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Mercantilism is an economic theory that emphasizes the accumulation of gold and silver as a means of wealth and power. It believes that a nation's wealth is measured by its gold and silver reserves, and that a positive trade balance (exporting more than importing) is essential to increase these reserves. Mercantilism was popular during the 16th to 18th centuries and shaped the policies of many European countries. However, it has been criticized for its focus on wealth accumulation at the expense of consumer welfare and economic growth.

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