June marks the tricentenary of philosopher and ‘father of economics’ Adam Smith. In this article for Mint, Dr Niranjan Rajadhyaksha, Executive Director, Artha Global, writes that Smith’s ideas provide timeless insights into economics and human behaviour.
Excerpts below:
“First, prosperity emerges from human effort rather than the natural bounties of the soil or the stock of precious metals accumulated in a state treasury through trade surpluses. […] Second, human effort creates prosperity when people can specialize in select tasks, or what Smith called the division of labour. […] Third, a commercial society that is powered by human effort rather than government design brings along something more than just economic development. The Smithian vision was panoramic.
“Smith can be interpreted in many ways, as is the case with most great thinkers who wrote for their times but also left behind lessons for eternity. The best way to engage with any of them is to read their own words in the original, even if it is by just dipping into their books to get a feel of what they want to say.”
Read the full article here.
