ABSTRACT
The history of the liberal economy, based on private business venture incorporated by sovereign state and operating outside of the monarchy’s realm of influence and interest, is remarkably short, lasting no more than 270 years, from the middle of the eighteenth century. In Hume’s view, the rentier is a form of ersatz aristocrat who benefits from a growing economy and, similar to the aristocrat, who relied primarily on a rural economy and could maintain control over that production, well into the end of the nineteenth century in backward economies such as Russia, add little value to the business operations. The finance-led economy includes creation of legislative practices, that is, legal conditions determine how, for example, credit is issued in the economy, and therefore neither economic theory nor economic sociology theory. Much of the conventional wisdom, say, things being taught at business schools, for instance, that financial institutions act as intermediaries between mature industries and entrepreneurial ventures, is an inadequate description.
