Principles of Political Economy: Abridged with Critical, Bibliographical, and Explanatory Notes, and a Sketch of the History of Political EconomyMill, John Stuart
PhilosophyPhilosophy
Principles of Political Economy: Abridged with Critical, Bibliographical, and Explanatory Notes, and a Sketch of the History of Political Economy
Mill, John Stuart
Economics
“With few exceptions, the works produced in the United States have been
prepared as text-books(89) by authors engaged in college instruction, and
therefore chiefly interested in bringing principles previously worked out
by others within the easy comprehension of undergraduate students.”(90) Of
these exceptions, Alexander H. Everett’s “New Ideas on Population”(91)
(1822), forms a valuable part in the discussion which followed the
appearance of Malthus’s “Essay.” The writer, however, who has drawn most
attention, at home and abroad, for a vigorous attack on the doctrines of
Ricardo is Henry Charles Carey.(92) Beginning with “The Rate of Wages”
(1835), he developed a new theory of value (see “Principles of Political
Economy,” 1837-1840), “which he defined as a measure of the resistance to
be overcome in obtaining things required for use, or the measure of the
power of nature over man. In simpler terms, value is measured by the cost
of reproduction. The value of every article thus declines as the arts
advance, while the general command of commodities constantly increases.
This causes a constant fall in the value of accumulated capital as
compared with the results of present labor, from which is inferred a
tendency toward harmony rather than divergence of interests between
capitalist and laborer.” This theory of value(93) he applied to land, and
even to man, in his desire to give it universality. He next claimed to
have discovered a law of increasing production from land in his “Past,
Present, and Future” (1848), which was diametrically opposed to Ricardo’s
law of diminishing returns. His proof was an historical one, that in fact
the poorer, not the richer lands, were first taken into cultivation. This,
however, did not explain the fact that different grades of land are
simultaneously under cultivation, on which Ricardo’s doctrine of rent is
based. The constantly increasing production of land naturally led Carey to
believe in the indefinite increase of population. He, however, was
logically brought to accept the supposed law of an ultimate limit to
numbers suggested by Herbert Spencer, based on a diminution of human
fertility. He tried to identify physical and social laws, and fused his
political economy in a system of “Social Science” (1853), and his “Unity
of Law” (1872). From about 1845 he became a protectionist, and his
writings were vigorously controversial. In his doctrines on money he is
distinctly a mercantilist;(94) but, by his earnest attacks on all that has
been gained in the science up to his day, he has done a great service in
stimulating inquiry and causing a better statement of results. While
undoubtedly the best known of American writers, yet, because of a prolix
style and an illogical habit of mind, he has had no extended influence on
his countrymen.(95)
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