Adam Smith is called the father of modern economics and his book.pdf

Adam Smith is called the \"father of modern economics\" and his book The Weath of Nations, a
fundamental work in the field of economics, is considered the first modern book on economics.
In addition, economics first became a study in 1776 when The Wealth of Nations was published.
Why is the word \"modern\" used in both descriptions? I know that individuals throughout the
centuries and even Aristotle have dabbled with some economic theories, but I do not recall
anyone making any significant contributions to economics before Adam Smith.
Were there important contributions to economics made before 1776? If not, then why do we use
the term \"modern\" even if there was no one in the study previously?
Solution
Direct predecessors to Adam Smith within the classical tradition (maybe a more useful
distinction than modern) include Hume, Locke and Dudley North. Before the classical
economists, there were the physiocrats (18th century), such as Francois Quesnay and Turgot. The
physiocrats emphasised agricultural productivity as a driver of the wealth of nations. They were
contemporaneous with, but also preceded by mercantilists (16th century - 18th century).
Mercantilists mostly concentrated on creating a favorable balance of trade, which would allow
reserves to accumulate in the possession of an absolute ruler. They emphasized government
control of the economy as an extension of state power. The mercantilists had a lot of influence in
the policies of nations, for instance in the form of Colbert. Famous writers might include de
Malynes and Mun. Mercantilists were one of the main targets of Adam Smith\'s critique. The
distinction being that mercantilists believed the quantity of reserves to be the ultimate source of a
nation\'s wealth and so emphasized protectionism, while Smith focused more on trade allowing
inputs to become more productive. In doing so he was very influenced by Quesnay to whom he
had considered dedicating The Theory of Moral Sentiments. The inclusion of gains from trade,
self-interest and competition leading to increased productivity, and division of labor
distinguishes Smith from these earlier writings and forms the link to \"modern\" economics.
There were also \"economists\" long before the 16th century, the connections between them and
economics is we understand it tends to become more tenuous the farther back you go. Iba
Khaldun is a good example, Aristotle (or more likely one of his students) literally wrote a book
called \"Economics\" (this deals with economics in the literal sense of management of a
household), you could also talk about Hesiod\'s \"Works and Days\" (a very old text indeed)
being an example of early economics..

1. Adam Smith is called the \"father of modern economics\" and his book The Weath of Nations, a
fundamental work in the field of economics, is considered the first modern book on economics.
In addition, economics first became a study in 1776 when The Wealth of Nations was published.
Why is the word \"modern\" used in both descriptions? I know that individuals throughout the
centuries and even Aristotle have dabbled with some economic theories, but I do not recall
anyone making any significant contributions to economics before Adam Smith.
Were there important contributions to economics made before 1776? If not, then why do we use
the term \"modern\" even if there was no one in the study previously?

Solution

Direct predecessors to Adam Smith within the classical tradition (maybe a more useful
distinction than modern) include Hume, Locke and Dudley North. Before the classical
economists, there were the physiocrats (18th century), such as Francois Quesnay and Turgot. The
physiocrats emphasised agricultural productivity as a driver of the wealth of nations. They were
contemporaneous with, but also preceded by mercantilists (16th century - 18th century).
Mercantilists mostly concentrated on creating a favorable balance of trade, which would allow
reserves to accumulate in the possession of an absolute ruler. They emphasized government
control of the economy as an extension of state power. The mercantilists had a lot of influence in
the policies of nations, for instance in the form of Colbert. Famous writers might include de
Malynes and Mun. Mercantilists were one of the main targets of Adam Smith\'s critique. The
distinction being that mercantilists believed the quantity of reserves to be the ultimate source of a
nation\'s wealth and so emphasized protectionism, while Smith focused more on trade allowing
inputs to become more productive. In doing so he was very influenced by Quesnay to whom he
had considered dedicating The Theory of Moral Sentiments. The inclusion of gains from trade,
self-interest and competition leading to increased productivity, and division of labor
distinguishes Smith from these earlier writings and forms the link to \"modern\" economics.
There were also \"economists\" long before the 16th century, the connections between them and
economics is we understand it tends to become more tenuous the farther back you go. Iba
Khaldun is a good example, Aristotle (or more likely one of his students) literally wrote a book
called \"Economics\" (this deals with economics in the literal sense of management of a
household), you could also talk about Hesiod\'s \"Works and Days\" (a very old text indeed)
being an example of early economics.