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Imperialism describes a type of power relation when one politically entity is subordinate to another. Imperialism can take many forms since there are different ways to make countries subservient to other countries (e.g.) military forces; money).

Mercantilism is an economic system in which the purpose of economic development and trade is only to benefit the home country. Mercantilists believed trade to be a zero-sum game (i.e.) if someone is getting trade, someone must be losing it) and that the most important resource to hold was gold (and they encouraged getting as much of it as possible).

Mercantilism and imperialism overlapped each other during the first wave of European imperialism in the Americas. European powers developed colonies to extract resources and create markets to export goods to.

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