Chapter XXXIV: Book II: , chap. 5; Cannan, vol. i, p. 351.) The expression “the political

economy of every country,” which Smith frequently employed, might be used in answer to writers such as Knies, who speak of the Universalism or Internationalism of Smith.

[209] _Ibid._, Book IV, chap. 1; vol. i, p. 421.

[210] _Wealth of Nations_, Book I, chap. 8; Cannan, vol. i, p. 68. The masters possess the advantage in discussion (1) because they can combine much more easily; (2) because, thanks to their superior funds, they can afford to wait while “many workmen could not subsist a week, few could subsist a month, and scarce any a year without employment.”

[211] Cf. _supra_, p. 78.

[212] _Ibid._, Book IV, chap. 7, part ii, the beginning; vol. ii, p. 67.

[213] Say, speaking of the working classes, remarks: “Are we quite certain that the workman obtains that share of wealth which is exactly proportioned to the amount which he has contributed to production?” (_Treatise_, 6th ed., p. 116.)

[214] _Wealth of Nations_, Book IV, chap. 9, in fine; Cannan, vol. ii, p. 184.

[215] _Ibid._, Book V, chap. 2, part i; vol. ii, p. 304. He makes exception only of the post-office, “perhaps the only mercantile project which has been successfully managed by, I believe, every sort of government.” (P. 303.)

[216] _Ibid._, Book II, chap. 3; vol. i, p. 328.

[217] _Ibid._, Book V, chap. 2, part ii, art. 1; vol. ii, p. 318.

[218] _Ibid._, Book V, chap. 3; vol. ii, p. 413.

[219] _Wealth of Nations_, Book V, chap. 2, part ii; Cannan, vol. ii, p. 308.

[220] Cf. particularly Burgin, _Les Communaux et la Révolution française_, in _Nouvelle Revue historique de Droit_, Nov.-Dec. 1908.

[221] _Wealth of Nations_, Book V, chap. 1, part iii, art. 2; Cannan, vol. ii, p. 250.

[222] _Ibid._, Book IV, chap. 9; vol. ii, p. 185.

[223] _Ibid._, Book I, chap. 10, part ii; vol. i, p. 130.

[224] _Wealth of Nations_, Book V, chap. 1, part iii, art. 1; Cannan, vol. ii, p. 233.

[225] _Ibid._, Book V, chap. 1, part iii, art. 1; vol. ii, p. 246.

[226] _Ibid._, Book II, chap. 4, in fine. It is probable that his conversion to belief in absolute liberty took place later as the result of his perusal of Bentham’s _Defence of Usury_, published in 1787, advocating the right of taking interest. This seems to have been the case if we can credit the report of a conversation which Smith had with one of Bentham’s friends, mentioned in a letter written to Bentham by another of his friends—George Wilson. Cf. John Rae, _Life of Adam Smith_, p. 423.

[227] _Wealth of Nations_, Book II, chap. 2; Cannan, vol. i, p. 307.

[228] _Wealth of Nations_, Book II, chap. 2; Cannan, vol. i, p. 307. He continues: “The obligation of building party walls in order to prevent the communication of fire, is a violation of natural liberty, exactly of the same kind with the regulations of the banking trade which are here proposed.” This passage proves that Smith was in favour of public regulations which would further the material security of the citizens. Elsewhere he shows his partiality for adopting hygienic precautions against the spread of contagious diseases (Book V, chap. 1, part iii; vol. ii, p. 272).

[229] Cf. Mantoux, _op. cit._, pp. 65-66. This work gives most interesting details bearing upon all the points mentioned here. Internal restrictions are criticised by Smith in the second part of chap. 10 of