Principles of Political EconomyPerry, Arthur Latham
General
Principles of Political Economy
Perry, Arthur Latham
Economics
If we reckon valuable lands as the _primary_ commodities, then the
_secondary_ commodities will be of two classes, namely, (1) the
_produce_ of these valuable lands, whether animal or vegetable or
mineral, such as cattle and cereals and coal; and (2) vendible
material products obtained by human efforts from non-valuable land and
sea, such as furs and fish. This division of material commodities into
primary and secondary, and the distinction among secondary commodities
according as their source is costly and costless, has never before
been drawn in Political Economy; and it is fully believed, that the
thoughtful reader and student will pretty soon perceive its advantages
in helping clear up one of the most confused and perplexing sections
of our Science, namely, that which relates to the causes and measures
of _Rent_. We are now to inquire into the elements of the _cost of
production_ of each of these three classes of commodities; and we may
find ourselves surprised at the simplicity and certainty of these
elements.
_1._ We will now look into the Cost of Production of valuable
land-patches themselves, the first and most important class of
commodities. Here, as everywhere else in Valuables, we discover
certain free gifts of Nature, without whose presence indeed the value
could never come into being, but which are not _constituents_ of the
value, because they are gratuitous, given of God, and because the
natural competition among buyers and sellers inevitably flings out
from all effect on value of the otherwise possible action of these
free and bountiful gifts, as have been already fully illustrated in
chapter first. No piece of land ever yet had one particle of Value
until human efforts of some sort had been expended on it or in some
connection with it, for two excellent reasons, first, no man would
ever even _think_ of saying to another in reference to such a piece of
land "Give me something for it and I will pass it over to you," and
second, even if he did think of such an absurdity the other would
reply "Why should I give you anything for something to which you have
not the least claim, especially as I can take for nothing just such
pieces all around here?" It must be remembered, not only that God gave
the whole earth to all mankind without distinction, but also that his
bountiful hand scattered all peculiar kinds of patches in great number
upon each of the Continents. There is a plenty of Utility (gratuitous)
in land-parcels just as God made them, but no possibility of Value
(onerous) till other hands than His have touched and benefited them.
Public-domain text, read in full here on John Shaqi.
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