Mercantilism Basics
What economic system focused on building wealth by exporting more than importing?
Mercantilism
What term was used for the powerful European nation that controlled colonies?
Mother Country
What three regions were connected by the triangle trade?
Europe, Africa, and the Americas (New World)
Who wrote the 9-point plan explaining mercantilist ideas?
A. Adam Smith
B. John Locke
C. Philipp Wilhelm von Hornick
D. Karl Marx
C. Philipp Wilhelm von Hornick
Who usually benefited the most from mercantilism?
European Mother Countries
What two metals were considered the main measure of a country’s wealth under mercantilism?
Gold and Silver
What did the colonies send to the mother countries?
Raw Materials
What did Europe export in the triangle trade?
Manufactured goods
According to the plan, why were raw materials supposed to be used at home?
Finished goods are worth more than raw materials
Who was harmed the most by the mercantilist system?
Colonies and Africa
What is it called when a country exports more goods than it imports?
Mercantilism (A favorable balance of trade)
What did the mother country usually send to the colonies?
Manufactured Goods
What was forcibly exported from Africa to the Americas?
Enslaved Africans
Why did mercantilist countries discourage imports of foreign goods?
To protect local businesses and keep wealth inside the country.
Why did colonies end up buying goods from their mother country instead of other nations?
They were legally required to trade only with their mother country
Why did mercantilist countries want fewer imports?
To keep money inside the country and protect local industries
From a mercantilist perspective, was this relationship good for the colonies? Why or why not?
No, because colonies were controlled and exploited for the mother country's benefit.
What types of goods were sent from the Americas to Europe? Give two to three examples
Raw materials like sugar, tobacco, cotton, and rum.
What did mercantilists believe about gold and silver leaving the country?
It should be prevented whenever possible.
How did mercantilism most likely lead to conflict or rebellion in colonies?
Colonies were restricted, taxed, exploited
According to mercantilism, why were colonies important to European countries?
They provided raw materials and markets for manufactured goods.
How did European countries view their colonies, according to the political cartoon?
As servants or providers meant to benefit Europe
Why did the triangle trade benefit European countries the most?
They controlled trade routes, gained raw materials, and sold finished goods for profit.
How did mercantilist policies increase the power of kings and governments?
The government controlled trade, resources, and economic decisions.
What is the fundamental difference between capitalism and mercantilism
Capitalism = Best for the Company/Individual