An Inquiry into the Nature and Causes of the Wealth of NationsSmith, Adam
History
An Inquiry into the Nature and Causes of the Wealth of Nations
Smith, Adam
Economics
In every state of society, in every stage of improvement, corn is the
production of human industry. But the average produce of every sort of
industry is always suited, more or less exactly, to the average
consumption; the average supply to the average demand. In every different
stage of improvement, besides, the raising of equal quantities of corn in
the same soil and climate, will, at an average, require nearly equal
quantities of labour; or, what comes to the same thing, the price of
nearly equal quantities; the continual increase of the productive powers
of labour, in an improved state of cultivation, being more or less
counterbalanced by the continual increasing price of cattle, the principal
instruments of agriculture. Upon all these accounts, therefore, we may
rest assured, that equal quantities of corn will, in every state of
society, in every stage of improvement, more nearly represent, or be
equivalent to, equal quantities of labour, than equal quantities of any
other part of the rude produce of land. Corn, accordingly, it has already
been observed, is, in all the different stages of wealth and improvement,
a more accurate measure of value than any other commodity or set of
commodities. In all those different stages, therefore, we can judge better
of the real value of silver, by comparing it with corn, than by comparing
it with any other commodity or set of commodities.
Corn, besides, or whatever else is the common and favourite vegetable food
of the people, constitutes, in every civilized country, the principal part
of the subsistence of the labourer. In consequence of the extension of
agriculture, the land of every country produces a much greater quantity of
vegetable than of animal food, and the labourer everywhere lives chiefly
upon the wholesome food that is cheapest and most abundant. Butcher’s
meat, except in the most thriving countries, or where labour is most
highly rewarded, makes but an insignificant part of his subsistence;
poultry makes a still smaller part of it, and game no part of it. In
France, and even in Scotland, where labour is somewhat better rewarded
than in France, the labouring poor seldom eat butcher’s meat, except upon
holidays, and other extraordinary occasions. The money price of labour,
therefore, depends much more upon the average money price of corn, the
subsistence of the labourer, than upon that of butcher’s meat, or of any
other part of the rude produce of land. The real value of gold and silver,
therefore, the real quantity of labour which they can purchase or command,
depends much more upon the quantity of corn which they can purchase or
command, than upon that of butcher’s meat, or any other part of the rude
produce of land.
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