The basic economic structure established by England, especially during the 16th to the 18th centuries, was primarily characterized by Mercantilism. Mercantilism is an economic theory that emphasizes the role of the state in managing the economy, primarily through regulations that promote exports over imports and the accumulation of wealth, usually in the form of gold and silver.
Under Mercantilism, England sought to increase its national power by maximizing exports and minimizing imports. This led to the establishment of colonial economies that supplied raw materials to the mother country while serving as markets for British manufactured goods. The Navigation Acts, for instance, were a series of laws that regulated colonial trade and enabled England to benefit economically from its colonies.
While elements of a market economy and capitalism began to emerge during this period, particularly in the late 18th century with the Industrial Revolution, the dominant economic framework in England during the earlier period was Mercantilism. Over time, as markets became more dynamic and less regulated, capitalism and market economy principles began to take hold, especially in the 19th century.
In summary, the primary economic structure during the time of England's colonial expansion and Mercantilism was indeed Mercantilism, although the groundwork for capitalism and a market economy was being laid as well.
11 answers