Say, Jean Baptiste


Also found in: Encyclopedia.

Say, Jean Baptiste

(1767–1832) a French economist who developed Adam SMITH's theory of the market in his Traité d’économic politique (1803). Say argued that since every product exchanges for another product, then every product put on the market creates its own demand and every demand exerted in the market creates its own supply This statement about interdependence in an exchange economy is often described as SAY's LAW. The principle has been used to deny the possibility of economic crisis associated with general overproduction of goods and services and to suggest that national economies would automatically function close to full employment.