The Measure of Value Stated and Illustrated: With an Application of it to the Alterations in the Value of the English Currency since 1790 — John Shaqi
The Measure of Value Stated and Illustrated: With an Application of it to the Alterations in the Value of the English Currency since 1790Malthus, T. R. (Thomas Robert)
General
The Measure of Value Stated and Illustrated: With an Application of it to the Alterations in the Value of the English Currency since 1790
Malthus, T. R. (Thomas Robert)
Currency question -- Great Britain; Value
2dly. It appears from the Table, that given the produce obtained by ten
men, then as corn wages rise, the value of the produce will fall, or
command less labour; and the constant value of the advances in labour
absorbing a larger proportion of the value of the produce, profits will
fall in proportion. But when more is produced by the same number of
persons, then unless the corn wages rise so high as exactly to balance
it, the value of the whole produce is increased, and the rate of
profits and corn wages may both rise at the same time. Thus while the
produce is 130 quarters, as labour rises from ten to twelve quarters,
profits fall in an opposite direction from 30 per cent. to 8.3. per
cent.; but if we compare the wages of labour when the produce is 130
quarters, with the wages of labour when the produce is 150, it appears
that labour may rise from twelve to thirteen quarters, at the same time
that profits rise from 8.3. to 15.38.
A third result illustrated in the Table is, that labour being constant,
all commodities into which profits enter, which may be said to be
nearly the whole mass, must fall on the fall of profits, and among
these will, of course, be found metallic money. Supposing, therefore,
money always to require in its production the same quantity of labour
and capital, it will regularly fall in value in the progress of
cultivation and population; while labour being uniform in value will
rise in money price,[J] and the demand for corn increasing, compared
with the demand for labour, the money price of corn will probably rise
still more. But if the labourers were paid at all times exactly the
same quantity of corn, (which, however, cannot be the case,) the value
of corn, like the value of wages, would be constant, and the variations
of fertility would only show themselves in the enormous variations of
profits.
Thus, when labour is paid at ten quarters each man, the numbers in the
eighth column, or the value of a given quantity of corn, must, it is
obvious, always be the same, whatever be the quantity produced; and
when the land is fertile, the small quantity of labour required to
produce ten quarters is balanced by the great profits which appear in
the fourth column.
In the actual state of things, corn generally rises in the progress
of cultivation, not only nominally, but really, as may be seen in the
eighth column, while labour, it is evident, can only rise nominally.
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