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    An Inquiry into the Principles of Political Economy

    Chap. XVII In what Manner and according to what Proportion do Plenty and Scarcity affect a People

    James Steuart

    11 min

    In a former chapter I have examined this question, relatively to mankind fed by the hand of nature: I now come nearer home, and shall keep close to modern times, considering circumstances and effects which by daily experience we see and feel.

    I have often said, that numbers are in proportion to the produce of the earth. I now say, that in most countries of Europe, the food produced in the country is nearly consumed by the inhabitants: and by nearly I understand, that the part exported bears a small proportion to the home-consumption. I do by no means establish this as an universal proposition; but I say it is true for the most part: and the intention of this chapter is to enable us to judge how far these limitations should extend. I allow, for example, that Holland, not producing food for its inhabitants, must draw it from some country which produces a superfluity, regularly. but let it be observed that Poland, Germany, Flanders, and England, with many other countries, contribute their contingents to supply the demand of the Dutch; and of several large trading towns which have small territories. This being the case, the quota furnished by each country, must be in a small proportion to the respective quantity growing in it. But these are general conclusions upon vague suppositions, which throw no light on the question. I shall therefore endeavour to apply our reasoning to facts, and then examine consequences.

    There are few countries, I believe, in Europe more abounding in grain than England: I shall therefore keep that kingdom in my eye while I examine this matter. Nothing is more common than to hear that an abundant crop furnishes more than three years' subsistence: nay, I have found it advanced by an author of consideration, (Advantages and Disadvantages of France and Great Britain, &c. article Grain,) that a plentiful year produces five years' nourishment for the inhabitants. If this be a mistake, it may prove a very hurtful one in many respects. I am, on the contrary, apt to believe, that no annual produce of grain ever was so great in England as to supply its inhabitants fifteen months, in that abundance with which they feed themselves in a year of plenty. If this be the case, at what may we compute the surplus in ordinary good years? I believe it will be thought a very good year which produces full subsistence for fourteen months; and crops which much exceed this are, I believe, very rare. Here follow my reasons for differing so widely from the gentleman whom I have cited. If I am in the wrong, I shall have the most sensible pleasure in being set right; and nothing will be so easy to any one who has access to be better informed as to facts than I can pretend to be.

    I consider all the yearly crop of grain in England as consumed at home, except what is exported; for I cannot admit that any considerable quantity is lost: that it may be abused, misapplied, drunk when it should be eat, I do not deny. These are questions which do not regard the present inquiry. Whether therefore it be consumed in bread, beer, spirits, or by animals, I reckon it consumed; and in a year when the greatest consumption is made at home, this I call the abundance with which the inhabitants feed themselves in years of plenty. Now I find in the performance above cited, a state of exportations for five years, from 1746 to 1750 inclusive, where the quantity exported amounts in all to 5,289,847 quarters of all sorts of grain. This is not one year's provision, according to Sir William Petty's calculation, of which we have made mention above. The bounties upon corn (continues the author above mentioned) have amounted in one year to 500,000l, sterling. He does not mention the year, and I am little able to dispute that matter with him. I suppose it to be true; and still farther, let it be understood that the whole exportation was made out of the produce of one crop. I do not find that this sum answers to the bounty upon 3,000,000 of quarters, which, according to Sir William Petty, make six months' provision. I calculate thus: The bounty upon wheat is 5s. a quarter, that upon rye 3s. 6d. that upon barley 2s. 6d. these are the species of grain commonly exported: cast the three premiums together, and divide by three, the bounty will come to 3s. 8d. at a medium; at which rate 500,000l. sterling will pay the bounty of 2,727,272 quarters of grain. An immense quantity to be exported! but a very inconsiderable part of a crop supposed capable to maintain England for five years. It may be answered, that the great abundance of a plentiful year is considerably diminished when a scanty crop happens to precede it, or to follow upon it. In the first case, it is sooner begun upon; in the last, it supplies the consumption in the year of scarcity, considerably. This I allow to be just; but as it is not uncommon to see a course of good years follow one another, the state of exportation at such times must certainly be the best, nay, the only method of judging of the real extent of superfluity.

    On the other hand, I am apt to believe, that there never was a year of such scarcity as that the lands of England did not produce greatly above six months, subsistence, such as the people are used to take in years of scarcity. Were six months of the most slender subsistence to fail, I imagine all Europe together might perhaps be at a loss to supply a quantitY sufficient to prevent the greatest desolation by famine.

    As I have no access to look into records, I content myself with less authentic documents. I find then by the London news-papers, that, from the 9th of April to the 13th of August 1757, while great scarcity was felt in England, there were declared in the port of London no more than 71,728 quarters of wheat, of which 15,529 were not then arrived. So that the whole quantity there imported to relieve the scarcity, was 56,199 quarters. Not one month's provision for the inhabitants of that city, reckoning them at 800,000 souls! One who has access to look into the registers of the trade in grain, might in a moment determine this question. (8)

    Another reason which induces me to believe what the above arguments seem to prove, I draw from what I see at present passing in Germany; I mean the universal complaints of scarcity in those armies which are now assembled (1757). When we compare the numbers of an army, let it be of a hundred thousand men, and forty thousand horses; suppose the suit of it to be as many more, all strangers (for the others I reckon nothing extraordinary); what an inconsiderable number does this appear, in proportion to the inhabitants of this vast country of Germany! Yet let us observe the quantity of provisions of all sorts constantly coming down the Rhine, the Moselle, and many other rivers, collected from foreign provinces on all hands; the numbers of cattle coming from Hungary; the loads of corn from Poland; and all this in a year which has produced what at any other time would have been called an excellent crop. After these foreign supplies, must not one be astonished to find scarcity complained of in the provinces where the war is carried on, and high prices every where else. From such circumstances I must conclude, that people are generally very much deceived in their estimation of plenty and scarcity, when they talk of two or three years' subsistence for a country being found upon their lands at once. I may indeed be mistaken in my conclusions; but the more I have reflected upon this subject, the more I find myself confirmed in them, even from the familiar examples of the sudden rise of markets from very inconsiderable monopolies, and of their sudden fall by inconsiderable quantities imported. I could cite many examples of these vicissitudes, were it necessary, to prove what every one must observe.

    I come now to resolve a difficulty which naturally results from this doctrine, and with which I shall close the chapter.

    If it be true, that a crop in the most plentiful year is nearly consumed by the inhabitants, what becomes of them in years of scarcity? for nobody can deny, that there is a great difference, between one crop and another. To this I answer, first, That I believe there is also a very great deception, or common mistake, as to the difference between crops: a good year for one soil, is a bad one for another. But I shall not enlarge on this; because I have no sufficient proof to support my opinion. The principal reason upon which I found it, is, that it is far from being true, that the same number of people consume always the same quantity of food. In years of plenty every one is well fed; the price of the lowest industry can procure subsistence sufficient to bear a division; food is not so frugally managed; a quantity of animals are fatted for use; all sorts of cattle are kept in good heart; and people drink more largely, because all is cheap. A year of scarcity comes, the people are ill fed, and when the lower classes come to divide with their children, the portions are brought to be very small; there is great oeconomy upon consumption, few animals are fatted for use, cattle look miserably, and a poor man cannot indulge himself with a cup of generous ale. Add to all these circumstances that in England the produce of pasture is very considerable, and it commonly happens, that a bad year for grain, which proceeds from rains, is for the same reason a good year for pasture; and in the estimation of a crop, every circumstance must be allowed to enter.

    From what has been said I must conclude in general, that the best corn country in the world, provided slavery be not established, does not produce wherewithal fully to maintain, as in years of plenty, one third more than its own inhabitants; for if this should be the case, all the policy of man would not be able to prevent the multiplication of them, until they arose nearly up to the mean proportion of the produce in ordinary years, and it is only what exceeds this standard, and proceeds from unusual plenty, which can be exported. (9) Were plentiful years more common, mankind would be more numerous; were scarcity more frequent, numbers would be less. Numbers therefore must ever be, in my humble opinion, in the ratio of food, and multiplication will never stop until the balance comes to be nearly even.