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
At the end of the accounts annexed to this chapter the reader will find
the particular account of those ten years separated from the rest. He will
find there, too, the particular account of the preceding ten years, of
which the average is likewise below, though not so much below, the general
average of the sixty-four first years of the century. The year 1740,
however, was a year of extraordinary scarcity. These twenty years
preceding 1750 may very well be set in opposition to the twenty preceding
1770. As the former were a good deal below the general average of the
century, notwithstanding the intervention of one or two dear years; so the
latter have been a good deal above it, notwithstanding the intervention of
one or two cheap ones, of 1759, for example. If the former have not been
as much below the general average as the latter have been above it, we
ought probably to impute it to the bounty. The change has evidently been
too sudden to be ascribed to any change in the value of silver, which is
always slow and gradual. The suddenness of the effect can be accounted for
only by a cause which can operate suddenly, the accidental variations of
the seasons.
The money price of labour in Great Britain has, indeed, risen during the
course of the present century. This, however, seems to be the effect, not
so much of any diminution in the value of silver in the European market,
as of an increase in the demand for labour in Great Britain, arising from
the great, and almost universal prosperity of the country. In France, a
country not altogether so prosperous, the money price of labour has, since
the middle of the last century, been observed to sink gradually with the
average money price of corn. Both in the last century and in the present,
the day wages of common labour are there said to have been pretty
uniformly about the twentieth part of the average price of the septier of
wheat; a measure which contains a little more than four Winchester
bushels. In Great Britain, the real recompence of labour, it has already
been shewn, the real quantities of the necessaries and conveniencies of
life which are given to the labourer, has increased considerably during
the course of the present century. The rise in its money price seems to
have been the effect, not of any diminution of the value of silver in the
general market of Europe, but of a rise in the real price of labour, in
the particular market of Great Britain, owing to the peculiarly happy
circumstances of the country.
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