Mercantilism

The policy of mercantilism is best described as the idea that

• colonies should be self-sufficient (independent) economically, and free to trade with anyone else

• government regulation is harmful to a country's economic growth

• economic prosperity for the ruling country can only be achieved through naval superiority

• colonies should buy goods from and sell materials to the ruling country

England became a very wealthy mother country because of Triangular Trade routes with colonial America and Africa. This trade is an example of- 

• Mercantilism

• Incentives

• Specialization

• Interdependence

Who controls and regulates trade in a mercantilist economy?

• The government

• Tax payers

• Individuals

• Voters

Why were colonists only allowed to trade with their mother country?

• The colonists did not know other countries existed

• The mother country can gain more wealth

• The colonists were prideful

• The mother country can share their wealth

Match the following

• Mercantilism

• an economic theory that held that colonies helped a country become wealthy by providing raw materials

  and markets for goods produced in the home country

• revolution

• to rise up against a government; a dramatic change

• Parliament

• to carry in or bring out in a secret way

• enforce

• the lawmaking body of British government

• smuggle

• to make people obey a rule or law

What did the European countries do with the raw materials?

• Turn them into finished products

• Re-sell them to other Colonies

• Re-sell them to other Countries

• Trade them away

What did Great Britain do that angered other European countries and the colonies causing them to sometimes resort to smuggling?

• Stopped all trade EXCEPT with Great Britain

• Placed high taxes on the Colonies

• Placed tariffs on Colonial goods

• Allowed them to only trade one raw material for profit

What is one role colonies play in a mercantilist system?

• Colonies purchase raw materials from other countries.

• Colonies manufacture finished products for the mother country.

• Colonies sell raw materials to other countries.

• Colonies purchase finished products from the mother country.

Sending goods to another country to sell

• Charter

• Import

• Export

• Joint-Stock Company

What was the main idea behind mercantilism?

• Colonies existed to make a profit for their mother country

• Colonies were used to house prisoners from the mother country

• Colonies were allowed to do whatever they wanted

• Colonies were setup to help with overpopulation in the mother country