Principles of Political Economy, Vol. 1Roscher, Wilhelm
History
Principles of Political Economy, Vol. 1
Roscher, Wilhelm
Economics
If, now, we were to estimate the resources of an entire people, or even of
the world, by summing up the value in exchange of their several component
parts, many very important elements would be left out of the account
entirely; as for instance, harbors, navigable streams, numberless
relations which have, indeed, no value in exchange whatever, but which are
of the highest importance, because promotive of the economy of the nation.
The same may be said of made roads of every description, the
politico-economical value of which may be much greater than the value in
exchange of their stock, than their cost of production etc. The increase
of the value in exchange of any of the branches of the resources of a
physical or legal person contributes towards really enriching the nation
or the world, only in case that the increased value in exchange is based
on an increased utility in quality or quantity. Should an earthquake
suddenly dry up a number of our springs, and thus give value in exchange
to the drinking water from the remaining ones, we should, indeed, witness
the introduction of a new object into the list of exchangeable goods; the
owners of springs would be able to command a larger portion of the
national resources, but at the expense of the rest of the population; and
the whole country would have become poorer in goods by the catastrophe.
Even the value in exchange of the national resources would not be
increased; for all other goods, which, hitherto, as compared with water,
had an unlimited capacity for exchange, would lose just as much of that
capacity as water had gained, as compared with them.(94) On the other
hand, if a new mineral spring should be discovered, the great value in use
of the water of which gave it value in exchange, the resources of the
nation would be really increased, not only in point of utility, but in
exchange value; for no other goods, formerly known, would, in consequence
of the discovery, lose in their exchange power.(95)
Section IX.
Wealth.
The possession of large and also of potentially lasting resources;
objectively, such resources themselves, we call wealth. But it must be
large in a two-fold sense; large as compared with the rational wants of
its possessor, and large, also, as compared with the resources of other
people, especially with the resources of those in the same condition of
life. To be called rich, it is not enough “to have a sufficiency,” (the
individual side); it is necessary to have more than others.(96) If all men
were possessed of a great deal, but all of an exactly equal amount, each
would be compelled, it may be conjectured, to be his own chimney-sweep,
his own scavenger and “boot-black.” And how could anyone, then, be
properly called wealthy? This is the social side of the idea of
wealth.(97) Hence, a person, with the same resources, might be very
wealthy in a provincial town, while, in the capital, he could enjoy only
moderate comfort.(98)
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