Summary
Principles of Political Economy by John Stuart Mill, first published in 1848, is one of the most influential economics texts of the 19th century.
Blending classical economic theory with social philosophy, Mill's work explores the production, distribution, and exchange of wealth, while also addressing broader issues like poverty, labor rights, and the role of government in shaping a just society.
Mill builds upon the ideas of Adam Smith, David Ricardo, and Thomas Malthus but introduces a more humanitarian and progressive perspective.
While he supports the idea of free markets, Mill also acknowledges their limitations and advocates for government intervention in cases where it can promote social welfare, education, and poverty alleviation.
He distinguishes between the laws of production (which he sees as fixed by nature) and the laws of distribution (which can be shaped by human institutions).
This distinction allows him to argue for more equitable systems, including worker cooperatives and inheritance taxes.
Principles of Political Economy was widely used as a textbook and influenced economic thinking and policy throughout the 19th and early 20th centuries.
It remains a critical bridge between classical economics and more socially conscious economic theories.