What are two ways in which the Proprietors hoped to make money in The Bahamas?

What are two ways in which the Proprietors hoped to make money in The Bahamas?

• A. By farming cash crops and selling to Europe
• B. By raising taxes and trading with other colonies in the New World
• C. By collecting tariffs on ships passing by
• D. By issuing lottery bonds

Answer: (B)

The idea being tested is how colonial proprietors planned to turn a profit by using taxation and trade under mercantilist thinking. They expected to fund the colony and earn money by two main avenues: collecting taxes from the settlers and governing the trade network. At the same time, The Bahamas’ location made it a convenient hub for ships traveling in the Atlantic, so profits could come from trading with other colonies in the New World—selling local goods where possible and importing goods from elsewhere, with duties supporting the proprietors’ interests. Since the Bahamas didn’t rely on large cash crops like some Caribbean colonies, revenue through taxed trade and mercantile exchange with neighboring colonies was the practical path to making money.

The idea being tested is how colonial proprietors planned to turn a profit by using taxation and trade under mercantilist thinking. They expected to fund the colony and earn money by two main avenues: collecting taxes from the settlers and governing the trade network. At the same time, The Bahamas’ location made it a convenient hub for ships traveling in the Atlantic, so profits could come from trading with other colonies in the New World—selling local goods where possible and importing goods from elsewhere, with duties supporting the proprietors’ interests. Since the Bahamas didn’t rely on large cash crops like some Caribbean colonies, revenue through taxed trade and mercantile exchange with neighboring colonies was the practical path to making money.