The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1843-10-23

oil the exentso which diversity of employ be
RED All this was profoundly concev ed and established by
the fullest demonstration Happily too part OF the
was materially weas ened by idle speculation, though he
did indulge In very idle but perhaps innocent concet
IN regard 10 the origin Of the exchange OF products
One would think it very natural thing and not
curing any very elaborate explanation, that If man
wanted an article which he hadn't got and could get it
in exchange for ON article which he had but which he
didn't want make the exchange But this and
operanoh-his reciprocal want and demand which alone
gives value to all surplus products which creates and
tains all lewiston OF labor making its exact extent which
opens the way and the only way to the making of cap
tai and wealth by opening reciprocal markets Tor surplus
producs-ths DR. Smith informs is to be traced to "a
certain propensity IN human nature the propensity to
truck, barter and exchange one thing for another"-
sit is commoner he says, o all men, and TO be found in
no other race OF animals" certain propensity in hu
man nature to truck Just such propensity, suppose
Just such an leads the domestic fowl when she
has produced her eggs TO sit them till they hatch
ed in order to make something valuable out of them 1t
Is only just however to the Doctor to that he sug
gests, alter all that this propensity this trucking
disposition, seems more probably TO lie "the necessary
consequence OF the facilities reason and speech than
TO DC zone Oh those original principles IN human nature
oil which no further account be given !" wish 1t
could be said with truth that all the conceits and specu-
atIons in which Dr. Smith indulgeu in his book the
wealth Of nations innocent this DR.. Smith
in his chapter oi restraints upon the importation from
foreign countries OF such goods can be produced at
home enters upon formal investigation OF the effects
OF such rer4nts upon the annual produce of the indus
try OF the home country, and he lays down some very
Just and philosophical propositions. "The general in
dustry OF me society ne says, lean never exceed what
the capital oil the Society employ. As the number
OF workman that can be kept in employment by par
tcular person must bear certain proportion to his cap
ital, so the number of those that can be continually
ployed by all the members of great society must bear
certain proportion to the whole capital OF that Society
and can never exceed that proportion No regulation Of
commerce Can increase the quantity OF industry in any
society beyond what its capital can maintain" So all
philosophical and strictly true He had reached
important conclusion namely that the quantity of indus
try in the society could not be increased beyond what its
capital could maintain by commercial regulations, by
any restraints on Importation But, though this was
conclusion OF importance not to rest upon
or stop at the subject proposed to be Investigated was
very far from being exhausted He had but just
the topic of chief interest. How the annual produce
of the industry OF the country to be affected by regua
ton? That the question. There a limit to the
quantity of industry that could he employ in the exist
ing amount of capital in the country for the time being
and all attempts TO increase the quantity OF industry, by
commercial regulation beyond this limit beyond the
proportion which the whole capital could employ would
be vain This being settled two inquiries naturally
Frstls true that the capital OF the society whatever
may be, whether greater less in amount is, and will
he naturally and necessarily used as to employ all the
pable of maintaining II not, the quantity Of indus
Try which that amount OF capital is capable of maintain
II be supposed that all the industry of the society which
itscapita maintain, is and will be employed, then is
true that all that industry is and will be naturally and
necessarily employed in the most productive and advanta
geous way both itself and for the whole society And
II not, the in which that industry may be
ployed and its by
any commercial eguiaon1 These questions forming the
gs: OF the whole under investigation, not put
forth in Dr. Smiths hook in the formal manner in which
have stated them But they in his mind, OF course,
for he has given to both OF them to both the
main propositions his in the affirmative The
first OF these propositions and not the least important of
the twoit is true is almost evaded The affirmative is,
indeed asserted, but is by implication After declaring
that no regulation OF commerce can increase the guam
y of industry in any society beyond what its aptal
Dan maintain" he adds only divert part off
into direction in which it might not otherwise have
gone" In other words the quantity OF industry being all
the while great tke capital OF the society can main
tau the only effect which be produced is to divert
indusry-to derange existing employ just the
exte q W
sumes tuep distinctly that ali the industry, all the labor
oil the society which the existing capital OF the society
maintain s and will be naturally aid necessarily
ployed with the capital for the time, labor
be employed. II may be diverted by regulation but it
cannot be increased, whether be all employ ed in the
advantageous way another questionas also whe
Their il would be likely to be advanageously employ
ed by the diversion which would take place under
mercia regulation Bat that it is all employed, advanta
geousy not, is assumed and affirmed in the decided
manner just related The question is where met by
Smith in direct way. In all his reasoning the
subject OF commercial ation reference to effects
the annual produce of the industry Of the society," he
just for gantedthe material and govern
ing POSITION that the quantity industry the whole be
ing fully employed, cannot be increased by any bu
sness into which it may be drawn by legal provision
consequence OF inducements they held out for the
increased employ OF capital For this postu
late also by implication that all the capital OF the
society is always fully employe in maintaining industry
inasmuch all the industry fully employ ed which that
capital is capable OF maintaining This important point
being settled iii this summary way Dr. smith then comes
TO the other question, which enquiries whether oil the la
Dor OF the society," within the capa y OF its capital TO
move surprising be all set in motion, is TO be
ployed the best adv antage Tor ali concerned and this
question he disposes fly specimen of pure specu
lation Hear him Every individual is continually
erting himself to find out the most adv employ
ment for whatever capital he command. II his
advantage indeed, and not that Of the society which he
has in view. But the study OF his advantage naiu
rally rather necessarily leads him TO prefer that
ploy which 10 most advantageous TO the society
Upon equal, nearly equal profits every individual
naturally ipclines TO employ his capital in the in
which is likely to afford the greatest support
tic industry and to give revenue and employment to the
greatest number Of people OF his own country Here
them find Adam Smith, the great economical philoso
pher INDUCING in true Scotch metaphysics upon ques
ton which, in its nature. admits OF no solution whatever
bat by phosophic induction from ascertanei facts and
from experiences practical question, too which he
detook to resolve for the guidance and government OF
statesmen and of nations in matters deeply affecting ma
onal growth prosperity civilization and happiness. He
argues altogether not from facts not from experience but
from peculsons about the probable and conduct
of human nature under certain circumstances. Every
OF capital he armss DESTROYS OF making the most
and therefore, he nfers that he will be sure to light
the largest return OF profit This his first meaphy sca
posua,e This he lays down self evident PROPOSE
ton He makes no appeal to expeenceat least beyond
that which establishes common desire of gain He
does not through society search after the actual
facts of the case true because is in human nature
and therefore be true. This Is his reasoning He
the love Of gain is as unerring as our animal
instinct, and that If It does not invariably lead the
possessed is because there not ing in
which such profits can be made. II is deceived,
never mistaken. Men never carry their capital into
detrimental operations where the results dsappeint and
break them down; into channels of business where
thousands rush in along with them all expecting go
on swimmngly, while there is not depth ard room
enosgh for halt dozen Of the whole number TO float
comfortably together These things never happen-no
never There overstockiug and overerow ding OF
particular employ by the force OF fashion, OF ima
on OF habit while other fields Of enterprise full Of
the promise of reward, lie unoccuped and neglected
Nothing OF the sort. Every OF capital habually
makes the most profit out il that much capital
psble of producing If only left free from all legal resrc
tons the part of his government, and in spite Of
all the commercial regulations OF all other countries Of
fecting the trade aud business of his Blu,
the next step in this meaph ysca argument is sill
extraordinary. Capital in private hands will be
employed TO the highest advantage Of the there
fore il will be employed to the highest advantage OF the
society. This Dr. Smiths second postulae. II would
be Unfair perhaps TO take this proposition It's broades
sense for that would be to make its author guilty Of
gross absurdy He could not have intended assert
that society is always richer by just the amount which
every Spectator in merchandise in stocks in lands
which every gambler conrives 10 transfer from the