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
I have constantly in view to separate and distinguish the principles of
foreign trade, from those which only influence the advancement of an
inland commerce, and a brisk circulation: operations which produce very
different effects, equally meriting the attention of a statesman.
The very existence of foreign trade, implies a separate interest between
those nations who are found on the opposite side of the mercantile
contract, as both endeavour to make the best bargain possible for
themselves. These transactions imply a mutual dependence upon one
another, which may either be necessary or contingent. It is necessary,
when one of the nations cannot subsist without the assistance of the
other, as is the case between the province of Holland, and those
countries which supply it with grain; or contingent, when the wants of a
particular nation cannot be supplied by their own inhabitants, from a
want of skill and dexterity, only.
Wherever, therefore, one nation finds another necessarily depending upon
her for particular branches of traffic, there is a certain foundation
for foreign trade; where the dependence is contingent, there is occasion
for management, and for the hand of an able statesman.
The best way to preserve every advantage, is, to examine in how far they
are necessary, and in how far they are only contingent, to consider in
what respect the nation may be most easily rivalled by her neighbours,
and in what respect she has natural advantages which cannot be taken
from her.
The natural advantages are chiefly to be depended on: France, for
example, can never be rivalled in her wines. Other countries may enjoy
great advantages from their situation, mines, rivers, sea ports,
fishing, timber, and certain productions proper to the soil. If you
abstract from these natural advantages, all nations are upon an equal
footing as to trade. Industry and labour are no properties attached to
place, any more than oeconomy and sobriety.
This proposition may be called in question, upon the principles of M. de
Montesquieu, who deduces the origin of many laws, customs, and even
religions, from the influence of the climate. That great man reasoned
from fact and from experience, and from the power and tendency of
natural causes, to produce certain effects when not checked by other
circumstances; but in my method of treating this subject, I suppose
these causes never to be allowed to produce their natural and immediate
effects, when such effects would be followed by a political
inconvenience: because I constantly suppose a statesman at the head of
government, who makes every circumstance concur in promoting the
execution of the plan he has laid down.
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