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Mercantilism - Paper

Mercantilism


is an economic theory where a nation's strength comes from building up gold supplies and expanding its trade. Britain formed the American colonies so that they could increase their gold stores. They wanted raw supplies to make into products to sell and make money. They wanted America to pay taxes so that Britain could make money. America used the theory in that they thought they ought to, in order to be strong expand their trade beyond Britain. Countries like Belgium, and France wanted to also increase their trade, and expand it to trading with America. They also wanted to increase their gold stores by trading with America. Britain however did not want America to trade with France and ...

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to prevent the Frenchmen and Dutch from receiving American goods. The acts limited American shipping to be via Britain. The British had to receive all American goods and them their merchants would sell the goods to other countries, but America could not. Any goods that were to be imported to the colonies had to be passed through British middlemen, where a tax was added so that Britain would profit. America was also forbidden to produce goods or grow crops for profit. If they were to do that then they would be competing with British industries. The colonies were supposed to also buy more than they sold, so that their currency was drained, but all to Britain. Before 1663, when the Acts of Trade and Navigation were not enforced the colonists benefited from Britain. The colonists of the north smuggled goods and manufactured items for profit. They avoided the British laws. The southern colonists had a guaranteed market from the British because they had a monopoly. The colonies also ...

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a much lower price that they resold it in the free market, therefore the south was losing money and Britain making money. The colonists in general felt that they were being forced back by Britain intellectually and politically, if they couldn't make money then they couldn't be strong under the theory of . At this point I should also mention that at the time there were other surmounting troubles between Britain and America. The British parliament had passed taxes on America to pay for the British troops, however Americans were not represented in parliament, so the Americans felt that any taxes were unfair as well. Britain however was definitely profiting from the acts even though the ...

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"Mercantilism." Essayworld.com. December 1, 2007. Accessed November 22, 2024. http://www.essayworld.com/essays/Mercantilism/75174.
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PAPER DETAILS
Added: 12/1/2007 03:46:46 PM
Category: World History
Type: Free Paper
Words: 1877
Pages: 7

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