FIGURE 5.1 The Cost of Empire, 1690–1790
It cost money to build and maintain an empire. As Britain built a great navy, subsidized the armies of European allies, and fought four wars against France and Spain between 1702 and 1783, military expenditures soared. Tax revenues did not keep pace, so the government created a large national debt by issuing bonds for millions of pounds. This policy created a class of wealthy financiers, led to political protests, and eventually prompted attempts to tax the American colonists