CA Foundation P4 · Chapter 9 · Question 1 of 15
The mercantilist doctrine held that a nation's wealth increases through:
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: A) Accumulation of gold and silver by maintaining an export surplus
Explanation
Mercantilists (16th-18th centuries) believed that wealth consisted of precious metals and that a country should promote exports and restrict imports to accumulate bullion. Free trade and comparative advantage were later classical ideas that criticised mercantilism.
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