ECONOMY, political. Political econo my is the science which treats of the wealth of nations. Its object is to ascer tain, in the first place, wherein wealth consists, and then to explain the causes of its production, and the principles on which it is distributed through the differ ent orders of society. It likewise endea vours to point out the tendency, which any political regulations may haveto fa vour or to injure the productions or most advantageous distribution of wealth. Such is its peculiar object, and Consequently, though writers on political economy may frequently treat on the more important` topics of national security, freedom, and happiness, these are then passing the strict limits of their science.
Political. economy, in some of its branches, has engaged the attention of speculative men in all ages ; but it is only in very recent times that the. truths it ex have been collected, arranged, and demonstrated with such precision, as to entitle it to the name and dignity of a science.
• The writers on political economy may be arranged in two great classes ; the former composed of those who regard commerce, and the latter of those who regard agriculture as the principal source of national wealth. Almost all the older writers belong to the former class. • The most considerable English writers of this class are, Dr. d'Avenant and Sir John Stewart, and their principles are inter woven in the elaborate history of Com merce, by Anderson. The decisions of the English legislature have usually been guided bY the principles of these writers.
The commercial system of political economy is very. explain ed, and very ably examined, in the fourth book of Smith on the Wealth of Na tions.
The agricultural system is of compara tively recent origin. It was first brought into vogue by Mons. Quesnia, a celebrat ed French physician. His ideas were adopted and diflUsed by several very able writers,,and are thought to be most clear ly explained in L'Ordre Natural de So cietes Polltiques," by Mercier de la Ri viere. The writings of Quesnai have
been published, with and illus trations, in a work entitled" Physiocra, tie,",by Dupont de Nemours. The fol lowers of Quesnai are styled the econo mists. There is no English writer of ce lebrity by whom -these principles have been adopted in their whole extent ; but they are stated, and in some degree con troverted, in the last chapter of the fourth book of Smith.
By far the greatest work on political economy is the treatise on "The Wealth of nations, " by Adam Smith. The acute-, ness of later writers may have discovered some inconsiderable errors in the reason ings ;. may have, shewn that some por tions,of it are not so completely finished as the rest andthat some well grounded objections may 6C urged. against parts of its arrangement ;.but the most able Judges unanimously regard it •a.5 a work at once original, accurate, and profound; as just in its principles, and perspicuous in its illustrations ; and as entitling Srnith, among other writers on political econo my, to the same distinguished ..rank: which among astronomers, is held by, Newton., . A striking and very important differ. ence between the old and new systems of political economy ,consists the former calling, upon all occasions, for the regula tion and controul of laws, and regarding the legislature as best qualified to • mate the value of any particular of trade, or modes of conducting , busi-, ness ; while by the latter themerchant is supposed to be the best judge of most eligible method of conducting own affairs. The former is, a system of restrictions and encouragements,in which!' little is left to the choice and sagacity of individuals; in the latter it is supposed, that national: wealth, which is the gate of individual wealth, will most rapidly, where, while private pro-i petty is rendered sacred by the laws, tai lent and enterprise are under the leash possible restraint.