Mercantilism: How Colonies Served the Mother Country

Mercantilism was an economic theory that dominated European thought during the age of colonization, suggesting that a country's strength depended on its wealth, particularly gold and silver. Under this system, colonies existed primarily to benefit the mother country by providing raw materials and serving as markets for finished goods. For example, the American colonies supplied timber, tobacco, and cotton to Britain, while being required to purchase British manufactured products. This relationship created a cycle of dependence that was critical to the colonial economy.