Globalisation, Poverty & Development, Newcastle University, UK
Mercantilism could be considered as a set of policies and practices which is mainly designed to accumulate gold and silver. Mercantilism expressed the economic interest of state and regarded economic wealth as a rational means to gain political power (Magnusson, 2003:48). Mercantilists argue that a nation must export more that it imported and preferred maximizing trade.
The essay will first attempt to briefly explain what mercantilism is and its key characteristics, then it will move on to the core ideas regarding state, state power, state intervention in the economy, foreign trade, trade competition, accumulation of gold and silver that developed by mercantilists and will critically discuss and provide the arguments where relevant. The last part of the essay will discuss mercantilism and its relevance for today.Read More