1. The purpose and materials of the study
Adam Smith is today considered the father of economics because he was above all a system builder. Smith's system combined a theory of human nature and a theory of history with a peculiar form of natural theo...
1. The purpose and materials of the study
Adam Smith is today considered the father of economics because he was above all a system builder. Smith's system combined a theory of human nature and a theory of history with a peculiar form of natural theology and some hardheaded observations of economic life. Narrowed to the economic sphere, his system featured the activities of agriculture, manufacturing, and commerce. Exchange in this system is facilitated by the use of money, and production is characterized by the division of labor. The three main features of his central analysis are the division of labor, the analysis of price and allocation, and the nature of econimic growth.
Especially his book, The wealth of Nations, published in 1776, is undoubtedly the foundation work of modern economic thought. In the book he wrote, "the annual lafour of every nation is the fund which originally supplies it with all necessaries and conveniencies of life which it annually consumes.", and so the thesis has an object to study of the Labor Thought, taking Smith's stand on the fund of National Wealth.
2. The organization of the thesis
The thesis is organized in the following order.
Chapter one, the introduction of the thesis, dealt with the purpose and materials of the study as well as the composition of the dissertation.
The second chapter made a survey of the Labor Thought of the pre-Smith, comprisiong the Holy Bible, mercantilism, and physiocracy.
Chapter three analyzed The Labor Thought by A.Smith, quotiong his book, "An inqury into the nature and causes of wealth of nations, 1776.", in focusing on the mechanism of the division of labor, the labor vale theory, wage theory of labor, productive labor and capital accumulation.
Finally, in the fourth chapter, the conclusion is presented along with recapitulation.