Economic History

An Outline of International Price Theories by Chi-Yuen Wu

By Chi-Yuen Wu

Overlaying the interval 1550 - 1939, this booklet examines the heritage and improvement of theories of overseas pricing and trade.

The paintings of the next economists is roofed: Locke, Barbon, Vaderlint, Harris, Hume, Smith, Ricardo, Malthus, Bosanquet, Mill, Torrens, Marshall, Haberler, Austin, Stirling, Chevalier, Carines, Jevons, Leslie, Goschen, Bagehot, Wicksell, Sidgwick, Pigou, Viner, Heckscher, Ohlin, Keynes, Taussig, and Pareto.

The quantity contains an intensive Bibliography of every interval mentioned in addition to accomplished indices of matters and names.

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138. That is not a question of opinion but simply a question whether the elasticity of demand for imports at home and that for exports abroad are greater or less than unity. THE MERCANTILISTIC THEORIES 35 The controversy ended with the complete triumph of the balance of trade school, whose theory was the dominant doctrine up to about 1680. In the intervening period, although a vast number of pamphlets was published, there was no real advance beyond the theory of Mun. Yet we cannot pass over the contributions of three writers, namely, Rice Vaughan, William Petty, and William Potter.

86-7 ; see also p. 113. , p. 35. 6 That is in essence what has been called after Thomas Mun the balance of trade theory. The theory, in fact, had a long process of development. As early as the last quarter of the fourteenth century we find very definite statements of it in English by one of the officers of the Mint in his evidence before Parliament. The statement is as follows : " . . As to the fact that gold and silver come not to England, whilst that which is in England is carried abroad, . .

25-6). 3 William Potter (fl. 1656) was appointed in 1656 registrar of debentures on " the act for the sale of the late king's lands ". He was one of the earliest writers on paper currency. He recommended the issue, by means of a land bank, of bills payable at sight to the bearer, under a guarantee of land mortgages. It was to give an account of his scheme that he published the4 works mentioned in this essay. Potter, The Key of Wealth (London, 1650), p. 2. 5 " Let it be supposed, that there is a people amongst whom there is THE MERCANTILISTIC THEORIES 39 1 and quicken it on the other.

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