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This volume presents David Hume’s 1752 work, *Political Discourses*, which outlines his foundational principles of political economy. The text includes an autobiographical sketch by the author and an account of his death written by Adam Smith.

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Table of Contents

OF THE JEALOUSY OF TRADE.

But what if a nation has any staple commodity, such as the woollen manufacture is to England? Must not the interfering of their neighbours in that manufacture be a loss to them? I answer that when any commodity is denominated the staple of a kingdom, it is supposed that that kingdom has some peculiar and natural advantages for raising the commodity; and if, notwithstanding these advantages, they lose such a manufactory, they ought to blame their own idleness or bad government, not the industry of their neighbours. It ought also to be considered that by the increase of industry among the neighbouring nations the consumption of every particular species of commodity is also increased; and though foreign manufactures interfere with us in the market, the demand for our product may still continue, or even increase. And even should it diminish, ought the consequence to be esteemed so fatal? If the spirit of industry be preserved, it may easily be diverted from one branch to another, and the manufactures of wool, for instance, be employed in linen, silk, iron, or other commodities for which there appears to be a demand. We need not apprehend that all the objects of industry will be exhausted, or that our manufacturers, while they remain on an equal footing with those of our neighbours, will be in danger of wanting employment; the emulation among rival nations serves rather to keep industry alive in all of them. And any people is happier who possess a variety of manufactures, than if they enjoyed one single great manufacture, in which they are all employed. Their situation is less precarious, and they will feel less sensibly those revolutions and uncertainties to which every particular branch of commerce will always be exposed.

The only commercial state which ought to dread the improvements and industry of their neighbours is such a one as Holland, which enjoying no extent of land, nor possessing any native commodity, flourishes only by

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