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
CHAP. IX.
_The general consequences resulting to a trading Nation, upon the
opening of an active foreign Commerce._
Did I not intend to confine myself to very general topics in this
chapter, I might in a manner exhaust the whole subject of modern
oeconomy under this title; for I apprehend that the whole system of
modern politics is founded upon the basis of an active foreign trade.
A nation which remains passive in her commerce, is at the mercy of those
who are active, and must be greatly favoured, indeed, by natural
advantages, or by a constant flux of gold and silver from her mines, to
be able to support a correspondence, not entirely hurtful to the
augmentation of her wealth.
These things shall be more enlarged upon as we go along: the point in
hand, is, to consider the consequences of this trade, relatively to
those who are the actors in the operation.
When I look upon the wide field which here opens to my view, I am
perplexed with too great a variety of objects. In one part, I see a
decent and comely beginning of industry; wealth flowing gently in, to
recompence ingenuity; numbers both augmenting, and every one becoming
daily more useful to another; agriculture proportionally extending
itself; no violent revolutions; no exorbitant profits; no insolence
among the rich; no excessive misery among the poor; multitudes employed
in producing; great oeconomy upon consumption; and all the instruments
of luxury, daily produced by the hands of the diligent, going out of the
country for the service of strangers; not remaining at home for the
gratification of sensuality. At last the augmentations come insensibly
to a stop. Then these rivers of wealth, which were in brisk circulation
through the whole world, and which returned to this trading nation as
blood returns to the heart, only to be thrown out again by new
pulsations, begin to be obstructed in their course; and flowing abroad
more slowly than before, come to form stagnations at home. These,
impatient of restraint, soon burst out into domestic circulation. Upon
this cities swell in magnificence of buildings; the face of the country
is adorned with palaces, and becomes covered with groves; luxury shines
triumphant in every part; inequality becomes more striking to the eye;
and want and misery appear more deformed, from the contrast: even
fortune grows more whimsical in her inconstancy; the beggar of the other
day, now rides in his coach; and he who was born in a bed of state, is
seen to die in a gaol, or in an alms-house. Such are the effects of
great domestic circulation.
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