What does mercantilism aim to achieve?

Mercantilism is an economic theory and practice that flourished in Europe from the 16th to the 18th centuries. Its primary objective is to increase a nation's wealth, primarily through a positive balance of trade, particularly of finished goods. Mercantilist policies often advocate for a strong governmental role in the economy, emphasizing the accumulation of precious metals like gold and silver as the ultimate measure of wealth. By promoting domestic industries and restricting imports through tariffs and other trade barriers, mercantilism seeks to ensure that a nation maximizes its exports and minimizes its imports, thereby improving its overall economic standing and fostering national strength.

The other options do not accurately capture the essence of mercantilism. For instance, diminishing national wealth contradicts the fundamental goal of mercantilism. Promoting free enterprise and capitalism runs counter to the mercantilist emphasis on government intervention and regulation. Similarly, while mercantilism can create uneven economic dependencies, its core aim is not to encourage such dependencies but to build a self-sufficient national economy that thrives on domestic production and trade. Thus, the correct focus of mercantilism is on increasing a nation's wealth through robust commercial activity.