bitter (his family was still in Pennsylvania). This probably was written as an economic advisory to the Crown. His bias would probably be in favor of the Crown (as his job depended on it) and bitter to the Americas.

Summary: Keith first states that the principal goal of colonies (such as America) is to serve the Mother Country to her best interests, especially her economic interests. Keith then proposes to tip the British-Colonial American trade relations in Britain’s favor. He lists four advisory points to back up his proposition. The first, a mandate that all American manufactured goods had to come through British ports before traveling anywhere else. Second, that the colonies could only purchase wool from GB and Ireland. The third, a mandate that all American commodities must come through British ports before traveling anywhere else. The last, a restriction of inter-colonial trade. Keith states that his mandate will bring further prosperity to the nation. He also argues that colonials know their place and will humbly accept GB mandates. Ironically, Keith is completely incorrect as this mandate lays the foundations of colonial discontent, eventually inciting the American Revolution.

Quote: “Every act of a dependent provincial government therefore ought to terminate in the advantage of the mother state, unto it owes its being and by and whom it is protected in all its protected in all its valuable privileges…”

*A Jacobite is a person wishes to restore the British crown to James II of England (a Stuart)