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 beg therefore, that at present my reasoning be carried no further
(from inductions and suppositions) than my intention is that it should
be. I am no patron, either of vice, profusion, or the dissipation of
private fortunes; although _I may now and then reason very cooly upon
the political consequences of such diseases in a state, when I only
consider the influence they have as to feeding and multiplying a
people_. My subject is too extensive of itself to admit of being
confounded with the doctrine either of morals, or of government,
however closely these may appear connected with it; and did I not
begin by simplifying ideas as much as possible, and by banishing
combinations, I should quickly lose my way, and involve myself in
perplexities inextricable.
By MONEY, I understand _any commodity, which purely in itself is of no
material use to man for the purposes above-mentioned, but which acquires
such an estimation from his opinion of it, as to become the universal
measure of what is called value, and an adequate equivalent for any
thing alienable_.
Here a new scene opens. This money must be found in the hands of some of
the inhabitants; naturally, of such as have had the wit to invent it,
and the address to make their countrymen fond of it, by representing it
as an equivalent value for food and necessaries; that is to say, the
means of procuring, without work or toil, not only the labour of others,
but food itself.
Here then is produced a new object of want. Every person becomes fond of
having money; but how to get it is the question. The proprietors will
not give it for nothing, and by our former supposition every one within
the society was understood to be abundantly supplied with food and
necessaries; the farmers, from their labouring the ground; the free
hands, by the return of their own ingenuity, in furnishing necessaries.
The proprietors therefore of this money have all their wants supplied,
and still are possessors of this new kind of riches, which we now
suppose to be coveted by all.
The natural consequence here will be, that those who have the money will
cease to labour, and yet will consume; and they will not consume for
nothing, for they will pay with money.
Here then is a number of inhabitants, who live and consume the produce
of the earth without labouring: food will soon become scarce; demand for
it will rise, and that will be paid with money; this is the best
equivalent of all; many will run to the plough; the superfluity of the
farmers will augment; the rich will call for superfluities; the free
hands will supply them, and demand food in their turn. These will not be
found a burden on the husbandmen, as formerly; the rich, who hired of
them their labour or service, must pay them with money, and this money
in their hands will serve as an equivalent for the superfluity of
nourishment produced by additional agriculture.
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