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
This circumstance is of the last importance to be attended to by a
statesman. Perhaps it was entirely owing to it, that industry was
enabled to set up its head in this corner. How many examples could I
give, of this assistance given to manufactures in different provinces,
where I have found the value of a day’s work, of spinning, for example,
not equal to half the nourishment of the person. This is a great
encouragement to the making of cloths; and accordingly we see some
infant manufactures dispute the market with the produce of the greatest
dexterity; the distaff dispute prices with the wheel. But when these
provinces come to be purged of their superfluous mouths, spinning
becomes a trade, and the spinners must live by it. Must not then prices
naturally rise? And if these are not supported by the statesman, or if
assistance is not given to these poor manufacturers, to enable them to
increase their dexterity, in order to compensate what they are losing in
cheapness, will not their industry fail? Will not the poor spinners be
extinguished? For it is not to be expected, that the landlord will
receive them back again from a principle of charity, after he has
discovered their former uselesness.
A third cause of a necessary augmentation upon the intrinsic value of
goods proceeds from taxes. A statesman must be very negligent indeed, if
he does not attend to the immediate consequences of his own proper
operations. I shall not enlarge on this at present, as it would be an
unnecessary anticipation; but I shall return, to resume the part of my
reasoning which I broke off abruptly.
I have observed, how the same cause which stops the progress of
industry, gives an encouragement to agriculture: how the rise in the
price of subsistence necessarily increases the price of work to an
industrious and well-employed people: how this cuts off a part of the
demand for work, or sends it to a foreign market.
Now all these consequences are entirely just, and yet they seem
contradictory to another part of my reasoning, (Book I. Chap. xvi.)
where I set forth the advantages of a prodigal consumption of the
earth’s produce as advantageous to agriculture, by increasing the price
of subsistence, without taking notice, on the other hand, of the hurt
thereby done to industry, which supports the consumption of that
produce.
The one and the other chain of consequences is equally just, and they
appear contradictory only upon the supposition, that there is no
statesman at the helm. These contradictions represent the alternate
overturn of the balance. The duty of the statesman is, to support the
double competition every where, and to permit only the gentle alternate
vibrations of the two scales.
Public-domain text, read in full here on John Shaqi.
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