Hume supposes two cases, that the amount of gold or silver money in Great Britain is either reduced or increased in quantity. In the first instance, prices would decrease in Great Britain, making it more attractive for, say, French buyers to take advantage of less expensive goods purchasable in Britain; in the other instance, the resulting high prices in Great Britain would make it attractive for British subjects to purchase less expensive French versions of products they previously had been buying at home. In the first case British exports to France would increase (and imports from France would decrease), and in the second case British imports from France would increase (and exports to France would decrease).
Thus ideas of pleasure or pain are the causes of these motivatingpassions. Not just any ideas of pleasure or pain give rise tomotivating passions, however, but only ideas of those pleasures orpains we believe exist or will exist (T 126.96.36.199). More generally,the motivating passions of desire and aversion, hope and fear, joy andgrief, and a few others are impressions produced by the occurrence inthe mind either of a feeling of pleasure or pain, whetherphysical or psychological, or of a believed idea of pleasureor pain to come (T 188.8.131.52, T 184.108.40.206). These passions, together withthe instincts (hunger, lust, and so on), are all the motivatingpassions that Hume discusses.
David Hume constructed what has become known as the “specie-flow” theory of the movement of money and goods between nations to an assure equilibrium among international prices and the distribution of specie (or commodity) money among countries that are trading with each other.
Any influence that money may have on the level of industry, production, or employment is, Hume argued, in the transition period between the injection or withdrawal of any part of the quantity of money in the economy, when some prices may rise or decline before others, thus influencing profit margins and cost relationships. Hume explained the process in the following way:
David Hume’s Contributions to Economics Understanding
But when all prices, finally, will have been affected and adjusted by the change in the quantity of money, Hume reasoned, all “real” relative price and production relationships will have more or less restored themselves.
David Hume has an answer to these questions.
During his lifetime, however, Hume was as well if not better known for his contributions to political economy, particularly for the essays published as the Political Discourses (1752).
In David Hume’s own words from “Of the Balance of Trade”:
Eugene Rotwein, perhaps contrary to his better intentions, established the tradition (in 1955) of treating nine of Hume's essays, including “Of Money” and “Of Interest,” as distinctively economic. Eight of these essays were first published...
David Hume was the second of two sons born to Joseph Home of Ninewells, an advocate, and his wife The Hon
Moore respecting what they saw as the appropriate foundation for moral systems seems to have been at work in the reactions of both to the earlier criticisms of David Hume.
David Hume - Wikipedia
In this essay, we begin by discussing Hume's monetary economics, and then spell out his theory of economic development, noting his qualified enthusiasm for the modern commercial system.
Hume, David | Internet Encyclopedia of Philosophy
Hume's position in ethics, which is based on hisempiricist , is best known for asserting four theses: (1) Reason alonecannot be a motive to the will, but rather is the “slave of the passions” (see ) (2) Moral distinctions are not derived from reason (see ). (3) Moral distinctions are derived from the moral sentiments: feelings ofapproval (esteem, praise) and disapproval (blame) felt by spectatorswho contemplate a character trait or action (see ). (4) While some virtues and vices are natural (see ), others, including justice, are artificial (see ). There is heated debate about what Hume intends by each of thesetheses and how he argues for them. He articulates and defends them within the broader context of his metaethics and his ethic of virtue andvice.
David Hume, "Of the Balance of Trade": - Econlib
Hume's main ethical writings are Book 3 of his Treatise of HumanNature
, “Of Morals” (which builds on Book 2, “Ofthe Passions”), his Enquiry concerning the Principles ofMorals
, and some of his Essays
. In part the moralEnquiry
simply recasts central ideas from the moral part ofthe Treatise
in a more accessible style; but there areimportant differences. The ethical positions and arguments of theTreatise
are set out below, noting where the moralEnquiry
agrees; differences between the Enquiry
are discussed afterwards.
Includes Political Discourses (1752), "My Own Life," by David Hume, and a letter by Adam Smith.
One is a question of moral epistemology: how do human beings becomeaware of, or acquire knowledge or belief about, moral good and evil,right and wrong, duty and obligation? Ethical theorists andtheologians of the day held, variously, that moral good and evil arediscovered: (a) by reason in some of its uses (Hobbes, Locke, Clarke),(b) by divine revelation (Filmer), (c) by conscience or reflection onone's (other) impulses (Butler), or (d) by a moral sense: an emotionalresponsiveness manifesting itself in approval or disapproval(Shaftesbury, Hutcheson). Hume sides with the moral sense theorists:we gain awareness of moral good and evil by experiencing the pleasureof approval and the uneasiness of disapproval when we contemplate acharacter trait or action from an imaginatively sensitive and unbiasedpoint of view. Hume maintains against the rationalists that, althoughreason is needed to discover the facts of any concrete situation andthe general social impact of a trait of character or a practice overtime, reason alone is insufficient to yield a judgment that somethingis virtuous or vicious. In the last analysis, the facts as known musttrigger a response by sentiment or “taste.”