At the end of the 15th century, absolute monarchs ruled in almost every country in Europe. The monarchs of Spain, France, Portugal, England, the Holy Roman Empire, and other areas centralized the power in their countries by raising large armies, controlling the people of their countries through harsh laws and military force, and tied their rule to God through the theory of divine right.
Absolute monarchs and the officials working in their governments followed an economic policy that we now call mercantilism. Mercantilists believed that a country was strongest if it had a lot of gold and silver, so monarchs did everything they could to get it. There were two methods for filling their treasuries with gold and silver:
Maintain a Favorable Balance
Absolute monarchs and the officials working in their governments followed an economic policy that we now call mercantilism. Mercantilists believed that a country was strongest if it had a lot of gold and silver, so monarchs did everything they could to get it. There were two methods for filling their treasuries with gold and silver:
Maintain a Favorable Balance