An Inquiry Into the Nature and Causes of the Wealth of NationsSmith, Adam
General
An Inquiry Into the Nature and Causes of the Wealth of Nations
Smith, Adam
Economics
therefore, that Seius[22] bought a white nightingale, as a present for
the empress Agrippina, at the price of six thousand sestertii, equal to
about fifty pounds of our present money; and that Asinius Celer[23]
purchased a surmullet at the price of eight thousand sestertii, equal to
about sixty-six pounds thirteen shillings and fourpence of our present
money; the extravagance of those prices, how much soever it may surprise
us, is apt, notwithstanding, to appear to us about one third less than
it really was. Their real price, the quantity of labour and subsistence
which was given away for them, was about one-third more than their
nominal price is apt to express to us in the present times. Seius gave
for the nightingale the command of a quantity or labour and subsistence,
equal to what L.66 : 13 : 4d. would purchase in the present times; and
Asinius Celer gave for a surmullet the command of a quantity equal to
what L.88 : 17 : 9d. would purchase. What occasioned the extravagance of
those high prices was, not so much the abundance of silver, as the
abundance of labour and subsistence, of which those Romans had the
disposal, beyond what was necessary for their own use. The quantity of
silver, of which they had the disposal, was a good deal less than what
the command of the same quantity of labour and subsistence would have
procured to them in the present times.
_Second sort._--The second sort of rude produce, of which the price
rises in the progress of improvement, is that which human industry can
multiply in proportion to the demand. It consists in those useful plants
and animals, which, in uncultivated countries, nature produces with such
profuse abundance, that they are of little or no value, and which, as
cultivation advances, are therefore forced to give place to some more
profitable produce. During a long period in the progress of improvement,
the quantity of these is continually diminishing, while, at the same
time, the demand for them is continually increasing. Their real value,
therefore, the real quantity of labour which they will purchase or
command, gradually rises, till at last it gets so high as to render them
as profitable a produce as any thing else which human industry can raise
upon the most fertile and best cultivated land. When it has got so high,
it cannot well go higher. If it did, more land and more industry would
soon be employed to increase their quantity.
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