Sir Dudley North (1641-1691)

English economist born May 16, 1641, Westminster, England [now in London] died December 31, 1691, London.



English merchant, civil servant, and economist, an early advocate of what later came to be called laissez-faire.



North entered the eastern Mediterranean trade at an early age and spent many years residing in Smyrna and Constantinople (now Ä°zmir and Istanbul, respectively), finally returning to England, a wealthy man, in 1680. He then served under Charles II as one of the sheriffs of the City of London and received a knighthood; under James II he was appointed a commissioner of customs. A confirmed Tory, he retired from public affairs shortly after the Glorious Revolution (1688–89).



North’s fame rests on the contribution to political economy made in his Discourses Upon Trade: Principally Directed to the Case of the Interest, Coynage, Clipping, Increase of Money, published anonymously in 1691 or possibly 1692. This work attracted little attention until reprinted in 1822, after James Mill had hailed the importance of North’s ideas as summarized in the biography by his brother, Roger North, published in 1744.



The Discourses, though brief and aphoristic, are probably the most thoroughgoing statement of free-trade theory made in the 17th century. Although the older mercantilist view was that trade was the exchange of goods not needed by the producing country, the Discourses insisted “that the whole world as to trade, is but as one nation or people, and therein nations are as persons.” Sumptuary laws and legal restrictions on interest rates are denounced as harmful and ineffective. Subsequent monetary doctrines are anticipated in the insistence that the supply of money can be left to free market forces “without any aid of politicians.”

Source: http://www.britannica.com/EBchecked/topic/418515/Sir-Dudley-...

Dudley North Quotes, Quotations, Sayings, Remarks and Thoughts

1 And those are the Rich, who transmit what they have to their Posterity; whereby particular Families become rich; and of such are compounded Cities, Countries, Nations, etc.

Dudley North



2 Commerce and Trade, as hath been said, first springs from the Labour of Man, but as the Stock increases, it dilates more and more. Dudley North



3 If any man, out of an humour, should turn all his Estate into Money, and keep it dead, he would soon be sensible of Poverty growing upon him, whilst he is eating out of the quick stock.

Dudley North



4 It is said, that in Holland Interest is lower than in England.

Dudley North



5 It may be said, let him take Money at Interest, and not buy at Time. But then Men must be found, that will lend; the Legislative must provide a Fund to borrow upon.

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6 It will be objected, That the Home Trade signifies nothing to the enriching a Nation, and that the increase of Wealth comes out of Forreign Trade.

Dudley North



7 No Man is richer for having his Estate all in Money, Plate, etc. lying by him, but on the contrary, he is for that reason the poorer.

Dudley North



8 Nor in truth, can Forreign Trade subsist without the Home Trade, both being connected together.

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9 One rich Man hath Lands, not only more than he can manage, but so much, that letting them out to others, he is supplied with a large over-plus, so needs no farther care.

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10 So that it cannot be denied, but the lowering of Interest may, and probably will keep some Money from coming abroad into Trade; whereas on the contrary, high Interest certainly brings it out.

Dudley North



11 The Question to be considered is, Whether the Government have reason by a Law, to prohibit the taking more than 4 l. per cent Interest for Money lent, or to leave the Borrower and Lender to make their own Bargains.

Dudley North



12 Trade is nothing else but a Commutation of Superfluities; for instance: I give mine, what I can spare, for somewhat of yours, which I want, and you can spare.

Dudley North

Source: http://www.nutquote.com/quote/Dudley_North