| 82

ON THE CAUSES

article cost him, each had a knowledge of the
producing cost of the article to be received in
exchange. But it is likely enough that they do
not possess this latter knowledge, and in this
case the defect will be supplied by the compe-
tition of the producers, which is itself governed
by the cost of production; and thus, although
the two parties to the bargain may not be
guided by a knowledge of what each article
has cost to produce it, they are determined by
considerations, of which the cost of production
is the real origin. This is still more strikingly
the case in other instances. A clergyman, who
received his tithes in kind, and exchanged
raw produce for cloth, might be ignorant of the
cost of either, yet the terms of his bargain
would be determined by the general cost of
both. The cost would regulate the point at
which the competition of the producers would
fis each article, or their ordinary prices; and a
knowledge of these prices would operate on his
mind in the exchanges which he made.
Whatever circumstances, therefore, act with