Mercantilism

Mercantilism is based on the idea that a nation's power stems from its wealth, which encouraged the acquisition of natural resources and developing trade in North America.

This is because they were desperate to find whatever was at the westward route.

It seems so. Mercantilists were essentially state licensed monopolists. They argued that national wealth was acquired by exporting more finished goods than importing. Raw materials needed be acquired for production, and so state exploitation of foreign lands helped keep import prices lower (also see triangular trade). Finished goods made at home could then have high profit margins benefiting mercantilsts and and their state sponsors.

This system became viewed as immoral and inferior based on the law of comparative advantage (i.e. stemming from free trade) and benefits of free enterprise arose throughout the industrial revolution.

The Dutch had dealings with mercantilism in two ways: they clashed with the British over their mercantilist policies, with the result of four Dutch-Anglo wars over the subject in the 17th and 18th century.

The other way was in their treatment of their East India colonies (today's Indonesia) in the 19th century. Production of foodstuffs and goods there was then made totally subject to Dutch needs and interests, and these goods could only be sold to Duth buyers. Holland then had the exclusive right to sell those goods at real market value worldwide.

Refers to European policies that aimed at guaranteeing prosperity by making the European country England as self-sufficient as possible by eliminating its dependence on foreign suppliers, damaging its foreign competitor's commerce.

Mercantilism is an economic system that requires two distinct political entities to exist. It requires a metropole, which is the main part of the country and where the leadership sits. It also requires colonies, which are distant regions with unique resources that can transfer these unique resources to the metropole.

In order to create this kind of relationship, leaders from the metropole must create colonies in distant lands in order to extract these resources. This is why mercantilism necessarily leads to colonialism. Note that this form of colonialism can exist within large empires as well. The Russian expansion into Siberia and Central Asia in the 1700s and 1800s mirrors the Western European creation of colonies in the Americas and this expansion was done with the purpose of extracting raw materials that were present in these territories.

Mercantilism, an economic theory prevalent in the 16th to 18th centuries, emphasized the importance of accumulating wealth, primarily gold and silver, through a favorable balance of trade. European nations sought to maximize exports while minimizing imports, leading to the exploitation of colonies for raw materials. This demand for resources fueled the Triangle Trade, where European powers transported manufactured goods to Africa, exchanged them for enslaved people, who were then shipped to the Americas to work on plantations, producing cash crops that were sent back to Europe. Thus, mercantilism directly contributed to the establishment and operation of the Triangle Trade network.

to produce raw materials for Great Britain

By ensuring more economic prosperity for merchants and the middle class.

American colonists thought British taxes were unfair.

Mercantilism affected them because it was one of the main reasons for the American Revolution. We were told that we could trade with no one but England and we got mad.

They were considered colonies... That was the whole principle of mercantilism: colonies helping the economic success of the motherland.

No, Mercantilism is an early form of capitalism based on private-ownership of the means of production, the accumulation of capital, and profit-seeking activity driving economic activity.

Mercantilism was not a lassiez-faire type of capitalism, but it is closer to interventionist capitalism.

existence of restrictive trade regulations on the colonies

capitalism :)

Lick a nut

becausIn mercantilism, the government decides pricing instead of the consumer.e it is