Economists know Adam Smith as Economic Father, Father of Trade and Father of Specialization.
He had popular slogan, if you want to be rich, Trade now! Smith believes that through Trading, a nation can be rich. His phenomenal book, The Wealth of Nation gives us rich information, information about how a nation can be reach. Adam Smith is also called as Father of Colonialism, because though his idea, the wealth of nations, WEST turn to war, conqueror nation with high resources. Smith is sounder of Mercantile Thought, Gold as Wealth and Rich Symbol. Gold in Africa had been extinct, Yellow Sandalwood too in my island Flores and many place with High recourses will charmed WEST.
Smith thought covered to Specialization. He said, we can win (surplus) with other nation if our Cost is lowest. The battle is how much cost (money) you spent to produce INPUT to OUTPUT.
The implementation of his thought is Absolute Advantages. Absolute advantages could be read as Lower Cost to produce. If you have much wool than your neighbor, please sell the wool or you can produce any good that came from the INPUT WOOL. I think that is an Adam Smith Implementation. Read more »
Tags: Adam Smith, Economic Thought, specialization, Trade, Wealth of Nation
