In 1764, Prime Minister George Grenville issued the Sugar Act, which put a tax on certain goods imported into America. What was significant about this legislation? 1) Backlash over the policy ignited the Seven Years' War. 2) The tax was designed to bankrupt the New England colonies as punishment for their insubordination to the king. 3) For the first time, Parliament adopted a policy designed to raise revenues from the colonies, and not to merely regulate their trade.

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**Understanding the Significance of the Sugar Act of 1764**

In 1764, Prime Minister George Grenville issued the Sugar Act, which imposed a tax on certain goods imported into America. **What was significant about this legislation?**

1) **Backlash over the policy ignited the Seven Years' War.**
    - This option suggests that the controversy surrounding the policy was a catalyst for the Seven Years' War.

2) **The tax was designed to bankrupt the New England colonies as punishment for their insubordination to the king.**
    - This selection posits that the tax was a punitive measure to financially cripple the New England colonies due to their rebellious behavior towards British authority.

3) **For the first time, Parliament adopted a policy designed to raise revenues from the colonies, and not to merely regulate their trade.**
    - This statement highlights the significance of the Sugar Act as a shift in British colonial policy. Rather than solely regulating trade, Parliament was now enforcing taxes directly to generate revenue from the colonies.

**Note:**
There are no graphs or diagrams included in this content.
Transcribed Image Text:**Understanding the Significance of the Sugar Act of 1764** In 1764, Prime Minister George Grenville issued the Sugar Act, which imposed a tax on certain goods imported into America. **What was significant about this legislation?** 1) **Backlash over the policy ignited the Seven Years' War.** - This option suggests that the controversy surrounding the policy was a catalyst for the Seven Years' War. 2) **The tax was designed to bankrupt the New England colonies as punishment for their insubordination to the king.** - This selection posits that the tax was a punitive measure to financially cripple the New England colonies due to their rebellious behavior towards British authority. 3) **For the first time, Parliament adopted a policy designed to raise revenues from the colonies, and not to merely regulate their trade.** - This statement highlights the significance of the Sugar Act as a shift in British colonial policy. Rather than solely regulating trade, Parliament was now enforcing taxes directly to generate revenue from the colonies. **Note:** There are no graphs or diagrams included in this content.
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