Problem:
New England had a rough weather and soil was not suitable for agriculture. The colonists turned towards shipbuilding, lumbering and fishing. The people also produced tar and pitch. All the above goods were exchanged with England and they had extensive trade relations. Mid Atlantic colonies had an excellent climate for agriculture. In contrast to New England, people in the middle colonies produced wheat, corn and oats. They had surplus of grain and were known as the "bread colonies." The long navigable rivers helped them to had successful fur trade with the Native Americans. The Chesapeake colonies consisted of Virginia and Maryland. The fertile soil helped them to develop tobacco plantations. These plantations in the beginning depended on indentured servants but later slipped into slavery. The Chesapeake colonists also had good fishing industry.
The lower south had an agricultural economy. There is a difference between upper south and lower south agricultural practices and economic activities. The upper south economy was centered on tobacco while the lower south depended on rice, indigo and naval stores, which were exported to Great Britain. The differences mentioned above shows that geography and natural resources play a major part in the development of the economy in the colonies.