Question

Which of these actions would be encouraged under a free enterprise system but discouraged under a mercantilist system? A. Importing cheap consumer goods

from foreign countries B. Selling expensive luxury goods to foreign consumers C. Encouraging workers to move from farms to big cities D. Placing limits on the types of products sold in a country

Answer 1

it would be "Importing cheap consumer goods from foreign countries."

Answer 2

The correct answer is A. Importing cheap consumer goods from foreign countries would be encouraged under a free enterprise system, since this system guarantees commercial freedom, without restrictions on the part of the State; but discouraged under a mercantilist system, since mercantilism consists of a series of measures that tend to the state regulation of the economy, the unification of the internal market, the increase of the own production and the imposition of tariffs to the foreign products.