Question

What was the mercantilism system?

A. Merchants in the colonies could only sell what the monarchy in England allowed them to sell
B. Colonies were expected to produce only what England needed and to buy everything they needed from England
C. All goods in the colonies were taxed at a higher rate than what they were taxed at in England
D. Colonists were given incentives by the English monarchy to start businesses

Answer 1

Option A

Mercantilism. Mercantilism is economic nationalism for the purpose of building a wealthy and powerful state. Adam Smith coined the term “mercantile system” to describe the system of political economy that sought to enrich the country by restraining imports and encouraging exports