Effects of mercantilism in the political

Get Full Essay Get access to this section to get all help you need with your essay and educational issues. Mercantilism affected the politics of all the colonies equally because it disallowed the colonies from governing themselves. England was also practicing this theory of mercantilism and they needed to make sure the colonies were following their their laws in order to continue to make money off of them.

Effects of mercantilism in the political

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Full Answer Noted capitalist Adam Smith described a mercantile system as a political economy that favored the host country by encouraging the exportation of goods and limiting imports.

Historically, this was a significant instance of the government influencing the economy. One method for this was placing higher tariffs on imports, encouraging consumers to buy goods made within the country. This policy is still practiced in the modern era.

During the rise of mercantilism, competing European governments became more involved with industry. To encourage development, governments would make capital injections to create new markets. In some cases, the government would take control of an industry and institute a monopoly.

The cultural effects of mercantilism included the rise of the merchant class, which carried more power than traditional lower classes.

Effects of mercantilism in the political

Another major effect was the transfer of culture through colonial expansion. While the main goal of colonial expansion was to acquire gold and other precious materials, this led to an expansion of European culture around the world.To what extent did mercantilism affect the political and economic development of England’s 13 colonies?

Many European kingdoms adopted the economic policy of mercantilism, this form of economy focused on trade, colonies, and the accumulation of wealth as the basis for a country’s military and political strength.

Under mercantilism the American colonists were essentially tenants of Britain.

Effects of mercantilism in the political

In reference to Colonial America, mercantilism was the idea that the colonies existed in order to benefit Great Britain. Mercantilism did, however, lead to the adoption of enormous trade restrictions, which stunted the growth and freedom of colonial business. Mercantilism is a very profitable theory.

It made a way for mercantilists to trade and make money off of the colonies.

The Effects of Mercantilism

It allowed the mother countries to build their bullion off of the hard work of the colonies. Due to the difference in economic systems, there was a different impact . Jan 31,  · In summary, although mercantilism and colonialism initially had positive effects on the lives of the colonists, this relationship between the two steadily declined due to the forceful implementation of restrictive trade acts and the imposition of high tariffs on imports.

Mercantilism is the idea that colonies existed for the benefit of the Mother Country. In other words, the American colonists could be compared to tenants who 'paid rent' by providing materials for export to Britain.

According to the beliefs at the time, the wealth of the world was fixed.

How did mercantilism affect the colonies of Great Britain? | Investopedia