According to Quantitative Estimates of the Burden of the Navigation

question 1

Multiple Choice

According to quantitative estimates of the burden of the Navigation Acts on the colonies, what can be said about the (net) effect of the Acts?

• A) The Navigation Acts placed a serious economic burden on the colonies, with estimates of this burden equaling roughly 40 percent of 1770s GNP.
• B) The Navigation Acts were the critical reason why colonists revolted against the British.
• C) After accounting for the protection provided by the British, there was very little economic burden to colonists from the Navigation Acts.
• D) Existing data do not allow for credible estimates of the economic burden of the Navigation Acts on the colonies.

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Definitions:

Indifference Curve

A graph showing different bundles of goods between which a consumer is indifferent, indicating the same level of satisfaction.

Marginal Utility

The extra pleasure or benefit obtained from the consumption of an additional unit of a product or service.

Money Income

refers to the total income received by an individual or household in monetary form, including wages, salaries, benefits, and investment income.

Indifference Curve

A graph showing different bundles of goods between which a consumer is indifferent, reflecting preferences and utility maximization.