Mercantilism colonies built to enrich the empire.
Mercantilism is the economic theory that a nation grows rich by exporting more than it imports and stockpiling gold and silver, with colonies feeding that wealth. Here is the APUSH definition, the features that earn points, and how it connects to the Revolution.
The one-line definition
Mercantilism was the dominant economic theory of European empires from the 1500s to the 1700s. It held that a nation’s power came from accumulating wealth, measured in gold and silver, by exporting more than it imported. Colonies existed to serve that goal: they supplied cheap raw materials and bought the mother country’s finished goods.
The mercantilism APUSH definition that earns points is short: colonies exist to enrich the mother country through a favorable balance of trade.
What to know for the exam
A few features come up again and again.
Why it matters in APUSH
Mercantilism explains the economic relationship between Britain and its colonies in Periods 2 and 3. The Navigation Acts and the era of salutary neglect both flow from it, and tightening enforcement after 1763 became a major grievance on the road to revolution. Expect it in questions about the colonial economy, Atlantic trade, and the causes of the American Revolution.
Common mix-ups
Do not confuse mercantilism with capitalism. Mercantilism is state-directed and protectionist, with the government steering trade to benefit the nation. Capitalism leaves prices and production to a free market. They are close to opposites, and exam questions love to test that contrast.
Frequently asked questions
Quick answers — written by humans, not a chatbot.
What is the simplest definition of mercantilism for APUSH?
An economic system where colonies exist to enrich the mother country, achieved by exporting more than you import and hoarding gold and silver.
How does mercantilism connect to the American Revolution?
Britain enforced mercantilism through the Navigation Acts. When it tightened enforcement and added new taxes after 1763, colonists who were used to salutary neglect saw it as a violation of their rights.
Is mercantilism the same as capitalism?
No. Mercantilism is state-controlled and protectionist, while capitalism relies on a free market. APUSH questions often test the difference.