With his theoretical arguments that were based on his experiences, de la Court provided a link between the previous definition of free trade relating to the monopoly rights and exclusive commercial privileges of the 16th and 17th centuries, and the broader conception of the relationship between commercial policy of free trade and wealth creation which would become prevalent in the 18th century.
In the medieval and early modern period, opposition to exports was the predominant sentiment among thinkers and the general populace.
Inspirations for the theory included the economic system of China and Confucianism.
Between 17, Physiocracy influenced financial reforms leading to the institution of free trade in France.
Physiocracy is characterized by five distinct features, namely including individualism and laissez-faire minimal regulation of commerce, private property ownership, diminishing returns, and the need for working capital and reinvestment of the same. These and several other books were largely responsible for the growth of popularity of the theory afterward.
Essay On Trade And Commerce 1770 Chemistry Assignment Help
The Physiocrats group came to an end in 1776 after its leaders were exiled.
The theory is criticized for overemphasizing on agriculture and ignoring the role of manufacturing in the economy as well as perfectionism whereby they sought a perfect economic system or the absence of one.
Exchanging commodities by commercial transaction is one of the most direct forms of transferring cultural and intellectual capital.
These classes are based on the belief that the wealth of the society relies on the labor of the productive class where each man can increase productivity.
The labor of the productive class is managed by the proprietors and landowners while the sterile class is involved in the production of non-agricultural products but consume agricultural output.