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
Secondly, America is itself a new market, for the produce of its own
silver mines; and as its advances in agriculture, industry, and
population, are much more rapid than those of the most thriving countries
in Europe, its demand must increase much more rapidly. The English
colonies are altogether a new market, which, partly for coin, and partly
for plate, requires a continual augmenting supply of silver through a
great continent where there never was any demand before. The greater part,
too, of the Spanish and Portuguese colonies, are altogether new markets.
New Granada, the Yucatan, Paraguay, and the Brazils, were, before
discovered by the Europeans, inhabited by savage nations, who had neither
arts nor agriculture. A considerable degree of both has now been
introduced into all of them. Even Mexico and Peru, though they cannot be
considered as altogether new markets, are certainly much more extensive
ones than they ever were before. After all the wonderful tales which have
been published concerning the splendid state of those countries in ancient
times, whoever reads, with any degree of sober judgment, the history of
their first discovery and conquest, will evidently discern that, in arts,
agriculture, and commerce, their inhabitants were much more ignorant than
the Tartars of the Ukraine are at present. Even the Peruvians, the more
civilized nation of the two, though they made use of gold and silver as
ornaments, had no coined money of any kind. Their whole commerce was
carried on by barter, and there was accordingly scarce any division of
labour among them. Those who cultivated the ground, were obliged to build
their own houses, to make their own household furniture, their own
clothes, shoes, and instruments of agriculture. The few artificers among
them are said to have been all maintained by the sovereign, the nobles,
and the priests, and were probably their servants or slaves. All the
ancient arts of Mexico and Peru have never furnished one single
manufacture to Europe. The Spanish armies, though they scarce ever
exceeded five hundred men, and frequently did not amount to half that
number, found almost everywhere great difficulty in procuring subsistence.
The famines which they are said to have occasioned almost wherever they
went, in countries, too, which at the same time are represented as very
populous and well cultivated, sufficiently demonstrate that the story of
this populousness and high cultivation is in a great measure fabulous. The
Spanish colonies are under a government in many respects less favourable
to agriculture, improvement, and population, than that of the English
colonies. They seem, however, to be advancing in all those much more
rapidly than any country in Europe.
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