An Inquiry into the Nature and Causes of the Wealth of Nations by Adam Smith (ebook reader macos .TXT) π
The causes of this improvement in the productive powers of labour, and the order according to which its produce is naturally distributed among the different ranks and conditions of men in the society, make the subject of the first book of this Inquiry.
Whatever be the actual state of the skill, dexterity, and judgment, with which labour is applied in any nation, the abundance or scantiness of its annual supply must depend, during the continuance of that state, upon the proportion between the number of those who are annually employed in useful labour, and that of those who are not so employed. The number of us
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- Author: Adam Smith
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hundred or a thousand men. He is at all times, therefore, surrounded with a
multitude of retainers and dependants, who, having no equivalent to give in
return for their maintenance, but being fed entirely by his bounty, must
obey him, for the same reason that soldiers must obey the prince who pays
them. Before the extension of commerce and manufactures in Europe, the
hospitality of the rich and the great, from the sovereign down to the
smallest baron, exceeded every thing which, in the present times, we can
easily form a notion of Westminster-hall was the dining-room of William
Rufus, and might frequently, perhaps, not be too large for his company. It
was reckoned a piece of magnificence in Thomas Becket, that he strewed the
floor of his hall with clean hay or rushes in the season, in order that the
knights and squires, who could not get seats, might not spoil their fine
clothes when they sat down on the floor to eat their dinner. The great Earl
of Warwick is said to have entertained every day, at his different manors,
30,000 people ; and though the number here may have been exaggerated, it
must, however, have been very great to admit of such exaggeration. A
hospitality nearly of the same kind was exercised not many years ago in many
different parts of the Highlands of Scotland. It seems to be common in all
nations to whom commerce and manufactures are little known. I have seen,
says Doctor Pocock, an Arabian chief dine in the streets of a town where he
had come to sell his cattle, and invite all passengers, even common
beggars, to sit down with him and partake of his banquet.
The occupiers of land were in every respect as dependent upon the great
proprietor as his retainers. Even such of them as were not in a state of
villanage, were tenants at will, who paid a rent in no respect equivalent to
the subsistence which the land afforded them. A crown, half a crown, a
sheep, a lamb, was some years ago, in the Highlands of Scotland, a common
rent for lands which maintained a family. In some places it is so at this
day; nor will money at present purchase a greater quantity of commodities
there than in other places. In a country where the surplus produce of a
large estate must be consumed upon the estate itself, it will frequently be
more convenient for the proprietor, that part of it be consumed at a
distance from his own house, provided they who consume it are as dependent
upon him as either his retainers or his menial servants. He is thereby saved
from the embarrassment of either too large a company, or too large a family.
A tenant at will, who possesses land sufficient to maintain his family for
little more than a quit-rent, is as dependent upon the proprietor as any
servant or retainer whatever, and must obey him with as little reserve. Such
a proprietor, as he feeds his servants and retainers at his own house, so he
feeds his tenants at their houses. The subsistence of both is derived from
his bounty, and its continuance depends upon his good pleasure.
Upon the authority which the great proprietors necessarily had, in such a
state of things, over their tenants and retainers, was founded the power of
the ancient barons. They necessarily became the judges in peace, and the
leaders in war, of all who dwelt upon their estates. They could maintain
order, and execute the law, within their respective demesnes, because each
of them could there turn the whole force of all the inhabitants against the
injustice of anyone. No other person had sufficient authority to do this.
The king, in particular, had not. In those ancient times, he was little more
than the greatest proprietor in his dominions, to whom, for the sake of
common defence against their common enemies, the other great proprietors
paid certain respects. To have enforced payment of a small debt within the
lands of a great proprietor, where all the inhabitants were armed, and
accustomed to stand by one another, would have cost the king, had he
attempted it by his own authority, almost the same effort as to extinguish a
civil war. He was, therefore, obliged to abandon the administration of
justice, through the greater part of the country, to those who were capable
of administering it; and, for the same reason, to leave the command of the
country militia to those whom that militia would obey.
It is a mistake to imagine that those territorial jurisdictions took their
origin from the feudal law. Not only the highest jurisdictions, both civil
and criminal, but the power of levying troops, of coining money, and even
that of making bye-laws for the government of their own people, were all
rights possessed allodially by the great proprietors of land, several
centuries before even the name of the feudal law was known in Europe. The
authority and jurisdiction of the Saxon lords in England appear to have been
as great before the Conquest as that of any of the Norman lords after it.
But the feudal law is not supposed to have become the common law of England
till after the Conquest. That the most extensive authority and jurisdictions
were possessed by the great lords in France allodially, long before the
feudal law was introduced into that country, is a matter of fact that admits
of no doubt. That authority, and those jurisdictions, all necessarily flowed
from the state of property and manners just now described. Without
remounting to the remote antiquities of either the French or English
monarchies, we may find, in much later times, many proofs that such effects
must always flow from such causes. It is not thirty years ago since Mr
Cameron of Lochiel, a gentleman of Lochaber in Scotland, without any legal
warrant whatever, not being what was then called a lord of regality, nor
even a tenant in chief, but a vassal of the Duke of Argyll, and with out
being so much as a justice of peace, used, notwithstanding, to exercise the
highest criminal jurisdictions over his own people. He is said to have done
so with great equity, though without any of the formalities of justice; and
it is not improbable that the state of that part of the country at that time
made it necessary for him to assume this authority, in order to maintain the
public peace. That gentleman, whose rent never exceeded οΏ½500 a-year,
carried, in 1745, 800 of his own people into the rebellion with him.
The introduction of the feudal law, so far from extending, may be regarded
as an attempt to moderate, the authority of the great allodial lords. It
established a regular subordination, accompanied with a long train of
services and duties, from the king down to the smallest proprietor. During
the minority of the proprietor, the rent, together with the management of
his lands, fell into the hands of his immediate superior ; and,
consequently, those of all great proprietors into the hands of the king, who
was charged with the maintenance and education of the pupil, and who, from
his authority as guardian, was supposed to have a right of disposing of him
in marriage, provided it was in a manner not unsuitable to his rank. But
though this institution necessarily tended to strengthen the authority of
the king, and to weaken that of the great proprietors, it could not do
either sufficiently for establishing order and good government among the
inhabitants of the country; because it could not alter sufficiently that
state of property and manners from which the disorders arose. The authority
of government still continued to be, as before, too weak in the head, and
too strong in the inferior members; and the excessive strength of the
inferior members was the cause of the weakness of the head. After the
institution of feudal subordination, the king was as incapable of
restraining the violence of the great lords as before. They still continued
to make war according to their own discretion, almost continually upon one
another, and very frequently upon the king; and the open country still
continued to be a scene of violence, rapine, and disorder.
But what all the violence of the feudal institutions could never have
effected, the silent and insensible operation of foreign commerce and
manufactures gradually brought about. These gradually furnished the great
proprietors with something for which they could exchange the whole surplus
produce of their lands, and which they could consume themselves. without
sharing it either with tenants or retainers. All for ourselves, and nothing
for other people, seems, in every age of the world, to have been the vile
maxim of the masters of mankind. As soon, therefore, as they could find a
method of consuming the whole value of their rents themselves, they had no
disposition to share them with any other persons. For a pair of diamond
buckles, perhaps, or for something as frivolous and useless, they exchanged
the maintenance, or, what is the same thing, the price of the maintenance of
1000 men for a year, and with it the whole weight and authority which it
could give them. The buckles, however, were to be all their own, and no
other human creature was to have any share of them; whereas, in the more
ancient method of expense, they must have shared with at least 1000 people.
With the judges that were to determine the preference, this difference was
perfectly decisive; and thus, for the gratification of the most childish,
the meanest, and the most sordid of all vanities they gradually bartered
their whole power and authority.
In a country where there is no foreign commerce, nor any of the finer
manufactures, a man of οΏ½10,000 a-year cannot well employ his revenue in any
other way than in maintaining, perhaps, 1000 families, who are all of them
necessarily at his command. In the present state of Europe, a man of οΏ½10,000
a-year can spend his whole revenue, and he generally does so, without
directly maintaining twenty people, or being able to command more than ten
footmen, not worth the commanding. Indirectly, perhaps, he maintains as
great, or even a greater number of people, than he could have done by the
ancient method of expense. For though the quantity of precious productions
for which he exchanges his whole revenue be very small, the number of
workmen employed in collecting and preparing it must necessarily have been
very great. Its great price generally arises from the wages of their labour,
and the profits of all their immediate employers. By paying that price, he
indirectly pays all those wages and profits, and thus indirectly contributes
to the maintenance of all the workmen and their employers. He generally
contributes, however, but a very small proportion to that of each; to a very
few, perhaps, not a tenth, to many not a hundredth, and to some not a
thousandth, or even a ten thousandth part of their whole annual maintenance.
Though he contributes, therefore, to the maintenance of them all, they are
all more or less independent of him, because generally they can all be
maintained without him.
When the great proprietors of land spend their rents in maintaining their
tenants and retainers, each of them maintains entirely all his own tenants
and all his own retainers. But when they spend them in maintaining tradesmen
and artificers, they may, all of them taken together, perhaps maintain as
great, or, on account of the waste which attends rustic hospitality, a
greater number of people than before. Each of them, however, taken singly,
contributes often but a very small share to the maintenance of any
individual of this greater number. Each tradesman or artificer derives his
subsistence from the employment, not
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