Adam Smith Wealth of Nations - Essay Example

Only on StudentShare

Extract of sample
Adam Smith Wealth of Nations

Smith is actually considered to be the Father of Modern Economics.Adam Smith's ideas as reflected in his work are still relevant today. His concept of free-trade is still what majority of the world's economy is practicing. Free trade, according to Smith, is the ability of the economy to produce the sufficient amount of goods and provide different varieties with the guidance of what he calls "the invisible hand." If there is a shortage of a certain product, price tends to increase which, in turn, gives higher profit to the producers. This entices more producers to enter the market which leads to the increase in supply of the product and more competition among the producers. Given this condition, price naturally gets lower. Once the price gets too low that the producers would incur losses than profits, they will be out of business. Although this competition can be due to human's pursuit of self-interest, this benefits the society as a whole by keeping the prices of goods at a low level and, at the same time, having a variety of products and services.This idea is what happens in our modern economic society. Businesses get into the market because they can see a potential profitable market. And what prevents these businesses to monopolize in their field is the fact that there will be other businesses or individuals who would want to get into the same market and have a fair competition. ...Show more


Adam Smith is one of the well-known political economists in the 18th century because of his work called "An Inquiry into the Nature and Causes of the Wealth of Nations" or simply called Wealth of Nations. …
Author : knienow
Save Your Time for More Important Things
Let us write or edit the essay on your topic
"Adam Smith Wealth of Nations"
with a personal 20% discount.
Grab the best paper

Related Essays

The argument in "The Wealth of Nations" by Adam Smith depends on the possibility of "failure". Why is this so What implications does this have
It is now fairly clear that Smith's insights into national policy formulation were spread across all three branches of his science of the legislator. The Theory of Moral Sentiments - badly illustrated as a theory of human action - is the first branch of the science, and in closing it promises "an account of the general principles of law and government, and of the various revolutions they have undergone in the different ages and periods of society" (Theory of Moral Sentiments: 342).
5 pages (1250 words) Essay
The Impact Of Tourism In The Construction Industry
Areas rich in natural heritage and biodiversity like the costal zones and the Mediterranean regions are found to be very prone to the negative impacts of land alterations (WTO, 2005). However, tourist flow in nature-rich destinations like the Mediterranean countries is increasing thereby calling for construction of more tourist accommodations and infrastructures.
8 pages (2000 words) Essay
The argument in "The Wealth of Nations" by Adam Smith depends on the possibility of "failure". Why is this so? What implications does this have?
Most of these principles are based upon the concept of certain economic actions arising naturally out of man’s desire to prevent failure through achieving the best terms for himself. Since
5 pages (1250 words) Essay a great enemy to good management. Adam Smith, (1776), The Wealth of Nations, Book I, Chapter XI. Discuss.
Within this context the idea of ownership becomes the overriding factor. In his book the Wealth of Nations (1776) 1Adam Smith spoke of various models of social organization where he has analysed presentations of pre-capital accumulation and the resultant effects of
4 pages (1000 words) Essay
Adam smith biography
His unforgettable teacher at Glasgow University was Francis Hutcheson. Then Smith studied at Balliol College, Oxford, from 1740 to 1746. After that period, Smith started his career as public
8 pages (2000 words) Essay
Adam Smith: Wealth of Nations - Book IV, Chaper II
He lectured at Glasgow University, as the Chair of Logic and then as the Chair of Moral Philosophy. He delivered memorable lectures on natural theology, ethics, jurisprudence and economics. He retired from academia in 1764 and served as tutor to the young Duke of
5 pages (1250 words) Essay
Answer the following question about Adam Smith with 1-2 paragraph answers...
Q 2 No, it applies only to men. Dogs do not barter – it is not within their ability because Adam Smith claimed that man, and no other species, has the propensity to barter and trade. This propensity gave birth to the
7 pages (1750 words) Essay
U.S. Federal Reserve System.
Federal Reserve System operates like an independent entity to control public and private aspects and comprised of seven members elected by the senate and president on 14 years agreement (Plossers, pp.
2 pages (500 words) Research Paper
Find out how much would it cost
to get a custom paper written by a pro under your requirements!
Win a special DISCOUNT!
Put in your e-mail and click the button with your lucky finger
Your email