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Early Thoughts on Inequality and Domination by Trade

In: Unequal Exchange and the Evolution of the World System

Author

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  • Kunibert Raffer

    (University of Vienna)

Abstract

Although classical economists always stressed the harmoniously beneficial effects of free trade, hints and remarks on exploitation, domination, and inequality of exchange can be found. Adam Smith (1976, p. 594) admitted that ‘exclusive trade’ gives ‘evident advantages’ to the metropolitan country but argued nevertheless fiercly against mercantilism and the monopoly of colonial trade. He argued that it would be detrimental to the colonies, all other nations and even to the ‘mother country’ in the end, ‘like all other mean and malignant expedients of the mercantile system’ (Smith, 1976, pp. 610f).

Suggested Citation

  • Kunibert Raffer, 1987. "Early Thoughts on Inequality and Domination by Trade," Palgrave Macmillan Books, in: Unequal Exchange and the Evolution of the World System, chapter 2, pages 13-30, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-349-09187-4_2
    DOI: 10.1007/978-1-349-09187-4_2
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