In 1830, the French historian and Traveller Alex de Tocqueville got surprised when he saw

new face of Manchester City. It was an era of industrial revolution where large number of
industries set up, everywhere he heard industrial noise as they were producing goods, cloths,
glass and cutlery, cheap and few were new inventions.

People from farming background had shifted to town which resulted in increase in demand of
wheat. Beyond the town agricultural activities were going on.Many people made huge
amount as they invested in industries. David Ricardo also got benefited from it, he was
leading stockbroker, he was inspired by Adam Smith’s the wealth of nations, when he was 14
his father send him to work in stock market where he earned a lot. Then he helped lend
money to government to fight Napoleon, when news of British victory came and overnight
Ricardo became one of the wealthiest man in Britain.

As the economy of Britain was boosting one question arrived, how this wealth will be
divided between land owners, the capitalist and workers. This problem got widen, when
workers got angry over high food prices. According to Ricardo, high food prices cost high
rents and lowering it would not solve the problem. He believed that land owners were taking
huge share, he explains his logic as when demand increases farmer have to grow wheat on
less fertile area which eventually increases the cost of production and lowers the profit of
farmers for more fertile and former pay more to landlord in such a scenario landlords gets
more revenue. Profit of capitalist were also fallen because they had to buy wheat bread for
labours at high price. Ricardo concluded that ‘the interest of landlord is always opposed to
the interest of every other class in the community ‘. Land owners were spending their money
on their expenditure only which do not contribute in long-term wealth of the nation.

That time Britain had law that banned cheap foreign grain this, in 1819 a demonstration held
at Saint Peter's field to end this Corn law which eventually turned into blood bath known as
Peterloo massacre. When he became Member of Parliament he proposed solution and tried
his best but all efforts gone in vain, later somehow he won argument and after a decade of his
death Britain removed Corn laws. Ricardo believed that cheap foreign goods should be
imported and Other goods should be exported which will benefit other country also this idea
of comparatively comparative advantage advancement become of the most cherished
principle of economy, later he became land lord but still he was arguing for free trade.

Comment: Totally agree with thinking of Ricardo, that Nations should import instead of
producing all goods.