I. The Transforming of Instinctive into Conscious Impulses

It is interesting to bring before our souls some at least of the thoughts and conceptions which men arrived at about the social order. Thus, to begin with, the Mercantilists, as they are called, appeared on the scene with certain ideas about the economic life of society. On closer examination, their conceptions appear entirely dependent on the legal and juridical ideas which had already arisen in public life. Armed with these conceptions they tried to understand the course and evolution of trade and of modern industry in its first beginnings. The ideas of the Mercantilists are dependent above all on the study of trade. But they are also influenced by other things, influenced by the fact that the modern, more absolutist form of monarchy, with all its bureaucratic officialdom, assumed its peculiar configuration in their time. Again, their conceptions are conditioned by the fact that large quantities of precious metals were imported into Europe through the discovery of America; and that the old form of economy was now replaced by that which deals in money. Such influences as these determined the ideas of the earliest Political Economists—the Mercantilists. It is evident from the ideas that they express that their effort was to conceive public economic life and social life on the model of the old forms of private economic intercourse. And as you know, for the old private economic intercourse there were the Roman juridical ideas of legal rights. These ideas, as I said, they are now carried forward. Within the framework of these legal conceptions they simply tried to extend the laws of private economic life into the sphere of public life.