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Letter to the Right Honourable Lord Viscount Melbourne on the Cause of the Higher Average Price of Grain in Britain than on the the Continent By: George Grant-Suttie (1797-1878) |
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By SIR GEORGE GRANT SUTTIE,
BARONET, OF PRESTON GRANGE. EDINBURGH:
PUBLISHED BY WILLIAM BLACKWOOD AND SONS.
1839. EDINBURGH:
Printed by Andrew Shortrede, Thistle Lane.
LETTER.
The average price of grain in Britain has, for a long series of years,
been higher than in the neighbouring countries of Europe. It is of the
utmost importance to ascertain the cause or causes of this higher price.
The following appear to be the principal: 1st, Scarcity, the effect of
monopoly; 2d, The higher rate of taxation in this than in the
neighbouring nations; 3d, The higher rate of the real wages of labour in
this than in the other countries of Europe. If it can be proved, that the first is the only cause of the higher
average price of grain in Britain, there can be no doubt that it is the
interest of every class in the community to have it removed: If the
second cause, the higher rate of taxation in Britain, has the slightest
influence on the price of grain, the question assumes a very different
aspect: And if the third cause, the higher real wages of labour in
Britain, has any connection whatever with the higher average price of
grain in Britain, the question of the Corn Laws would then evidently
connect itself with the best interests of the country. Those who
advocate the abolition of the Corn Laws, assume it to be proved, that
the higher average price of grain in Britain arises from scarcity, the
effect of monopoly: as, therefore, the cause of the higher price of
grain in Britain would be removed by the abolition of the Corn Laws,
they assert that the price here would be brought nearly to a level with
the price on the Continent, and that the evils which they consider
Britain labours under from a scarcity of food would be removed. Now, I
believe it will be admitted, that at no period of the history of Britain
has the average price of grain so far exceeded the price on the
Continent as during the present century; and I think it will also be
admitted, that at no period of the history of Britain, or of any other
nation, has so rapid an increase taken place in the amount of the
population, in the wealth, and, above all, in the amount of taxation
actually levied from the people. The state of the case is this: It is
asserted, that, for the last thirty eight years, the inhabitants of
Britain have been labouring under the evil effects of a scarcity of
food, as proved by the higher average price of grain in Britain, when
compared with the price on the Continent. During the same period, the
population has increased in a greater degree than during any former
period; and the wealth of the country has increased to such an extent as
to excite the wonder and envy of the world; and the substantial nature
of this wealth is proved by the amount of the revenue raised from it by
taxation, greatly exceeding the revenue of any other country. This view
of the question must, I think, dispose any dispassionate person to
doubt, that an absolute scarcity of food for the last thirty eight years
in Britain has been the sole cause of the higher average price of grain
during that period. In order to prove that a certain effect is produced
by a given cause, it is desirable to shew, that the same effect could
not be produced by any other cause; and this naturally leads me to
consider how far the higher average price of grain in Britain may arise
from the other two causes. I think it is admitted, even by those who
advocate the abolition of the Corn Laws, that the price of grain is
influenced by taxation in the same way, but only to the same extent, as
the price of manufactures. They admit that the wages of the labourers
must be increased in proportion to the increase by taxation on the price
of commodities consumed by them; and the great leading cause of
complaint at the present moment on the part of the abolitionists and
manufacturers, is, that in all articles requiring much manual labour,
Britain is at present, and must continue to be, undersold in future by
the cheaper labour of the Continent... Continue reading book >>
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