This paper develops a simple mercantilism model for a small open economy and examines the real effects of macroeconomic …

countries in the world, which does not match the data very well. By introducing Zou (1994)'s viewpoints of mercantilism into the …

mercantilism. It is shown that, except for government consumption, permanent increases in the mercantilist sentiments, monetary … long-run and short-run analyses reveals the real dynamic implications of mercantilism. …