DAVID RICARDO (1772-1823)

Ricardo began to make his way in the world when, at the age of fourteen, he entered the London Stock Exchange in the employ of his father. Upon the son's marriage outside the Jewish faith seven years later, family relationships were strained and the younger Ricardo struck out on his own.

His interest in the abstract problems of economics was developed in the middle years of his life. His acquaintance with the subject appears to have dated from 1799 when, on a visit with his wife to the spa town of Bath, he read Adam Smith. A decade later his first published views - dealing with the depreciation of the currency - appeared in the form of letters to the press signed 'R'. Shortly thereafter, he expanded his thoughts on currency questions into a pamphlet which was to bring him public notice and the attention of several prominent literary figures - among them, James Mill. Without the goading of Mill (who insisted that 'as you are already the best thinker on political economy, I am resolved that you shall also be the best writer')2 it is unlikely that Ricardo's Principles would ever have been produced. Ricardo feared that 'the undertaking exceeds my powers',3 and lamented after he had begun the work: 'I make no progress in the very difficult art of composition. I believe that ought to be my study before I introduce any more of my crude notions on the public.’4 Despite delays and the author's recurrent periods of despondency, Principles of Political Economy and Taxation appeared in 1817.

This work solidly established his reputation as the leading economic analyst of his day. When he entered Parliament in 1819, it gave to his opinions (expressed though they were in a quiet high-pitched voice) a tone of authority. Indeed he has been described as the first to educate the House of Commons in economic analysis.

Like other disputants after much discussion we each retain our own opinions. These discussions however never influence our friendship: I should not like you more than I do if you agreed in opinion with me.5

Late in life, despite his protestations on the malevolence of landlords, Ricardo placed the larger part of his substantial fortune in land. On this aspect of his friend's behaviour, Malthus once observed:

He [Ricardo] is now become, by his talents and industry, a considerable land holder; and a more honourable and excellent man, a man who for the qualities of his head and heart more entirely deserves what he has earned, or employs it better, I could not point out in the whole circle of landholders.

It is somewhat singular that Mr Ricardo, a considerable receiver of rents, should have so much underrated their national importance; while I, who never received, nor expect to receive any, shall probably be accused of overrating their importance. Our different situations and opinions may serve at least to skew our mutual sincerity, and afford a strong presumption, that to whatever bias our minds may have been subjected in the doctrines we have laid down, it has not been that, against which perhaps it is most difficult to guard, the insensible bias of situation and interest.6

2.