The Origin Of Mercantilism

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Mercantilism The origin of mercantilism comes from the mercantile word and means merchant in Latin. Adam Smith, who used mercantilism for the first time, emphasized the necessity of this structure. Smith said that mercantilist views consider equivalent to Money with capitalism. Mercantilism was the economic term that emerged in Western Europe in the 16th century, and the richness of the state is connected to the metal. Those who have the first systematic idea in the field of economics are those who have adopted the mercantilist view. Along with the New Age, the feudal system has begun to trade, which is expanding and gaining importance for the economy based on agriculture and trades. While trying to explain economic events, they were not affected by moral and religious authorities. The Mercantilist thought has raised new views on money, interest, foreign trade, the intervention of the state in economic life, the economic policy of the protectorate and the big markets. Mercantilism, representing a new economic understanding, is a political doctrine rather than a theoretical one. This doctrine is supported by three elements. These elements are strong state, precious metal stock and foreign trade. Of course, these three elements are also interrelated. Foreign trade increased precious metal stocks and the height of precious metal stocks was directly proportional to the power of the state. At the beginning of the mercantilist era, medieval traditions still persist. Feudalism, one
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