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
But as we have observed in the first book, the thing is impossible,
while marriage subsists on the present footing. From this one
circumstance, the condition of the industrious of the same profession,
is rendred totally different. Some are loaded with a family, others are
not. The only expedient, therefore, for a statesman, is to keep the
general principles constantly in his eye, to destroy this competition as
much as he can, at least in branches of exportation; to avoid, in his
administration, every measure which may tend to promote it, by
constituting a particular advantage in favour of some individuals of the
same class; and if the management of public affairs, necessarily implies
such inconveniencies, he must find out a way of indemnifying those who
suffer by the competition.
We may therefore, in this place, lay down two principles: First, that no
competition should be _encouraged_ among those who labour for a
_physical-necessary_; secondly, that in a state which flourishes by her
foreign trade, competition is to be encouraged in every branch of
exportation, until the competitors have reduced one another within the
limits of that necessary.
Farther, I must observe, that this _physical-necessary_ ought to be the
highest degree of ease, which any one should be able to acquire with
labour and industry, where no peculiar ingenuity is required. This also
is a point deserving the attention of a statesman. How frequently do we
find, in great cities, different employments, such as carrying of water,
and other burthens, sawing of wood, &c. erected into confraternities,
which prevent competition, and raise profits beyond the standard of the
_physical-necessary_. This, I apprehend, is a discouragement to
ingenuity, and has the bad effect of rendring living dear, without
answering any one of the intentions of establishing corporations, as
shall be shewn in another place. The _physical-necessary_, therefore,
ought to be the reward of _labour_ and _industry_; whatever any workman
gains above this standard, ought to be in consequence of his superior
_ingenuity_.
It is not at all necessary to prescribe the limits between these two
classes; they will sufficiently distinguish themselves by the simple
operation of competition. Let a particular person fall upon an ingenious
invention, he will profit by it, and rise above the lower classes which
are confined to the physical-necessary; but if the invention be such as
may be easily copied, he will quickly be rivalled to such a degree as to
reduce his profits within the bounds of that _physical-necessary_; so
soon as this comes to be the case, his _ingenuity_ disappears, because
it ceases to be _peculiar_ to him.
Here arises a question: whence does it happen that certain workmen avoid
this competition, and make considerable gains by their employment, while
others are rivalled in their endeavours to retain a bare
physical-necessary?
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