Quote of the Day for July 29, 2014

Birthday of Thorstein Veblen (1857-1929).
210: From Turgot: Reflections on the Formation and Distribution of Wealth:

    It seems by this explanation of the manner in which money is either sold or lent for an annual interest, that there are two ways of valuing money in commerce. In buying and selling, a certain weight of silver represents a certain quantity of labour, or of merchandize of every species; for example, one ounce of silver is equal to a certain quantity of corn, or to the labour of a man for a certain number of days. In lending, and in the commerce of money, a capital is the equivalent of an equal rent, to a determinate portion of that capital; and reciprocally an annual rent represents a capital equal to the amount of that rent repeated a certain number of times, according as interest is at a higher or lower rate.

    Rfl.171 (paragraph number)

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