Mercantilism Simulation Game Review of Trade What is

Mercantilism Simulation Game

Review of Trade • What is mercantilism? • What is capitalism, or free trade/market?

Mercantilism Game • Toothpicks = Gold Bars • Britain: Manufactured Goods Dum-Dums(10) – Colonies: Raw Materials ( fish & lumber; wheat; tobacco, rice, indigo, cotton) • New England Peppermints(15) • Middle - Starburst (25) • Southern -Tootsie Rolls (15) • Spain: Manufactured Goods – Dums(10) • The Netherlands: finished products – Dums (10)

Your Task • Your goal is to acquire as much gold as possible by trading and selling your goods

Rules of Trades • Colonies (N. E. , Middle, Southern) can only trade with Euro countries (England, Spain, Netherlands) • Euro countries can only trade with colonies – Countries cannot trade with each other • 2 colonial raw materials can be traded to Europe for 1 finished product OR can be sold for 1 gold bar • 1 finished product can be traded to the Colonies for 2 raw materials OR can be sold for 2 gold bars • AFTER TRADING--trade your products to the “BANK” (Mr. Morton) for gold bars until the BANK runs out of gold

Round 1 • Begin trading for gold • During Round 1, colonies can trade with ANY European country • You have 5 minutes for trading

Who Won? • Meet with your group. Count the gold acquired by all members. • Who won? A colonial region or European country? country Why?

But Remember… • Mercantilism limited colonial trade with other European countries • During Round 2: – Spain & The Netherlands must pay 1 gold bar to England to trade with the colonies – Colonies must pay 1 gold bar to England to trade with Spain & The Netherlands

Round 2 • Rules from Round 1 apply – colonies may only trade with Europe & visa versa • However, the mercantilist policies are in place, so you must pay 1 gold bar to England to trade with the colonies if you are Spanish or Dutch or to trade with the Spanish or Dutch if you are a colonist… colonist – …only if England catches you…smugglers? • You have 3 minutes to trade

Follow-Up Discussion • How did you feel about the restrictions on trade? • Why was smuggling used by the colonists? • Who was mercantilism designed to benefit?

Reflection • Mercantilism (Round 2) is different than free-enterprise (Round 1) because…