HISTORY
ABSOLUTISM AND REVOLUTION
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Raw materials were bought cheaply by the colony and sold as refined materials to the ‘Mother Country’
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Raw materials were bought cheaply by the ‘Mother Country’ and sold as refined materials to the colony
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When merchants sold their goods for high prices to working class citizens
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When working class citizens were forced to sell their products to make profits
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Detailed explanation-1: -Mercantilism was a popular economic philosophy in the 17th and 18th centuries. In this system, the British colonies were moneymakers for the mother country. The British put restrictions on how their colonies spent their money so that they could control their economies.
Detailed explanation-2: -Under mercantilism, colonies were important because they produced raw materials for the mother country, goods that the country would have to import otherwise (things like grain, sugar, or tobacco). The colonies also gave the mother country an outlet for exports, which increased jobs and industrial development at home.
Detailed explanation-3: -The policy of Mercantilism favored England because the raw materials (wood, cotton, etc.) from the colonies were used to make different products in England-‐ finished goods have a higher value than raw materials.
Detailed explanation-4: -Mercantilism, also called “commercialism, ‘’ is a system in which a country attempts to amass wealth through trade with other countries, exporting more than it imports and increasing stores of gold and precious metals. It is often considered an outdated system.
Detailed explanation-5: -How does mercantilism benefit the Mother Country? Colonies supply raw materials at a discounted price to the Mother Country. The Europeans would then make those raw materials into finished products and then sell those finished products back to the colonies for a higher price.