The benefits of mercantilism include increased employment, the development of new technologies and products, and positive cultural exchanges as mercantilist nations seek new markets and raw material sources, whereas the disadvantages of the system include increased conflict between nations, growth in trade protectionism and the development of trade monopolies. The Library of Economics and Liberty defines mercantilism as a form of nationalism aimed at building a wealthy and powerful state.Know More
The philosophy is based on the belief that maximizing exports and minimizing imports is the best route to national prosperity. Mercantilism dominated the economic policies of many European countries from the period between the 16th century and the late 18th century. According to the Library of Economics and Liberty, the philosophy led to the reduction of barter trade as countries switched to bullion-based monetary systems. Mercantilism also sparked a huge increase in the volume and breadth of trade between countries, and it contributed to the growth of colonialism. A gradual decline in the contribution of agriculture to national wealth was another result of the policy. Mercantilism contributed to the development of full-time standing armies and navies because mercantilist nations scrambled to protect markets and sources of raw materials.
The philosophy is largely discredited. As explained by Wikipedia, its fall from grace can be traced to the rise in importance of capitalism, a philosophy championed by Adam Smith. He is considered by many as the father of modern economics.Learn more about Economics
According to The Nest, the main advantage of the barter system is its flexibility, which enables the exchange of one product for another. Bartering also helps save money that may have otherwise been used to travel to a shop to buy an item. In some cases, bartering does not entail exchanging or losing the possession of an item. In such cases, service such as maintenance is exchanged for a good.Full Answer >
Fascism refers to the totalitarian form of government that was popular in Europe in the early 1900s, most notably in Nazi Germany and Mussolini's Italy; while the horrors have emerged most loudly from that part of history, the advantages of civil order were among the benefits that those people thought the rule of Hitler and Mussolini would bring to their nations.Full Answer >
Some advantages of tourism are job creation, expansion of local infrastructure, such as roads, public transportation and sanitation facilities, and education of tourists. Meanwhile, many advantages are also disadvantages. For example, job creation does occur, but many of these jobs tend to be menial and offer little chance of advancement; the jobs that do offer upward movement are often filled from outside.Full Answer >
Break-even analysis allow managers to better determine what their goals should be, but it can cause them to not consider other factors. It is a core component of making business decisions. However, it must be used cautiously.Full Answer >