What did David Hume argue about wealth in Political Discourses?

In his Political Discourses (1752), the Scottish philosopher David Hume challenged prevailing economic assumptions regarding the nature of prosperity. His primary argument was that true wealth consists not of money but of commodities.1

Hume contended that the amount of money in circulation must remain proportional to the quantity of goods available in the market. Furthermore, he argued that a low rate of interest is not a sign of an excess of money, but rather an indicator of booming trade. He also maintained that no nation can sustain an economy based solely on exporting for bullion and that free trade is mutually beneficial because each nation possesses unique advantages in raw materials, climate, and skill.1

Hume viewed the transition from an agricultural to an industrial economy as a necessary precondition for the advancement of civilization.1