A Discourse of Trade, from England unto the East Indies

Thomas Mun's A Discourse of Trade, from England unto the East Indies (1621) is a foundational text in mercantilist economic theory. Mun argued that England's wealth was primarily measured by its gold reserves and advocated for government regulation of trade to ensure exports exceeded imports. He contended that exporting bullion was not detrimental to the economy, as long as the total value of exports surpassed imports. This was because the re-export of goods purchased with that bullion could generate greater wealth for the nation. Mun's ideas, particularly his focus on the balance of trade, significantly influenced economic thought, though later economists like Adam Smith would challenge the mercantilist emphasis on hoarding gold.1