The 3d and last part explains the manner in which the growth and distribution of national wealth takes place.
PART FIRST.—OF VALUES IN PARTICULAR.
The essential quality which constitutes wealth, and without which it would not be entitled to the name, is its exchangeable value.
Exchangeable value differs from the value of utility—book 1, end of chap. iv.
The relation existing between two exchangeable values, when expressed by a value generally agreed upon, is denominated price.
The value generally agreed on among civilized nations, is that of metals. Motives to this preference. Origin of money—book 1, chap. iv. Relation between money and the metal in the state of bullion—book 1, chap. v.
The price in money, or nominal price of a thing, differs from its real price, which is its valuation by the quantity of labour expended upon it, or which it represents—ibid.
Laws, according to which the price of wealth is naturally fixed; and those accidental circumstances which occasion the actual to differ from the natural price, and which gave rise to a distinction between the natural and the market price—book 1, chap. vii.
The price of a thing, in most cases, consists of three distinct elements—the wages of the labour, the profit of the master who directs the labour, and the rent of the ground that furnishes the materials on which it is erected. There are, however, some descriptions of merchandize in which the rent forms no part of the price; and others, in which the profit forms no part of it; but none, in which it is not formed principally by the wages—book 1, chap. vi.
Of wages. Laws, according to which the natural rate of wages is fixed; accidental circumstances which cause them to vary, during a short period, from that natural rate—book 1, chap. viii.