Agricultural Productivity and Economic Growth in England, 1700–1760: A Comment

Extract

In his recent article in this Journal, A. H. John has attempted to show how low grain prices in the first half of the eighteenth century stimulated economic growth. His argument runs that after the Restoration,

…there followed almost a century of comparative plenty, bringing an increasing flow of food and raw materials. The most pronounced fall in prices occurred in grains … Because [the bread grains] entered very largely into the diet of most groups in society, a fall in their prices lowered the cost of living and so raised per capita real incomes …. Income tended to move into the hands of people, who, through habit and/or necessity, were more likely to spend than hoard …. Many of the growth points stemmed from a buoyant home market.