Principles of Political Economy, Vol. 1Roscher, Wilhelm
History
Principles of Political Economy, Vol. 1
Roscher, Wilhelm
Economics
208 It is easy to see that it is the most important substances needed in
industry which are mentioned in this section. Many political
economists have considered the principal difference between
agriculture and the industries and economies of towns to lie in the
contrast here referred to. Thus, _A. Sena_, Sulle Cause che possono
far abbondare li Regni d’oro e d’argento, dove non sono miniere,
1613, I, 3. See the description of the difference between land and
machines in _Malthus_, Principles, III, 5; _Senior_, Outlines, 86.
But it is nothing more than a difference of gradation. Even in the
most active of businesses there is a limit which the accumulation of
means of production cannot pass without a relative diminution of the
income. This boundary is imposed by the limited nature of those
organic beings which must contribute to production either actively
or passively. Thus, for instance, a manufacturing establishment or
commercial business can be enlarged with advantage only so long as
it is still possible for one superintendent to conduct it. And so,
when cattle are furnished with very abundant and substantial food, a
pound of meat costs the producer a much higher price than when they
are more moderately supplied: sometimes in the ratio of 1.95:0.98.
_Boussingault_, Economie rurale, II. Where there is absolute
over-feeding, the producer must suffer loss. But, even inorganic
nature imposes its own limits here; as, for instance, when ships,
machines etc., on account of the insufficient strength of the
materials of which they are made, cannot be constructed beyond a
certain size. But all these limits are much narrower than those
imposed by the quality of immovability.
_ 209 Senior_, Outlines, 26, 81 ff. See _Stewart_, Principles, II, ch.
11; _Ortes_, E. N., I, 18, II, 18 ff. This most important principle
in Political Economy is thus illustrated by _John Stuart Mill_,
Principles, book I, ch. 12. “The limitation to production from the
properties of the soil is not like the obstacle opposed by a wall,
which stands immovable in one particular spot, and offers no
hindrance to motion short of stopping it entirely. We may rather
compare it to a highly elastic and extendible band, which is hardly
ever so violently stretched, that it could not possibly be stretched
any more, yet the pressure of which is felt long before the final
limit is reached, and felt more severely the nearer that limit is
approached.” This is, if possible, more obvious in building than in
agriculture, both as to the construction of new stories and the
excavation of deeper cellars.
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