Editing Native American trade (section)

===Plymouth and Jamestown===
To set up a thriving colony, settlers in the New World needed the five factors of production that contribute to the creation of wealth: land (natural resources), labor, capital, entrepreneurship, and knowledge. Often, trading with Native Americans resulted in colonists gaining needed knowledge and natural resources. Examples of this can be seen in the English settlements of [[Plymouth Bay]] and [[Jamestown, Virginia|Jamestown]]. [[Massasoit]], a [[sachem]] of the [[Wampanoag]] people, and [[Squanto]], a [[Patuxet]] who acted as a diplomat, helped the [[Pilgrims]] of Plymouth Bay establish their colony by teaching them skills in cultivating this land and hunting.<ref name=":0" /> In return for weapons and tools, these Native Americans provided the colonists with important natural resources, including food.<ref>Vaughan 1929, p. 68</ref> In 1621, Massasoit established one of the earliest trading pacts between Europeans and Natives by signing a treaty with the [[Plymouth Colony]] to engage in peaceful trade.<ref>Vaughan 1929, p. 73</ref> However, as the colonial population in [[New England Colonies|New England]] began to increase, the Wampanoag became uneasy about being displaced by the colonists. Gradually, tensions escalated, leading to [[King Philip's War]], an armed conflict between the Pilgrims and the Native Americans in the area. The war ended with the defeat of the Native tribe, causing a serious fracture amongst relations between the Pilgrims and Native Americans.<ref>Vaughan 1929, p. 320</ref>

Relations between settlers in the Jamestown area and Native Americans ended similarly. Initially, the Powhatan aided the English settlers with food and clothing, helping them survive the early difficult years. However, relations between the two groups deteriorated after three years, resulting in a war.