Books

3 Volumes. 8vo. pp. x, 499; vi, 518, [5]; v, 465, [49]index, [1]ads. contemporary tree calf (bit rubbed, small patch of leather missing from lower front joint & lower spine of Vol. II, occasional light foxing). Seventh Edition. Although Adam Smith did not create the study of political economy, The Wealth Of Nations, coming at a point when natural liberty was being debated, had a decisive influence both on the study of national economy and on the freeing of economic policy from the artificial restraint of the mercantilist system. Smith s statement that labour is the source of a nation s commodities and that the variations in stock values are due to the interaction of wages, profits, and rent, formulated the doctrine of the classic school of economic thought, and round it all modern economic discussion has revolved." (PMM)Goldsmiths 15565. Kress B.2618. Vanderblue p. 4. cfPMM 221.

"The Wealth of Nations" is a seminal work by the Scottish economist and philosopher Adam Smith, published in 1776. It is considered one of the foundational texts of modern economics and a cornerstone in understanding the principles of capitalism and free-market economies. Smith's primary focus is to analyze the nature and causes of the wealth of nations. He introduces the concept of the "invisible hand," arguing that individuals pursuing their self-interest in a competitive market inadvertently contribute to the overall economic well-being of society. Smith illustrates how the division of labor leads to increased productivity and efficiency within industries, consequently fostering economic growth. He emphasizes that specialization allows workers to become more skilled and efficient at their tasks, leading to higher output. Central to Smith's ideas is the notion of free trade and the benefits it brings. He advocates for minimal government intervention in economic affairs, believing that markets left to operate freely tend to regulate themselves through the forces of supply and demand. However, Smith also acknowledges the importance of certain governmental roles, such as providing public goods, maintaining infrastructure, enforcing contracts, and protecting society from external threats. Smith criticizes mercantilism, the prevailing economic system of his time, which emphasized accumulating wealth through a positive balance of trade and a strong focus on exporting while limiting imports. He argues that this approach is counterproductive and advocates for free trade, stating that a nation's wealth is not solely measured by its stock of gold and silver but by the productivity and living standards of its people. Furthermore, Smith discusses the role of wages, profits, and rent in the economy, addressing factors influencing each and their impacts on economic development. He delves into the relationship between economic growth, capital accumulation, and technological progress, highlighting the significance of innovation and investment in driving long-term prosperity. In essence, "The Wealth of Nations" provides a comprehensive analysis of the mechanisms underlying economic systems, advocating for free markets, individual liberty, and limited government intervention as the pillars for generating wealth and fostering societal advancement. Its influence extends across various fields, shaping economic thought and policy for centuries to come.