Optimism - adam smith - division of labour

Optimists

Liberty, Labour, Trade and harmony of interest

Optimism

Belief in positive outcomes regardless of challenges

Optimist

Person who sees the positive side of situations

Adam Smith

Father of the economy, originator of the invisible hand concept

The Theory of Moral Sentiments

Smith's book on human interaction and decision-making based on self-interest

The Wealth of Nations

Smith's influential book on open markets and work division

Invisible Hand

Concept of market forces determining prices and trade volume

First Minister William Pitt

Follower of Smith's ideas, reduced trade tariffs and promoted free trade

Law of Supply & Demand

Higher prices decrease demand and increase supply

Self-interest

Motivation for economic activity according to Smith

Limits and protection of the law

Individuals, not governments, should decide production and consumption

Role of state and taxes

Private sector should not be excessively taxed, principles of ability to pay and equivalence

Division of Labor

Specialization to increase productivity, illustrated by pin factory example

Globalization

Smith's support for labor division between cities and countries

Dangers of division of labor

Inconveniences such as difficulty finding work, dependence on individuals, and mental strain

Karl Marx

Agreed with Smith's analysis on division of labor

Communist Manifesto

Marx's work predicting worker revolt against harsh labor conditions