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
When we treat of a virtuous people applying to trade and industry, let
us consider their _interest_ only, in preserving those sentiments; and
examine the political evil of their falling off from them. When we treat
of a luxurious nation, where the not-working part is given to excesses
in all kinds of consumption, and the working part to labour and
ingenuity, in order to supply them, let us examine the consequences of
such a spirit, with respect to foreign trade: and if we find, that a
luxurious turn in the rich is prejudicial thereto, let us try to
discover the methods of engaging the inhabitants to correct their
manners from a motive of self-interest. These things premised,
I shall now give a short sketch of the general principles upon which a
system of foreign trade may be established and preserved as long as
possible, and of the methods by which it may be again recovered, when,
from the natural advantages and superior ability of administration in
rival nations, (not from vices at home) a people have lost for a time
every advantage they used to draw from their foreign commerce.
The first general principle is to employ, as usefully as possible, a
certain number of the society, in producing objects of the first
necessity, always more than sufficient to supply the inhabitants; and to
contrive means of enabling every one of the free hands to procure
subsistence for himself, by the exercise of some species of industry.
These first objects compassed, I consider the people as abundantly
provided with what is purely necessary; and also with a surplus prepared
for an additional number of free hands, so soon as a demand can be
procured for their labour. In the mean time, the surplus will be an
article of exportation; but no sooner will demand come from abroad, for
a greater quantity of manufactures than formerly, than such demand will
have the effect of gradually multiplying the inhabitants up to the
proportion of the surplus above mentioned, provided the statesman be all
along careful to employ these additional numbers, which an useful
multiplication must produce, in supplying the additional demand: then
with the equivalent they receive from strangers, they will at the same
time enrich the country, and purchase for themselves that part of the
national productions which had been permitted to be exported, only for
want of a demand for it at home.
He must, at the same time, continue to give proper encouragement to the
advancement of agriculture, that there may be constantly found a surplus
of subsistence (for without a surplus there can never be enough) this
must be allowed to go abroad, and ought to be considered as the
provision of those industrious hands which are yet unborn.
Public-domain text, read in full here on John Shaqi.
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