Mercantilism of the 21th Century

Abstract

This article aims to study the conceptual framework of mercantilism that is a classic and important theory under the concept of international political economy. It is qualitative research (Documentary research) by using a study method from documents in the form of books, journals, articles, thesis, related academic documents and websites to analyze the data and draw conclusions from the research. The study was only the mercantilism in order to (1) understand the background of the concept of mercantilism, (2) to understand the concept of the mercantilism and (3) to understand and analyze the key principles of mercantilism. From the study, it was found that concept of mercantilism was made in Europe in the 15^th century that it was a theory of power generation. Moreover, the security of the state emphasis on three issues; First, security of the role in the state and the market. Second, one party gains and the other loses and the last, achievement of the goal of a state with more power and wealth that will occupy an inferior country, called colonization. The main concepts of mercantilism are (1) silver and gold metals act as collectors, that is accumulated the wealth of the country, (2) Nationalism, believed that a nation or a country if more important than the person emphasis, is placed on the country or the nation, (3) International trade, it is an important way to increase wealth and power to the country. It is a monopoly trade and closely controlled. That is, states must implement trade policies that make exports more than imports, and (4) Colonial pursuits, the country will be able to benefit accumulated wealth and maintain stability by taking advantage of other countries. Therefore, this creates wealth and eventually lead to a superpower country.