Professional Documents
Culture Documents
Economics is concerned with the production, distribution and consumption of goods and services.
Types of Economies:
Mercantilism is an economic system developed to unify and increase the power and especially the
monetary wealth of a nation by a strict governmental regulation of the entire national economy usually
through
Types of Economies:
Mercantilism is an economic system developed to unify and increase the power and especially the
monetary wealth of a nation by a strict governmental regulation of the entire national economy usually
through
1. policies designed to secure an accumulation of gold and silver, (assumes a zero-sum game)
2. a favorable balance of trade, (how one gets a bigger piece of the pie)
3. the development of agriculture and manufactures, (promote self-sufficiency through
colonization; raw materials from colonies and manufactured goods from the mother country)
4. and the establishment of foreign trading monopolies (protect domestic industries, incentives
through monopolies, tariffs/protectionism).