176 Professor Whewell on the 



unassisted labour, we may measure by it the variations of price 

 in other things. 



Let X labourers, unassisted by capital, produce p units of 

 money. When wages rise, the produce of the same labour will 

 be of the same value, therefore the unit of money will not alter 

 in value. Hence we have 



p = \iv(l + 7), p = \w(l+u)(l+y) 

 (l + 7 ')(l+a)=l+ 7 ; l+ y '=l±l; 



7 - 7' = 2 : hence by what precedes 

 ™,. i.J M ( 1 +7) ; (1+7) (! + "»)« )_ ««/»(! +7) 



This is always negative, and hence we have Mr. Ricardo's as- 

 sertion that on these suppositions, prices fall by a rise of wages. 

 (P- 41). 



The above calculation is inexact, for d would alter when 7 

 becomes 7': but if d be considerable, this error would be in- 

 considerable. 



The supposition here made, that profits are entirely passive, is 

 manifestly inadmissible; for if profits were 10 per cent., a rise of 

 10 per cent, in wages would annihilate profits altogether: which 

 is absurd. 



TAXES. 



13. The general problem on this subject, is to determine the 

 ultimate incidence of any given tax, according to the preceding 

 postulates. 



(1). Taxes on raw Produee (Ric. Chap. vm). 



Let a tax which is a portion t of the whole, be imposed on 

 the produce. It affects all soils, and therefore the limiting soil, 



