’viewsontradeIfacountrycouldachieveafavorabletradebalance(asurplusofexportsoverimports),,,,quotas,mercialpolicieswereproposedbythemercantiliststominimizeimportsinordertoprotectanation’,1554—1612Theearlystagemercantilism------ThetheoryofcurrencybalanceThomasMum,1571—1641Thelaterperiodmercantilism-----ThetheoryoftradebalanceDuringtheperiod1500-1800InEurope(England,Spain,France,Portugal,herlands)Agroupofmen(merchants,bankers,governmentofficials,andevenphilosophers),(1723–1790)aclassicaleconomist,wasleadingadvocateoffreetrade(Laissez-Faire)“InquiryintotheNatureandcausesoftheWealthofNations”1776----,-----7X+3YAfterSpecializationinproductionXproductYproductoutputLabortimeoutputLabortimeAcountry820oBcountry00635Labortime------8X+6Y>7X+modities,howtodo?-DavidRicardo(1772-1823),when,attheageof21,hemarriedaQuaker(againsthisparentswishes)
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