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Miscellany: Notes On Political Economy: Limitations To Divis...

Miscellany: Notes On Political Economy: Limitations To Divis... image
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This división of labor, by wliich each man performs only one operniion, and which we have seen lo be so greátly profitabio to the coramunity, may bo limited by the demand ibr theartiele produced. This demand depends on sevoral circumEtances, the most material of wliich are the following: 1. Thz numbcr oF consumers. When the number of inhabitants in a country is smal!, the demand must, of course. corespond to the number. On this account wealth accumulates most rapidly on navigable waters, because the market of the producéis can be extended to otlier places. 2. Tlie wcalth rf the inhabitants. Demand does r.ot signify simple dcsire for an article, but it iir.jjlies ability and willingncss to give for it what will rc.iiuncrate the producen The demand for hits, in a population of a men. will be limited to those persons who are ablc (o buy a hat. Henee it is the interest of the halter that every man in communiíy ehould bu wealihy. 3. Thecost of the arlicu--. The greaier the costofthe product, the Icss the number of persons who wül be abte to purchnse it. Henee, the less the demand. the less the opportunity for división of labor, Ifstockings cost a dollar a pair, a portion of the commuuity could not aflord to purchase them. When the cost is reduced lo seventy five Cents, more persons can buy. and so on, in proportion as the cost is diminished.. more "persons will consume them, and consume a1 so a greater number of tht m. , 4. Facilíties ƒ traiispoititicn. The cost of an article depends nol only on the cost of its original produclion, but also on the cost necessary to bring it to the consumer. Coal may be very cheap at the coal mine, but irit must bc borne on the shouldcrs of men to the consumers, ai a few miles Trom the mine, it would become bo dear that none could buy it. But if horsea be used to transport it, the demand will increase. The subBtitution of canals and rail ronds for horses svili ronder it stillcheaper, and the demand will be increased still more; and every such improvement extends the circle of consumption, of which the mine is thecentre. The same principie applies to manufactures, epecially those of iron or heavy ware. Thus facilities for internal communicaunn improvo the condition of other branches of indf.ütry. The price of lard and grain rises in a district tlirough which a canal or railruad passes; and lor the samo ïeason, manufactories may bo established 8uccessfu!ly at one peiiod in bituations where at another tliey would be-useless, ifnot unprofitable to the proprietor. División of labor takes place also among different nations, and different districts of the same 'ario. Ao district poasesses ,,c grcatcst advnuiages for producing cvery ,hi„f,; bul almos, every district powessea peculiar advan.aes füf producing som.thing. One soil m wcll adapted tü wheat, ano.her to corn, onothcr lOBiignrcano lus obvious if each pcrs.n can rnisf doublé the valuo of produc.s by raising ,hose nrticlos, oniy to which his land 3 best adopted, thL tliree persona wil! have iwice the quantiiy they would have, weretheylo cultívate crops to whieb thcir lands wcre not well adapte!. They would consequently bc richcr. Ëach disii iet and nationshould apply itselfto the cultivation ofthose brai.chcs of industry, wheihcr agricultural. commercial, or manufaciuring for whidi t has the greaiesi natural advr.tagcs. Every man nceds foi his conveniencies. and even necessaries, the producrions of cvery part of the globe. Wc need the iron,furs, and henip of the Norih; the coiTee, teas, sugar, rice, fruits, and pices of ihe South; and ihe wool, wheat, and manufactures of températe climatcs. Some of these things con bu" produccdonly in particular districts; or they can be prodiiced more cheaply. and in greater perfection in onc place than in another. By exchanging these prodacts, the liappincss resulting from their possession is extended to uil far more widely, than tbiy would be if cach naiion resolvcd ipeocButae no'hingbut whai could Le produced within itsown lirnits.


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