Book contents
- Frontmatter
- PREFACE
- Contents
- CONVERSATION I INTRODUCTION
- CONVERSATION II INTRODUCTION—continued
- CONVERSATION III ON PROPERTY
- CONVERSATION IV PROPERTY—continued
- CONVERSATION V ON THE DIVISION OF LABOUR
- CONVERSATION VI ON CAPITAL
- CONVERSATION VII CAPITAL—continued
- CONVERSATION VIII ON WAGES AND POPULATION
- CONVERSATION IX WAGES AND POPULATION—continued
- CONVERSATION X ON THE CONDITION OF THE POOR
- CONVERSATION XI ON REVENUE
- CONVERSATION XII REVENUE FROM LANDED PROPERTY
- CONVERSATION XIII REVENUE FROM THE CULTIVATION OF LAND
- CONVERSATION XIV REVENUE FROM CAPITAL LENT
- CONVERSATION XV ON VALUE AND PRICE
- CONVERSATION XVI ON MONEY
- CONVERSATION XVII MONEY—continued
- CONVERSATION XVIII COMMERCE
- CONVERSATION XIX ON FOREIGN TRADE
- CONVERSATION XX FOREIGN TRADE—cont.
- CONVERSATION XXI ON EXPENDITURE
- INDEX
CONVERSATION XV - ON VALUE AND PRICE
Published online by Cambridge University Press: 07 September 2011
- Frontmatter
- PREFACE
- Contents
- CONVERSATION I INTRODUCTION
- CONVERSATION II INTRODUCTION—continued
- CONVERSATION III ON PROPERTY
- CONVERSATION IV PROPERTY—continued
- CONVERSATION V ON THE DIVISION OF LABOUR
- CONVERSATION VI ON CAPITAL
- CONVERSATION VII CAPITAL—continued
- CONVERSATION VIII ON WAGES AND POPULATION
- CONVERSATION IX WAGES AND POPULATION—continued
- CONVERSATION X ON THE CONDITION OF THE POOR
- CONVERSATION XI ON REVENUE
- CONVERSATION XII REVENUE FROM LANDED PROPERTY
- CONVERSATION XIII REVENUE FROM THE CULTIVATION OF LAND
- CONVERSATION XIV REVENUE FROM CAPITAL LENT
- CONVERSATION XV ON VALUE AND PRICE
- CONVERSATION XVI ON MONEY
- CONVERSATION XVII MONEY—continued
- CONVERSATION XVIII COMMERCE
- CONVERSATION XIX ON FOREIGN TRADE
- CONVERSATION XX FOREIGN TRADE—cont.
- CONVERSATION XXI ON EXPENDITURE
- INDEX
Summary
MRS. B
BEFORE we proceed to the subject of trade, it is necessary that you should understand what is meant by the value of commodities.
CAROLINE
That cannot be very difficult; it is one of the first things we learn.
MRS. B
What is learnt at an age when the understanding is not yet well developed, is not always well learnt. What do you understand by the value of commodities?
CAROLINE
We call things valuable which cost a great deal of money; a diamond necklace, for instance, is very valuable.
MRS. R.
But if, instead of money, you gave in exchange for the necklace silk or cotton goods, tea, sugar, or any other commodity, would you not still call the necklace valuable?
CAROLINE
Certainly I should; for, supposing the necklace to be worth 1000l., it is immaterial whether I give 1000l. in money, or 1000l. worth of any thing else in exchange for it.
MRS. B
The value of a commodity is therefore estimated by the quantity of other things generally for which it will exchange, and hence it is frequently called exchangeable value.
CAROLINE
Or, in other words, the price of a commodity.
MRS, B.
No; price does not admit of so extensive a signification. The price of a commodity is its exchangeable value, estimated in money only. It is necessary that you should remember this distinction.
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- Conversations on Political EconomyIn Which the Elements of that Science are Familiarly Explained, pp. 269 - 292Publisher: Cambridge University PressPrint publication year: 2010First published in: 1816