Principles of Political Economy, Vol. 2 — John Shaqi
Principles of Political Economy, Vol. 2Roscher, Wilhelm
General
Principles of Political Economy, Vol. 2
Roscher, Wilhelm
Economics
Income is made up of products, the results of labor and of the
employment and use of resources. These products, the producer may either
consume himself or exchange against other products, to satisfy a more
urgent want.[144-2] Hence, spite of the frequency with which we hear
such expressions as these: "the laborer eats the bread of his employer;"
"the capitalist lives by the sweat of the brow of labor;" or, again, a
manufacturer or business man "lives from the income of his
customers,"[144-3] they are entirely unwarranted. No man who manages his
own affairs well, or those of a household, lives on the capital or
income of another man; but every one lives on his own income, by the
things he has himself produced; although with every further development
of the division of labor, it becomes rarer that any one puts the
finishing stroke to his own products, and can satisfy himself by their
immediate consumption alone. Hence we should call nothing diverted or
derived income except that which has been gratuitously obtained from
another.[144-4]
[Footnote 144-1: Including of course, gifts, inheritances,
lottery prizes, etc.]
[Footnote 144-2: Thus the original income of the peasant
consists in his corn, of the miller in his flour, of the
baker in his bread, of the shoemaker in his shoes. The money
which circulates among all these and the purchaser, is only
the means of exchanging that part of their products which
they cannot themselves use, for other goods. Money, on the
other hand, was the original income of the producers of the
gold or silver it contains. Compare _Mirabeau_, Philosophie
rurale, 1763, ch. 3. _Adam Smith_, II, ch. 2. But
especially, see _J. B. Say_, Traité II, ch. 1, 5; and
_Sismondi_, N. P., I, 90, 376, in which it is correctly
said, that the quality which constitutes anything capital or
income does not inhere in the thing itself, but depends on
the person. Compare, however, I, 148; _Hermann_, Staatsw.
Untersuch. 297 ff., 33 seq.]
[Footnote 144-3: A fundamental thought in _St. Chamans_, Du
Système d'Impôt, 1820. Nouvel Essai sur la Richesse des
Nations, 1824.]
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