On The Principles of Political Economy, and TaxationRicardo, David
General
On The Principles of Political Economy, and Taxation
Ricardo, David
Economics
The interest of the landlord is always opposed to that of the consumer
and manufacturer. Corn can be permanently at an advanced price, only
because additional labour is necessary to produce it; because its cost
of production is increased. The same cause invariably raises rent, it is
therefore for the interest of the landlord that the cost attending the
production of corn should be increased. This, however, is not the
interest of the consumer; to him it is desirable that corn should be low
relatively to money and commodities, for it is always with commodities
or money that corn is purchased. Neither is it the interest of the
manufacturer that corn should be at a high price, for the high price of
corn will occasion high wages, but will not raise the price of his
commodity. Not only then must more of his commodity, or, which comes to
the same thing, the value of more of his commodity, be given in exchange
for the corn which he himself consumes, but more must be given, or the
value of more, for wages to his workmen, for which he will receive no
remuneration. All classes therefore, except the landlords, will be
injured by the increase in the price of corn. The dealings between the
landlord and the public are not like dealings in trade, whereby both the
seller and buyer may equally be said to gain, but the loss is wholly on
one side, and the gain wholly on the other; and if corn could by
importation be procured cheaper, the loss in consequence of not
importing is far greater on one side, than the gain is on the other.
Adam Smith never makes any distinction between a low value of money, and
a high value of corn, and therefore infers, that the interest of the
landlord is not opposed to that of the rest of the community. In the
first case, money is low relatively to all commodities; in the other,
corn is high relatively to all. In the first, corn and commodities
continue at the same relative values, in the second, corn is higher
relatively to commodities as well as money.
Public-domain text, read in full here on John Shaqi.
Reviews
Reviews
No reviews yet
Be the first to share your thoughts on this work.
Elsewhere in the archive
Join the Discussion
Join the discussion
Sign in to leave a comment or review.
Sign InorCreate an account