The Wealth of Nations

The Wealth of Nations
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The Wealth of Nations is the magnum opus of the Scottish economist and moral philosopher Adam Smith. The book offers one of the world's first collected descriptions of what builds nations' wealth, and is today a fundamental work in classical economics. By reflecting upon the economics at the beginning of the Industrial Revolution, the book touches upon such broad topics as the division of labor, productivity, and free markets. The Wealth of Nations was the product of seventeen years of notes and earlier works, as well as an observation of conversation among economists of the time concerning economic and societal conditions during the beginning of the Industrial Revolution. The result was a treatise which sought to offer a practical application for reformed economic theory to replace the mercantilist and physiocratic economic theories that were becoming less relevant in the time of industrial progress and innovation.

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Adam Smith. The Wealth of Nations

The Wealth of Nations

Table of Contents

Introduction and plan of the work

Part 1. Of the Causes of Improvement in the productive Powers of Labour, and of the Order according to which its Produce is naturally distributed among the different Ranks of the People

Chapter 1. Of the Division of Labour

Chapter 2. Of the Principle which gives Occasion to the Division of Labour

Chapter 3. That the Division of Labour is limited by the Extent of the Market

Chapter 4. Of the Origin and Use of Money

Chapter 5. Of the real and nominal Price of Commodities, or of their Price in Labour, and their Price in Money

Chapter 6. Of the component Parts of the Price of Commodities

Chapter 7. Of the natural and market Price of Commodities

Chapter 8. Of the Wages of Labour

Chapter 9. Of the Profits of Stock

Chapter 10. Of Wages and Profit in the different Employments of Labour and Stock

Part 1: Inequalities arising from the Nature of the Employments themselves

Part 2: Inequalities by the Policy of Europe

Chapter 11. Of the Rent of Land

===Part 1: Of the Produce of Land which always affords Rent===

===Part 2: Of the Produce of Land which sometimes does, and sometimes does not, afford Rent===

===Part 3: Of the Variations in the Proportion between the respective Values of that Sort of Produce which always affords Rent, and of that which sometimes does and sometimes does not afford Rent===

1. First Period

2. Second Period

3. Third Period

VARIATIONS IN THE PROPORTION BETWEEN THE RESPECTIVE VALUES OF GOLD AND SILVER

GROUNDS OF THE SUSPICION THAT THE VALUE OF SILVER STILL CONTINUES TO DECREASE

DIFFERENT EFFECTS OF THE PROGRESS OF IMPROVEMENT UPON THREE DIFFERENT SORTS OF RUDE PRODUCE

4. First Sort

5. Second Sort

6. Third Sort

CONCLUSION OF THE DIGRESSION CONCERNING THE VARIATIONS IN THE VALUE OF SILVER

EFFECTS OF THE PROGRESS OF IMPROVEMENT UPON THE REAL PRICE OF MANUFACTURES

7. Conclusion of the chapter

Part 2. Of the Nature, Accumulation, and Employment of Stock

Chapter 1. Of the Division of Stock

Chapter 2. Of Money considered as a particular Branch of the general Stock of the Society, or of the Experience of maintaining the National Capital

Chapter 3. Of the Accumulation of Capital, or of productive and unproductive Labour

Chapter 4. Of Stock lent at Interest

Chapter 5. Of the different Employment of Capitals

Part 3. Of the different Progress of Opulence in different Nations

Chapter 1. Of the Natural Progress of Opulence

Chapter 2. Of the Discouragement of Agriculture in the ancient State of Europe after the Fall of the Roman Empire

Chapter 3. Of the Rise and Progress of Cities and Towns, after the Fall of the Roman Empire

Chapter 4. How the Commerce of the Towns contributed to the Improvement of the Country

Part 4. Of Systems of political Economy

Chapter 1. Of the Principle of the commercial, or mercantile System

Chapter 2. Of Restraints upon the Importation from foreign Countries of such Goods as can be produced at Home

Chapter 3. Of the extraordinary Restraints upon the Importation of Goods of almost all Kinds, from those Countries with which the Balance is supposed to be disadvantageous

1. Of the Unreasonableness of those Restraints even upon the Principles of the Commercial System

DIGRESSION CONCERNING BANKS OF DEPOSIT, PARTICULARLY CONCERNING THAT OF AMSTERDAM

2. Of the Unreasonableness of those extraordinary Restraints upon other Principles

Chapter 4. Of Drawbacks

Chapter 5. Of Bounties

DIGRESSION CONCERNING THE CORN TRADE AND CORN LAWS

Chapter 6. Of Treaties of Commerce

Art. I

Art. II

Art. III

Chapter 7. Of Colonies

1. Of the Motives for establishing new Colonies

2. Causes of Prosperity of New Colonies

3. Of the Advantages which Europe has derived from the Discovery of America, and from that of a Passage to the East Indies by the Cape of Good Hope

Chapter 8. Conclusion of the Mercantile System

Chapter 9. Of the Agricultural Systems, or of those Systems of Political Economy, which represent the Produce of Land, as either the sole or the principal Source of the Revenue and Wealth of every Country

Part 5. Of the Revenue of the Sovereign or Commonwealth

Chapter 1. Of the Expences of the Sovereign or Commonwealth

1. Of the Expense of Defence

2. Of the Expense of Justice

3. Of the Expense of Public Works and Public Institutions

Article 1: Of the Public Works and Institutions for facilitating the Commerce of the Society And, first, of those which are necessary for facilitating Commerce in general

Article II: Of the Expense of the Institutions for the Education of Youth

Article III: Of the Expense of the Institutions for the Instruction of People of all Ages

4. Of the Expense of Supporting the Dignity of the Sovereign

5. Conclusion

Chapter 2. Of the Sources of the general or public Revenue of the Society

1. Of the Funds or Sources of Revenue which may peculiarly belong to the Sovereign or Commonwealth

2. Of Taxes

Article I: Taxes upon Rent. Taxes upon the Rent of Land

Article II: Taxes on Profit, or upon the Revenue arising from Stock

Appendix to Articles I and II

Article III Taxes upon the Wages of Labour

Article IV: Taxes which, it is intended, should fall indifferently upon every different Species of Revenue

Chapter 3. Of public Debts

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Adam Smith

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The exclusive privileges of corporations are the principal means it makes use of for this purpose.

The exclusive privilege of an incorporated trade necessarily restrains the competition, in the town where it is established, to those who are free of the trade. To have served an apprenticeship in the town, under a master properly qualified, is commonly the necessary requisite for obtaining this freedom. The bye laws of the corporation regulate sometimes the number of apprentices which any master is allowed to have, and almost always the number of years which each apprentice is obliged to serve. The intention of both regulations is to restrain the competition to a much smaller number than might otherwise be disposed to enter into the trade. The limitation of the number of apprentices restrains it directly. A long term of apprenticeship restrains it more indirectly, but as effectually, by increasing the expense of education.

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