Thomas Mun advocated the effective principles of Mercantilism. He stated that a country can stay wealthy and achieve economic stability only when the exports increase than the imports.
England faced a trade deficit which meant that England’s East India Company was importing large quantities of goods from India and sent precious metals in return which made the England’s economy fall in short of precious metals like silver.
He envisaged certain principles to stabilize the economy financially. He stated that a country has to increase the exports and reduce the export duties on the domestically produced goods. He also stated that wilderness and barren lands must be occupied for producing goods domestically than resorting to import them from other countries. Shipping and transportation should be based on English vessels and not by any other means.
