Question

Which definition BEST explains the British policy known as mercantilism?

A) Trade policy where by a nation import less than it exports
B) Military policy for defending colonial outposts
C) Trade policy for opening trade routed to the Far East
D) Military policy for establishing buffer colonies to protect settlements

Answer 1

Hello the answer is A

Answer 2

The correct answer is letter A.

The discovery and colonization of America propelled foreign trade, the purpose of the colonies was to supply raw material and also buy the finished goods that had been made in England. Colonies main purpose was to enrich England.

Mercantilism revolves around trade, increasing profits by controlling trades.

Exports are goods sent for sale outside a colony or country, they earn money. Imports are goods brought into a colony or country, they cost money.

It’a about moving goods which were abundant in one location to another where the goods were scarce. The demand for goods results in higher prices and increases profits.