ABSTRACT
This chapter aims to contribute to the understanding of Sir James Steuart's work, using some elements of modern classical theory. The pricing model is composed of two equations. The first one determines the relative price of the iron in terms of corn. The second equation determines the real land rent. There are three types of economic agents. First, there are the manufacturers or industrious men, those individuals capable of producing goods based on their willingness to assume production costs. Second, there are the workers free of serfdom, who survive in the cities by offering their labour force to manufacturers in exchange of wages. Third, there are the merchants who are individuals seeking to generate commercial profit. Social surplus is understood as the quantity of goods resulting from the difference between the total supply of a good and its demand in the form of physical means of production.
