A History of Greek Economic ThoughtTrever, Albert Augustus
History
A History of Greek Economic Thought
Trever, Albert Augustus
Economics -- Greece -- History; Thesis (Ph. D.)
_Capital._—Aristotle is the only Greek thinker who has given a clear
definition of capital. After defining the slave as an instrument
(ὅργανον), in order to distinguish still more sharply, he differentiates
between the two kinds of wealth—that which is used for consumption, and
that which is employed for further production.[591] As an example of the
former, he uses the bed and the dress, and of the latter the weaver’s
comb (κερκίς).[592] He points out that all wealth is produced for
consumption, but that part of it is consumed indirectly in manufacture.
Here is an approach to Adam Smith’s[593] definition of capital, as “that
part of a man’s stock which he expects to afford him revenue.”
Unfortunately, however, the Greek fails to pursue his distinction
farther. The theme of his thought is, after all, not capital or
production either, but the status of the slave, though, from his
standpoint, the slave is capital. He proceeds with the very uneconomic
assertion that life consists in action (πρᾶξις), not in production
(ποίησις),[594] and concludes with the real goal of his argument, that
the slave is an assistant (ὑπερέτης), or an animate instrument in the
realm of action, not of production.[595] The slave is therefore an
instrument to increase the life or action of his master, who himself is
not represented as a producer, but as a consumer of the present stock.
Thus what bids fair to be a fruitful distinction ends in a denial of the
primary importance of production. The purpose of Aristotle is here
similar to that in some passages of Ruskin[596] and Adam Smith,[597] to
emphasize consumption rather than production.
Public-domain text, read in full here on John Shaqi.
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