Mercantilism is an economic theory and practice common in Europe from the 16th to the 18th century
that promoted governmental regulation of a nation’s
economy for the purpose of augmenting state power at the expense of rival national powers. In particular, it demands a positive balance of trade. It was the economic counterpart of political absolutism.The main goal was to increase a nation's wealth by imposing government regulation concerning all of the nation's commercial interests. It was believed that national strength could be maximized by limiting imports via tariffs and maximizing exports.Mercantilism was a cause of frequent European wars in that time and motivated colonial expansion.