The Importance of Adam Smiths Work to Economic Thought Essay -- Adam

The Importance of Adam smiths Work to economical ThoughtAdam Smith is widely regarded as the father of political economy as a social science, and is perhaps best known for his meet The Wealth of Nations. Throughout this work Smith states and informs towards his belief that society is non at its most productive when ruled over by rules and limitations with regards to trade, and that in order for marts to maximise prosperity, a free trade environment should be made accessible. In this essay I intend to asses the way in which many of Smiths theories taken directly form his works can be applied to past and current situations, offset printing from an economic wherefore social, and then a political point of view. I will also digest some of Smiths major theories on market determining factors, such as supply and demand, and the labour theory of value, with focus on how these theories can be applied to current day situations, demonstrating the strength of his works.I believe it is fi rst important to mention that Smith was raised in a market environment in which mercantile system was regarded as the most positive indemnity with which to increase a countries wealth. This theory is based upon the idea that a countries assets are a measure of its prosperity as a nation, and so therefore was often implemented using such policies as high pass judgment of exports, and low rambles of imports. In order to ensure this low rate of imports tariffs were often imposed on goods entering the country. Adam Smith was maven of the first men to voice his opinions on this mercantile system, stating that the policies were flawed, and that assets and wealth were non good measures of a countries prosperity, and that in fac... ...cy.I dont believe that without Smith, economics would not exist, but I do feel it would wishing in much of its transferability between past and modern day scenarios.Referenceshttp //en.wikipedia.org/wiki/Mercantilismhttp//www.martinfrost.ws/htmlfiles/wealth_nations.html - obtain trolley example of invisible handhttp//en.wikipedia.org/wiki/Division_of_labourBibliographyhttp//en.wikipedia.org/wiki/Mercantilismhttp//www.martinfrost.ws/htmlfiles/wealth_nations.html - Shopping trolley example of invisible handhttp//en.wikipedia.org/wiki/Division_of_labourCanterbury E R A History of Economic Thought, Penguin, London 1991Dowd D Capitalism and Economics, Pluto, London 1995Smith A The Wealth of Nations, Dswavid Campbell Publishers 1991