Principles of Political Economy and Taxation

Author: (British) Ricardo
Publisher:
Publish Date: 2005-10-12
Features: Principles of Political Economy and Taxation starts from Bentham's utilitarianism, taking the distribution issue as the central theme of the discussion, and employs the abstract method developed by classical political economy. Ricardo believed that the criterion of human behavior is personal interest, the pursuit of individual utility, which is to seek happiness and avoid pain. He argued that the pursuit of personal interest by individuals is consistent with the interests of the entire society, aligning with the greatest happiness of the majority of society. In reality, he stood on the side of the industrial bourgeoisie, viewing the personal interest of capitalists in pursuing profits as being in harmony with the development of production, the increase of social wealth, and social progress. His research methods were one-sided in a metaphysical sense, treating the capitalist production relations and system as eternal and unchanging. Principles of Political Economy and Taxation is divided into 32 chapters, with a relatively loose structure. The main content of Ricardo's political economy theory is fully included in the first six chapters, while the other chapters are either applications of Ricardo's theoretical principles or explanations and supplements to his principles. Chapter I discusses value, and also covers wages and profits, while Chapter II discusses rent. In Principles of Political Economy and Taxation, Ricardo critically inherited Smith's labor theory of value and, based on it, discussed wages, profits, and rent, explaining the opposition between wages and profits, and between profits and rent, thereby revealing the opposition and struggle between the proletariat and the bourgeoisie, as well as between the bourgeoisie and the landlord class. He also discussed monetary theory, the comparative cost theory in foreign trade, and the general principles and rules of taxation. This book made significant contributions to the development of political economy theory, bringing British classical political economy to its completion.