In the early periods of society, or more remarkably perhaps,
when the knowledge and capital of an old society are employed
upon fresh and fertile land, this surplus produce, this bountiful
gift of providence, shows itself chiefly in extraordinary high
profits, and extraordinary high wages, and appears but little in
the shape of rent. While fertile land is in abundance, and may be
had by whoever asks for it, nobody of course will pay a rent to a
landlord. But it is not consistent with the laws of nature, and
the limits and quality of the earth, that this state of things
should continue. Diversities of soil and situation must
necessarily exist in all countries. All land cannot be the most
fertile: all situations cannot be the nearest to navigable rivers
and markets. But the accumulation of capital beyond the means of
employing it on land of the greatest natural fertility, and the
greatest advantage of situation, must necessarily lower profits;
while the tendency of population to increase beyond the means of
subsistence must, after a certain time, lower the wages of
labour.

The expense of production will thus be diminished, but the
value of the produce, that is, the quantity of labour, and of the
other products of labour besides corn, which it can command,
instead of diminishing, will be increased. There will be an
increasing number of people demanding subsistence, and ready to
offer their services in any way in which they can be useful. The
exchangeable value of food will, therefore, be in excess above
the cost of production, including in this cost the full profits
of the stock employed upon the land, according to the actual rate
of profits, at the time being. And this excess is rent.