-Under Adam Smith's economic system of mercantilism, colonies were established by powerful nations in order to .
A) supply raw materials to the mother country
B) produce manufactured goods needed to compete directly with markets in the mother country
C) develop a system of intercolonial commerce to strengthen their own economies
D) encourage greater exports of commercial goods to the mother country

Question

-Under Adam Smith's economic system of mercantilism, colonies were established by powerful nations in order to .
A) supply raw materials to the mother country 
B) produce manufactured goods needed to compete directly with markets in the mother country 
C) develop a system of intercolonial commerce to strengthen their own economies 
D) encourage greater exports of commercial goods to the mother country

Quizplus · Accepted Answer

Adam Smith criticized mercantilism but is often associated with the concept that colonies existed to supply raw materials to the mother country. This was a key feature of mercantilist policy, where colonies served as sources of raw materials and markets for the mother country's manufactured goods.

-Under Adam Smith's Economic System of Mercantilism, Colonies Were Established