Books

First edition, scarce - especially so uncut in boards - and often overlooked, "one of the highlights of classical economic theory" (New Palgrave), called by Schumpeter "another Wealth of Nations or, more correctly, something that with ten additional years of quiet work, graced by an adequate income, could have grown into another - and more profound - Wealth of Nations". A native of Scotland, Rae (1796-1872) emigrated to Canada and thence to America, where he wrote this, his only publication, originally intended as an appendix to a larger work on the natural history and statistics of Canada. The Statement is notable for its lucid and original criticisms of Adam Smith. Unfortunately issued in the midst of a protectionist campaign, Rae's work was mistaken as a ponderous anti-free trade tract and passed largely unrecognized as an innovative original treatise. He found a supporter in Nassau Senior and through him in J. S. Mill, who quoted from it extensively in his Principles (1848), comparing Rae on accumulation to Malthus on population. His influence was more marked on following generations: Böhm-Bawerk was indebted to his theory of capital, Fisher dedicated one of his main works to Rae, the work "influenced Schumpeter's (1911) concept of economic development, and Veblen's (1899) notion of conspicuous consumption" (New Palgrave), and Wicksell and Åkerman were familiar with the treatise. Provenance: with the library stamp to the front pastedown and title page of the economist Earl A. Saliers, chiefly remembered as a writer on depreciation (Principles of Depreciation, 1916, Depreciation: Principles and Applications, 1922) and accountancy (Accountants' handbook, 1923, Fundamentals of accounting, 1935, Basic auditing principles, 1937). Einaudi 4618; Goldsmiths' 28450; Kress C.3838; Mattioli 2949; Sraffa 4834. Schumpeter, History of Economic Analysis, 1954, pp. 468-9. Octavo. Uncut in original boards, rebacked in blue pebbled cloth with printed paper label. Residue of removed bookplate to front pastedown, neat early ink note to p. 11. Covers worn at extremities, light damp staining to inner margin of first few leaves and lower outer corner throughout, lightly foxed, stain in the gutter of pp. 62/3, repaired closed tear (not affecting text) in the outer margin of pp. 411/2. A very good copy.