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
But, without the bounty, it may be said the state of tillage would not
have been the same. What may have been the effects of this institution
upon the agriculture of the country, I shall endeavour to explain
hereafter, when I come to treat particularly of bounties. I shall only
observe at present, that this rise in the value of silver, in proportion
to that of corn, has not been peculiar to England. It has been observed to
have taken place in France during the same period, and nearly in the same
proportion, too, by three very faithful, diligent, and laborious
collectors of the prices of corn, Mr Dupré de St Maur, Mr Messance, and
the author of the Essay on the Police of Grain. But in France, till 1764,
the exportation of grain was by law prohibited; and it is somewhat
difficult to suppose, that nearly the same diminution of price which took
place in one country, notwithstanding this prohibition, should, in
another, be owing to the extraordinary encouragement given to exportation.
It would be more proper, perhaps, to consider this variation in the
average money price of corn as the effect rather of some gradual rise in
the real value of silver in the European market, than of any fall in the
real average value of corn. Corn, it has already been observed, is, at
distant periods of time, a more accurate measure of value than either
silver or, perhaps, any other commodity. When, after the discovery of the
abundant mines of America, corn rose to three and four times its former
money price, this change was universally ascribed, not to any rise in the
real value of corn, but to a fall in the real value of silver. If, during
the sixty-four first years of the present century, therefore, the average
money price of corn has fallen somewhat below what it had been during the
greater part of the last century, we should, in the same manner, impute
this change, not to any fall in the real value of corn, but to some rise
in the real value of silver in the European market.
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