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nadezda [96]
2 years ago
11

What economic relationship did the American Colonies have with England?

History
1 answer:
iragen [17]2 years ago
3 0

Answer:

c. A Captive Market

Explanation:

A captive market can be defined as a type of market in which the consumers or potential customers are only able to buy (purchase) what is made available to them due to the limited number of competitive suppliers (wholesalers or suppliers) in the market.

This ultimately implies that, in a captive market, the choice of the consumers is very limited and as such they can only buy goods or services that are made available by the supplier. Therefore, a captive market is characterized by oligopoly or monopoly and as a result of this, the price of goods and services are generally higher with minimal choice for the consumers.

Hence, the economic relationship the American Colonies had with England is known as a captive market.

In the 16th century, the American Colonies was typically a captive market for Great Britain as a raw materials such as lumber, rice, fish, or tobacco in exchange for sugar and slaves.

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