An Inquiry into the Principles of Political Oeconomy (Vol. 1 of 2): Being an essay on the science of domestic policy in free nations. In which are particularly considered population, agriculture, trade, industry, money, coin, interest, circulation, banks, exchange, public credit, and taxesSteuart, James, Sir
History
An Inquiry into the Principles of Political Oeconomy (Vol. 1 of 2): Being an essay on the science of domestic policy in free nations. In which are particularly considered population, agriculture, trade, industry, money, coin, interest, circulation, banks, exchange, public credit, and taxes
Steuart, James, Sir
Economics
The establishment of trade and industry naturally rectifies this
misapplication of agriculture, by purging the land of superfluous
mouths, and thereby reduces it, as it ought to be, to a trade calculated
to furnish a surplus, which comes to be sold for the labour of all the
industrious. It is this alone which can rivet the bond of general
dependence among free men who must live by their industry; by making one
part laborious farmers, and the other ingenious tradesmen and
manufacturers. It is by the vibration of the balance between these two
classes, that multiplication and agriculture are carried to their
height. When industry goes on too fast, free hands multiply above the
standard, that is, their scale sinks; this raises the price of food, and
gives an additional encouragement to agriculture: when this again
becomes the more weighty, food becomes plentiful and cheap, then numbers
augment a-new. These reflections lead me to consider the effects of
plentiful and scarce years in modern times, when famines are almost
things unknown; and I conclude,
[Sidenote: CHAP. XVII.]
That were plentiful years more common, mankind would be more numerous;
that were scarce years more frequent, numbers would diminish. Then
applying this observation to the state of exportations of grain from
England, I am tempted to infer, that this kingdom, the most fertile
perhaps in Europe, has never been found to produce, in one year,
eighteen months full subsistence for all its inhabitants; nor ever less
than ten months scanty provision in the years of the greatest sterility.
[Sidenote: CHAP. XVIII.]
When a country is fully peopled and continues to be industrious, food
will come from abroad. When a loaf is to be had, the rich will eat it,
though at the distance of a mile; and the poor may starve, though at the
next door. It is the demand of the rich, who multiply as much as they
incline, which encourages agriculture even in foreign nations; therefore
I conclude, that this multiplication is the cause, and that the progress
of agriculture is but the effect of it.
A country once fully stocked may diminish in numbers, and still remain
stocked. This must proceed from a change in the manner of living; as
when an indolent people quit the consumption of the more abundant
productions of the earth, to seek after delicacies. On the other hand,
the industrious bring an additional supply from abroad, and by
furnishing strangers with the produce of their labour, they still go on
and increase in numbers. This is the case of Holland: and this scheme
will go on, until abuses at home raise the price of labour; and
experience abroad, that universal school mistress, teaches foreigners to
profit of their own advantages.
When food ceases to be augmented, numbers come to a stand; but trade may
still go on and increase wealth: this will hire armies of foreigners; so
the traders may read of their own battles, victories, and trophies, and
by spending their money, never smell gunpowder.
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