What does mercantilism advocate for in economic policy?

Mercantilism is an economic theory that was prominent from the 16th to the 18th century and advocates for government regulation of the economy to increase state power and wealth. This theory posits that a nation's strength is directly related to its wealth, which is primarily accumulated through a favorable balance of trade. This means that countries should aim to export more than they import, thereby bringing more money into the country.

To achieve this, mercantilist policies often involve significant government intervention in various aspects of the economy. This includes the establishment and enforcement of tariffs, subsidies for domestic industries, and regulations designed to control trade routes and monopolies. By doing so, the state enhances its power and wealth, ensuring that resources are directed in a way that supports national objectives instead of individual or foreign interests. This aligns closely with the emphasized notion of enhancing state power through economic means.

In contrast, the other options reflect different economic theories or practices. Minimal government intervention corresponds to laissez-faire economics, which is not aligned with mercantilist principles. An open-market economy with free trade suggests limited regulation, which contradicts the mercantilist approach. Lastly, while self-sufficiency is a component of mercantilist thought, it isn't the core principle, as merc