Adam Smith – Published Works of the Father of Modern Economics

We all know that Adam Smith is known as the Father of Modern Economics because he was first and foremost a system builder. He was a British political economist and philosopher. His works can be described as the foundations of economic theory. His collective books were included in The Wealth of Nations Book 1 to 3. It is within these books that the economy from the 18th century to the present is studied. There is evidence that he began to make a general analysis of the system for almost two decades before the publication of The Wealth of Nations, and the summary of that system was clearly visible before 1776. Smith’s system is mixed with a theory of human nature and a theory of history with a distinctive form of natural theology and some practical observations of economic life.

According to Nebres’s book entitled Economics: Concepts, Theories and Applications, he mentions that “The Wealth of Nations has also possibly served, more than any other individual work in its field, as a means to systematically express the economic policies of governments. This means that across this range of view, it has undergone considerable modification by economists in light of historical growth since Smith’s time.

There are several key Wealth of Nations concepts that Smith mentions about how wealth is produced and distributed in society.

First, the division of labor

Second are wage rates.

Third is the distribution of wealth.

In fourth place are natural and market prices.

Fifth is Smith and mercantilism.

Sixth is the law of diminishing returns.

The seventh is Smith and Physiocracy.

The eighth is a natural product.

The ninth are governments.

The tenth and final concept is human behavior.