Mercantilism

[4th Charlotte]

Growth of Mercantilism• The (more advanced) countries in Europe used this economic policy during Colonial America• It is really a policy that states that a country’s power is tied to its wealth• Stating that money was needed to purchase some goods that are vital to the country• Bottom line: more money, more bettero England wants goldo England establishes colonies in Americao America doesn’t have much gold, but can produce tobacco and cottono England wants to buy cotton cheap and doesn’t want America to produce clotho England sells the finished cloth to America, and to England’s rival: Franceo England gets gold and depletes part of France’s gold reserve