Principles of Political Economy, Vol. 1Roscher, Wilhelm
History
Principles of Political Economy, Vol. 1
Roscher, Wilhelm
Economics
Conversely, the price of those portions which are most difficult of
transportation, by reason of their volume or of the difficulty of
preserving them, rises latest. To this category belongs milk, the
production of which in a fresh state can be made an object of economic
speculation, only where civilization is at its very highest, and
especially in the vicinity of large cities.(802) It is indeed possible by
its transformation into butter or cheese to preserve milk and make it
capable of transportation. But to carry on such a business for the
purposes of trade, a care and a cleanliness are needed which are national
characteristics only of a highly civilized people (§ 229), and the
preparation of a superior quality of cheese, which is always a very long
process, is conditioned by the employment of capital long in advance of a
return, and which no poor nation is in a condition to make.(803) Cows are
primarily milk-producing animals.(804) Hence their price, as a rule, rises
later than that of oxen, but, in the higher stages of civilization, it
rises much more surprisingly. Something analogous is true of those
products which result from what remains after the production of other
goods or commodities. As long as this alone supplies the demand, the cost
of production of the former commodity is almost nothing, and hence its
price is very low. For this reason hogs are relatively cheap in two very
different periods of a people’s national economy, in a very low stage of
civilization where forests are plentiful and they are fattened on acorns
and the nuts of the beech, and also when they may be considered as a
collateral product of some great industry, such as distilleries and
dairy-farming; and when raised by a numerous, especially a rural
population of small means and laborers, in order to turn to advantage, in
the former instance, the remains of production, and in the latter of
consumption.(805) Where neither of these two reasons obtains, the price of
hogs is wont to increase largely with an advance in
civilization.(806)(807)(808) (See Roscher, Nationalökonomik des
Ackerbaues, §§ 177 ff.)
Section CXXXIII.
History Of The Prices Of The Chief Wants Of Life. (Continued.)
C. Those raw materials which, from the very first, have been obtained by
the means of production properly so called, maintain a much greater
uniformity in price. In the lower stages of civilization, they are never
found permanently in excess; and as the economy of a people advances, the
growing dearth of natural forces may be more or less counterbalanced by
the greater cheapness of capital and labor. This is true, especially of
wheat. (See § 129, and Roscher, Nationalökonomik des Ackerbaues, p.
43.)(809)
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