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Under this system,
governments regulated their economic affairs to ensure that exports exceeded imports.
They placed high tariffs on imported goods to make them cost more at home, and gave
financial aid to local farms and industries so they could lower the prices of their exports.
Nations treasuries became rich by selling more goods than they bought...
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During the mid-
1700âs , a group of French economists known as physiocrats urged governments to stop
interfering in foreign trade.(World Book, 196). Their policy, called laissez faire,
demanded an end to tariffs and other trade restrictions. It was thought that a nation could
increase its wealth most rapidly by allowing free trade...
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