Which was a goal of mercantilism but not of capitalism?

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Mercantilism: the improvement of the national economy is done at the expense of all foreign economies. The mechanisms recommended by the mercantilists were basically three: a) tariffs on imports in general, b) creation (government) of companies with monopoly character in the export sector and c) prohibitions concerning the exit of precious metals from the market. country. Thus, the local production of foreign competition was protected by subsidizing private companies and creating privileged monopolies, the imposition of tariffs on foreign products and the increase of the money supply, through the prohibition of exporting precious metals and inflationary coinage.

Capitalism: the prices of goods, services, productive factors and other conditions of exchanges, are agreed by voluntary consent of sellers and buyers. Without differential privileges conferred by the State to certain particular sectors in exclusivity, the true monopolies. Thus, the levels of prices, savings, investment, employment, production and consumption, etc., are determined according to the processes of the markets, as well as the profits, rents and salaries and other results obtained by the participants.

That is, the maximization of one's own benefit is sought. Large companies with high capitals are those that control ownership. Capitalism does not support subsidies. It does not encourage the closing of borders, but the opposite, free borders and competition between companies of all nations. Likewise, the bureaucracy under Capitalism must be reduced, since there are no such functions of distribution of privileges and subsidies. Under a Capitalist system, the foreign exchange earned by exports is used to acquire imported goods. Under a system of private property, people are responsible for their actions and can develop their potential.

So both, Mercantilism and Capitalism had different goals.

I hope that it can help you!

Regards!

it would have concentrated power in the executive branch of the government. it would have restored balance among the three branches of government. it would have set a precedent for government intervention in the economy. it would have signaled an end to all the programs of roosevelt’s new deal.

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