Mercantilism was the principle that a) the purpose of colonies is to economically benefit the mother country. eliminate b) the english colonies would lose their legal rights and elected assemblies. c) a government could tax without consent of the taxpayers for the purpose of regulating trade. d) colonists would henceforth be required to pay taxes to the crown to fund their own protection.

Mercantilism was the principle that:

A) the purpose of colonies is to economically benefit the mother country.

"Mercantilism" is a term we get from Scottish philosopher Adam Smith (1723-1790).  Smith criticized what he called the "mercantile system" because it restricted trade and thus restricted economic growth.  The mercantile system believed the wealth of the world was a fixed amount, measured primarily in gold and silver accumulated.  The system promoted a nation selling its products abroad but not needing to buy from others, or imposing heavy tariffs if importing anything.  Colonies were crated to provide raw materials and resources to the mother country and a market for the mother country's products.  Commerce was heavily controlled by the government through charters granted to specific trading companies.

Adam Smith countered by advocating a free market -- the opportunity for all nations to increase their wealth by exchanging goods freely with one another according to what would become known as capitalist principles.

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