Essays on Some Unsettled Questions of Political Economy by John Stuart Mill

By John Stuart Mill

JOHN STUART MILL (1806 – 1873), British thinker, political economist, civil servant and Member of Parliament, used to be an influential liberal philosopher of the nineteenth century. those 5 essays signify Mill’s earliest ideas on fiscal concerns.

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It is of greater importance to take notice, that these effects may be entirely obviated, if foreign countries can be prevailed upon simultaneously to relax their restrictive systems, so as to create an immediate increase of demand for our exports at the present prices. It is true that exports and imports must, in the end, balance one another, and if we increase our imports, our exports will of necessity increase too. But it is a forced increase, produced by an efflux of money and fall of prices; and this fall of prices being permanent, although it would be no evil at all in a country where credit is unknown, it may be a very serious one where large classes of persons, And the nation itself, are under engagements to pay fixed sums of money of large amount.

It is true that the labourers thus employed by sojourners are probably, in part or altogether, withdrawn from productive employment. But this is far from being an evil; for either the situation of the labouring classes is improved, which is far more than an equivalent for a diminution in mere production, or the rise of wages acts as a stimulus to population, and then the number of productive labourers becomes as great as before. To this we may add, that what the sojourners pay as wages of labour or service (whether constant or casual), though expended unproductively by the first possessor, may, when it passes into the hands of the receivers, be by them saved, and invested in a productive employment.

This, or something like it, is however the habitual state, at every instant, of a very large proportion of all the capitalists in the world. The number of producers, or dealers, who turn over their capital, as the expression is, in the shortest possible time, is very small. There are few who have so rapid a sale for their wares, that all the goods which their own capital, or the capital which they can borrow, enables them to supply, are carried out as fast as they can be supplied. The majority have not an extent of business, at all adequate to the amount of the capital they dispose of.

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