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LESSON 3 · How America Happened

It Wasn't About Taxes

The Tea Act of 1773 actually made tea cheaper for colonists, not more expensive:

  • The tax was tiny — just 3 pence per pound, and it had existed since 1767
  • The real issue was monopoly — the Tea Act let the East India Company bypass colonial merchants entirely
  • Local tea sellers would be driven out of business by a government-backed corporation

The colonists weren't fighting high prices. They were fighting a system where a foreign government could pick winners and crush local business. Britain's heavy-handed response only proved their point.