David Ricardo

David Ricardo (1772-1823) was a British political economist who is considered one of the most important figures in the history of economic thought. He was a classical economist who developed the theory of comparative advantage, which is still used today to explain international trade. Ricardo also made important contributions to the theory of value, the theory of distribution, and the theory of money.

Ricardo was born in London to a wealthy Jewish family. He received a classical education and studied law at the University of Edinburgh. However, he abandoned his legal studies to pursue a career in business. In 1799, he married a woman named Priscilla Anne Wilkinson, and they had two children together.

Ricardo's first major work, The Principles of Political Economy and Taxation, was published in 1817. In this book, he developed his theory of comparative advantage, which states that a country should specialize in the production of goods and services in which it has a comparative advantage. This theory has been used to explain why countries trade with each other and how trade can benefit both countries.

Ricardo also made important contributions to the theory of value. He argued that the value of a good or service is determined by the amount of labor required to produce it. This theory is known as the labor theory of value.

Ricardo also developed the theory of distribution, which explains how the factors of production (land, labor, and capital) are rewarded. He argued that the rent of land, the wages of labor, and the profit of capital are determined by the forces of supply and demand.

Ricardo also made important contributions to the theory of money. He argued that the value of money is determined by the quantity of money in circulation. This theory is known as the quantity theory of money.

Ricardo's work had a profound impact on the development of economic thought. He is considered one of the most important figures in the history of economics, and his work continues to be studied and debated today.

In addition to his work in economics, Ricardo was also a successful businessman. He owned a large estate in Gloucestershire, England, and he was involved in a number of business ventures. He was also a member of the British Parliament, and he served as a financial advisor to the government.

Ricardo died in 1823 at the age of 51. He is buried in the Church of St Mary the Virgin in Gatcombe, Gloucestershire.