An Inquiry into the Nature and Causes of the Wealth of Nations is the magnum opus of the Scottish economist Adam Smith. It is a compelling account of economics at the dawn of the Industrial Revolution, as well as a rhetorical piece written for the generally educated individual of the 18th century—advocating a free market economy as more productive and beneficial to society. The work is hailed as a watershed in history and economics owing to its comprehensive, largely accurate characterization of economic mechanisms that survives in modern economics, and effective use of rhetorical technique including structuring the work to contrast real world examples of free and fettered markets. Like all great books, The Wealth of Nations is the outpouring not only of a great mind, but of a whole epoch. Adam Smith laid the foundation of the laissez faire philosophy by criticizing governmental regulation of trade, commerce and economic activity. The subject matter is divided into five books. Book I deals with the concept of ‘division of labour’ and its impact on the productivity of labour. Adam Smith divides the society into three social classes: capitalists owning capital; landlords owning land and obtaining their income as rent on land; and workers getting their income as wages from selling their labour in the market. Book II deals with capital accumulation and economic growth and is considered to form the cornerstone of Wealth of Nations. Book III contains a long historical narrative of the development of agriculture in Europe since the fall of the Roman Empire. Book IV deals with Adam Smith’s critique of both Mercantilism and Physiocracy which dominated economic thinking in Europe, especially in Western Europe, for nearly three centuries prior to the publication of this book. In Book V, Adam Smith develops a theory of public finance that has effectively influenced all conservative thinking on public finance almost until today. In comparatively recent years, especially after the bicentenary celebrations of the publication of The Wealth of Nations, a renewed interest in classical economics has turned the attention of many economists to re-examine Adam Smith's contributions to political economy. In this edition of the Wealth of Nations, the superb and scholarly introduction by Robin Ghosh will re-ignite discussions and re-interpretations of Smith’s path-breaking work. It will prove immensely useful to the students and teachers of economics, researchers in this field as well as economists and policymakers.

Table of Contents:
Foreword; Acknowledgements; Introduction; BOOK I—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 I—Of the Division of Labour; CHAPTER II—Of the Principle which gives Occasion to the Division of Labour; CHAPTER III—That the Division of Labour is limited by the Extent of the Market; CHAPTER IV—Of the Origin and Use of Money; CHAPTER V—Of the real and nominal Price of Commodities, or of their Price in Labour, and their Price in Money; CHAPTER VI—Of the component Parts of the Price of Commodities; CHAPTER VII—Of the natural and market Price of Commodities; CHAPTER VIII—Of the Wages of Labour; CHAPTER IX—Of the Profits of Stock; CHAPTER X—Of Wages and Profit in the different Employments of Labour and Stock; CHAPTER XI—Of the Rent of Land—BOOK II—Of the Nature, Accumulation, and Employment of Stock—CHAPTER I—Of the Division of Stock; CHAPTER II—Of Money considered as a particular Branch of the general Stock of the Society, or of the Expence of maintaining the National Capital; CHAPTER III—Of the Accumulation of Capital, or of productive and unproductive Labour; CHAPTER IV—Of Stock lent at Interest; CHAPTER V—Of the different Employment of Capitals—BOOK III—Of the different Progress of Opulence in different Nations—CHAPTER I—Of the Natural Progress of Opulence; CHAPTER II—Of the Discouragement of Agriculture in the ancient State of Europe after the Fall of the Roman Empire; CHAPTER III—Of the Rise and Progress of Cities and Towns, after the Fall of the Roman Empire; CHAPTER IV—How the Commerce of the Towns contributed to the Improvement of the Country—BOOK IV—Of Systems of political Economy—CHAPTER I—Of the Principle of the commercial, or mercantile System; CHAPTER II—Of Restraints upon the Importation from foreign Countries of such Goods as can be produced at Home; CHAPTER III—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; CHAPTER IV—Of Drawbacks; CHAPTER V—Of Bounties; CHAPTER VI—Of Treaties of Commerce; CHAPTER VII—Of Colonies; CHAPTER VIII—Conclusion of the Mercantile System; CHAPTER IX—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—BOOK V—Of the Revenue of the Sovereign or Commonwealth—CHAPTER I—Of the Expences of the Sovereign or Commonwealth; CHAPTER II—Of the Sources of the general or public Revenue of the Society; CHAPTER III—Of public Debts; Index