Meaning of merchantilim

 

 

Subject
Topic
Level
Middle School
Grade
8

Answer

Mercantilism is a national economic policy that is designed to maximise the trade of a nation and, historically, to maximize the accumulation of gold and silver(as well as crops).

Mercantilism was dominant in modernized parts of Europe from the 16th to the 18th centuries before falling into decline, although some commentators argue that it is still practiced in the economies of industrializing countries in the form of individual rights.

It promotes government regulation of a nation's economy for the purpose of augmenting state power at the expense of rival national powers.

Mercantilism includes a national economic policy aimed at accumulating monetary reserves through a positive balance of trade, especially of finished goods. Historically, such policies frequently led to war and also motivated colonial expansion.

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