Mercantilism is an later lent term for a Sammelsurium of different politico-economic ideas and Politiken, which both monetary political and handels and balance of payments-theoretical, in addition, financialeconomical beginnings connect. The mercantilism was the prevailing economic Lehrmeinung of the early modern trend (of 16. Century up to 18. Century).

With the need of the absolutist governed states after increasing, safe incomes for the payment of the standing armies, increasing bureaucracy and after representative buildings and of the prince a politico-economic practice coined/shaped by the interventionism and dirigisme in the different European states, which a closed economictheoretical and, develops - political conception was missing. This politico-economic practice striving for surplus is common in the foreign trade for the economic development of the own state. The capital quantity, which is represented by the national gold reserves, is increased best by an active commercial balance sheet with high exports and low imported goods. Governments therefore support these goals, by promoting exports actively and restraining imported goods by use of tariffs.

In the Binnenwirtschaft led this to significant national interferences and to control of the foreign trade and the economic system, while at the same time important structures of the modern capitalistic system developed. The mercantilism loaded the intergovernmental relations at that time by numerous European war, which developed for imperialism. Toward end 18. Century the mercantilism was displaced by the classical political economy of the British economist Adam Smith. Today the mercantilism (as a whole) is rejected by all respectable economists, although some elements receive further attention.

Theory

Principles

Nearly all European economists, who published between 1500 and 1750, are regarded today generally as mercantilists, although these itself not when trailers of a common ideology understood. The term "merkantiles system "was coined/shaped by the Marquis de Mirabeau 1763 and generally spread by Adam Smith 1776. The word descends from latin mercari (carry on trade) mercator and/or merx (commodity) and/or French mercantille (commercial). Originally only used by critics such as Mirabeau and Smith, the term was taken over soon also by historians.

The mercantilism as a whole cannot be regarded as a uniform, closed economic theory. There was no merkantilistischen author, who submitted a comprehensive model for ideal an economic system, as Smith did later this for the classical political economy. Instead each merkantilistische author regarded another partial aspect of the economy. Individual problem-related ideas and different beginnings in the European states stand frequently unconnected next to each other. The phase of the mercantilism was connected with the development of domestic economic homogeneous national economies. Some specialists reject the concept of the mercantilism completely, because it a wrong community of separate events vorgaukle.

The mercantilism regarded foreign trade as zero-sums game, with which the one wins, which the other one loses. Therefore it is impossible by definitionem to maximize the overall economic use. Merkantilisti writings were provided generally also rather to justifying political proceedings to examine as which politics are most useful.

Bullionismus

Since approximately 1500 developed Jean Bodin and others an early mercantilism, which stressed the meaning of the national gold and silver reserves and therefore Bullionismus one called. In this period there was a large supply of gold and silver from the European colonies in the new world, and the main concern of the other states consisted of remaining competitive opposite habsburgisch governed Spain. The early Monetaristen, like Thomas Gresham and John Hales and the Bullionisten around of Thomas's Milles regarded the national precious metal reserves as yardstick for the economic (and military) strength of a state, because a measured variable for the national income did not give it at that time yet. At the yards of the monarchs the realization began itself to intersperse that a condition for a militarily strong state was its financialeconomical Kraft, a whose condition was economic activity. Gold and weapons served silver as well as for the building of fleets as currencies for (mercenary) armies. International alliances required often large payments between the states. Only few European states controlled gold and Silberminen. The remaining states covered their need at balance of payments means over an active foreign trade balance. If a state imports more goods exported than, then this inequality adjusts itself by a supply at money or precious metals. Therefore the mercantilists believed that a national economy export more goods than is to import. The export of precious metals was logically strictly forbidden. High interest rates should encourage investors to invest their money inland.

Mercantilism in 17. Century

In 17. Century developed a by far more complex version of the mercantilism, which rejected the simple Bullionismus. Authors, like Thomas Mun regarded the general prosperity of a country as a priority goal and its precious metal reserves as the most important indication of the wealth, but not as only, since finished goods and raw materials were likewise indispensable. They supported the past view of an active foreign trade balance, however in a less rigiden form. Mun, which worked for the English east India company, argued that exports from metal reserves were good to Asia for England, since the goods with large profit, imported for it, could be resold in remaining Europe. This new aspect recognized the fact that the transformation from raw materials was to finished products an important money producer and rejected therefore the export of raw materials. While the Bullionisten had up to then endorsed the mass export of wool from England, the later mercantilists demanded total export prohibitions for raw materials and the structure of a processing industry inland. A further important change was the view on the interest rates. In order to promote the domestic industry, was a high capital supply necessary; in 17. Century could be observed therefore a dramatic fall of the interest rates. Later mercantilists dedicated a larger attention to the service sector. From this resulted for example the navigation document, which excluded 1651 Netherlands ships from the English navigation.

The merkantilistischen measures for the promotion of the Binnenwirtschaft were less clear than their foreign trade policy. While Adam Smith represented the mercantilists in such a way, as if they would endorse strict controls of the economic system, contradicted many mercantilists. The early modern trend was the time of the patents and legally imposed monopolies. From the tradition of regalia, like e.g. the or the salt shelf, thus sources of income of the vault, the conception developed of providing by the award of monopolies the prince devoted entrepreneur a safe market and the wealth resulting from it well controls and purposefully to tax away to be able. Some mercantilists endorsed the monopolies, other recognized the corruptness and Ineffizienz of such systems. Many mercantilists recognized also that the inevitable consequence of ratios and price adjustments were black markets. One point, in which the mercantilists were united, was the suppression of the working class. Workers and farmers had to live at the subsistence level, so that the goods could be manufactured economically. A goal was it to maximize production; the consumption and benefit of the workers were not considered. Only if they could secure their subsistence level by hard work, it was guaranteed that a maximum production could be achieved. Higher wages, spare time or education for the lower layers inevitably to Lastern and putridness would lead and economic damage would cause.

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