What does morgan argue about the effects of bacons rebellion on the plantation elites understanding of the utility of indentured servants versus enslaved labor

The main point of Edmund Morgan's  interpretation of Bacon's rebellion was discontent with the post Restoration government of Sir  William Berkeley. Bacon's rebellion has been historically tied not only to the American Revolution, but also the rise of slavery.  

Morgan sees  the consequences of the revolt as being huge. He suggests that the development of slavery in the Virginia colony can  be traced to the events surrounding Bacon's revolt.

Morgan  portrayed the rebellion as the culmination of discontent  among Virginia's underclass. His chapter in 'American  Slavery, American Freedom' describing the period before  Bacon's rebellion is titled simply: "Discontent."

To Morgan, a rebellion among the underclass was  became certain as soon as a Nathaniel Bacon the "great planter" was forced into a leadership role.

Eventually,  during the Indian crisis of 1675-6, the frontier gentry were confronted by large groups of angry armed men bent on  venting their collective discontent upon the neighboring  Indians.

After the rebellion, the society  was transformed into the hierarchical, gentry-dominated colony of great plantations built upon the  backs of slave labor.

julius caesar turned the roman republic into the roman empire by coming in and taking the "dictator" role during the time of a civil war (elites vs lower classes) winning battles and reputation, then declaring him dictator for life

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there were abundant sources of fuel nearby