Quotes by David Ricardo

About David Ricardo:

David Ricardo is his theory of comparative advantage, which suggests that a nation should concentrate its resources solely in industries where it is most internationally competitive and trade with other countries to obtain products no longer produced nationally. In essence, Ricardo promoted the idea of extreme industry specialization by nations, to the point of dismantling internationally competitive and otherwise profitable industries. Ricardo took as a given the existence of a national industry policy aimed at promoting some industries to the detriment of others. For Ricardo some form of central economic planning was a necessity. Ricardo's theory of comparative advantage has been challenged by, among others, Joan Robinson and Piero Sraffa, but remains the cornerstone of the argument in favour of international free trade. Comparative advantage was the theoretical forerunner of the push towards globalization via increased international trade which is the guiding theme in the economic policy programme currently promoted by the OECD and the World Trade Organization, where it is assumed that increased international trade will lead to economic prosperity. The results of the implementation of this type of policy agenda are increasingly controversial. Although his influence on economics has been considerable, Ricardo actually began his professional life as a broker and financial market speculator. He amassed a considerable personal fortune, largely from financial market manipulation. Once retired, he bought a seat in the U.K. Parliament. He held his parliamentary seat for the last four years of his life. Ricardo died at the age of 51.
A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

If the quantity of labour realized in commodities, regulate their exchangeable value, every increase of the quantity of labour must augment the value of that commodity on which it is exercised, as every diminution must lower it.

David Ricardo

The proportions, too, in which the capital that is to support labour, and the capital that is invested in tools, machinery and buildings, may be variously combined.

David Ricardo

Whenever, then, the usual and ordinary rate of the profits of agricultural stock, and all the outgoings belonging to the cultivation of land, are together equal to the value of the whole produce, there can be no rent.

David Ricardo

In comparing therefore the value of the same commodity, at different periods of time, the consideration of the comparative skill and intensity of labour, required for that particular commodity, needs scarcely to be attended to, as it operates equally...

David Ricardo

A rise in wages, from an alteration in the value of money, produces a general effect on price, and for that reason it produces no real effect whatever on profits.

David Ricardo

A rise of wages from this cause will, indeed, be invariably accompanied by a rise in the price of commodities; but in such cases, it will be found that labour and all commodities have not varied in regard to each other, and that the variation has bee...

David Ricardo

The rise or fall of wages is common to all states of society, whether it be the stationary, the advancing, or the retrograde state.

David Ricardo

Author Bio

  • NameDavid Ricardo
  • DescriptionBritish political economist
  • BornApril 19, 1772
  • DiedSeptember 11, 1823
  • CountryUnited Kingdom
  • ProfessionEconomist; Stockbroker; Philosopher; Politician