Rulers Control Trade for Power
Grade 8 history covers how European rulers adopted mercantilism, the belief that national power depended on accumulating gold and silver through trade surpluses and colonial exploitation. Nations competed to export more than they imported and used colonies as sources of cheap raw materials and markets for finished goods. Covered in IMPACT California Social Studies, Grade 8, Chapter 1: Changing Ideas and a Changing World.
Key Concepts
Many European rulers adopted an economic policy called mercantilism . This theory stated that a nation's power depended on its wealth. Rulers measured this wealth by the amount of gold and silver, known as bullion , that a nation possessed. The more bullion a country had, the more powerful it was considered.
To gather more wealth, nations competed to sell more goods than they bought from other countries. They also relied on colonies as sources of cheap raw materials and as markets for finished goods. This system allowed the home country to control trade and increase its riches.
Common Questions
What was mercantilism?
Mercantilism was an economic policy where European rulers believed national power depended on wealth, measured by gold and silver. Nations competed to sell more than they bought from others and used colonies as sources of raw materials and markets.
What is bullion in mercantilism?
Bullion refers to gold and silver that rulers sought to accumulate under mercantilism. The more bullion a country had, the more powerful it was considered under this economic theory.
How did colonies fit into the mercantilist system?
Under mercantilism, colonies were essential as sources of cheap raw materials and as markets for finished goods from the home country. This allowed the home country to control trade and increase its wealth.
Which textbook covers mercantilism for Grade 8?
This topic is in IMPACT California Social Studies, Grade 8, Chapter 1: Changing Ideas and a Changing World.
What grade level covers mercantilism and colonial trade?
Mercantilism and rulers controlling trade for power are typically covered in Grade 8 US history.