Mercantilism

Policies

European economists between 1500 and 1750 are, today, generally considered mercantilists. However, these economists did not see themselves as contributing to a single economic ideology. Rather, its adherents embraced, in various degrees, parts of a set of commonly held theoretical beliefs or tendencies that were best suited to the needs of a particular time and state.

Mercantilism developed at a time when the European economy was in transition. Isolated feudal estates were being replaced by centralized nation-states as the focus of power. This led to frequent military conflicts between nation-states whose governments supported strong military forces. These forces were no longer temporary armies raised to address a specific threat, but were full-time professional forces.

During this period technological changes in shipping and the growth of urban centers led to a rapid increase in international trade.