The Wealth of Nations is a book written by Scottish economist Adam Smith in 1776. It explores the principles of capitalism and free markets, emphasizing the importance of individual self-interest and competition in driving economic growth.
Related terms
Invisible Hand: This concept introduced by Adam Smith suggests that individuals pursuing their own self-interests can unintentionally benefit society as a whole through the invisible hand mechanism.
Laissez-faire: Laissez-faire refers to an economic policy advocating minimal government intervention in business affairs. It aligns with Adam Smith's belief that markets should operate freely without excessive regulation.
Capitalism: Capitalism is an economic system characterized by private ownership of resources and means of production, where individuals operate businesses to generate profit within a competitive market framework.