Adam Smith- Scottish political economist, economist, philosopher and one of the founders of modern economic theory. His achievements in the field of economics as a science are compared with the Newtonian achievements in physics in terms of significance.

short biography

A small number of facts from the biography of Adam Smith have survived. It is known that he born June 1723 (exact date his birth is unknown) and baptized on June 5 in the town Kirkcaldy in the Scottish county of Fife.

His father is a customs official also named Adam Smith died 2 months before the birth of his son. It is assumed that Adam was the only child in the family. At the age of 4, he was kidnapped by gypsies, but was quickly rescued by his uncle and returned to his mother. Kirkcaldy was good school, and from childhood Adam was surrounded by books.

Study period

Aged 14 years old Adam Smith entered the University of Glasgow, where he studied the ethical foundations of philosophy for two years under the guidance of Francis Hutcheson. In his first year, he studied logic (this was a mandatory requirement), then moved to the class of moral philosophy. He studied ancient languages ​​(especially ancient Greek), mathematics and astronomy.

Adam had a reputation for being strange but intelligent. In 1740 he entered Oxford on a scholarship to continue his education, and graduated from it in 1746.

Smith was critical of the quality of education at Oxford, writing in "Wealth of Nations", what "in Oxford University most of the professors, for many years now, have given up altogether even the semblance of teaching.”. At the university, he was often sick, read a lot, but did not yet show interest in economics.

Homecoming

Summer 1746 he returned to Kirkcaldy, where he educated himself for two years. In 1748 Smith began lecturing at Edinburgh University . Initially, these were lectures on English literature, later - by natural law (which included jurisprudence, political teachings, sociology and economics).

It was the preparation of lectures for the students of this university that became the impetus for the formulation by Adam Smith of his ideas about the problems of economics. He began to express the ideas of economic liberalism, presumably, in 1750-1751.

basis scientific theory Adam Smith had a desire to look at a person from three sides: from the standpoint of morality and morality, from civil and state positions, from economic positions.

Ideas by Adam Smith

Adam lectured on rhetoric, the art of letter writing, and later on the subject of "achieving wealth", where he first expounded economic philosophy in detail. "obvious and simple system of natural freedom" which is reflected in his famous work .

Around 1750, Adam Smith met David Hume who was almost a decade older than him. The similarity of their views, reflected in their writings on history, politics, philosophy, economics and religion, shows that together they formed an intellectual alliance that played an important role in the period of the emergence of the so-called "Scottish Enlightenment".

"The Theory of Moral Sentiments"

In 1751 Smith was appointed professor of logic at the University of Glasgow. Smith lectured on ethics, rhetoric, jurisprudence, and political economy. In 1759 Smith published a book "The Theory of Moral Sentiments" based on the materials of his lectures.

AT this work Smith analyzed ethical standards of conduct providing social stability. At the same time, he actually spoke out against church morality, based on the fear of the afterlife and the promises of paradise.

He proposed as the basis of moral assessments "principle of sympathy", according to which morality is what causes the approval of impartial and insightful observers, and also spoke in favor of the ethical equality of people - the same applicability of moral standards to all people.

Smith lived in Glasgow for 12 years, regularly leaving for 2-3 months in Edinburgh. He was respected, made himself a circle of friends, led the lifestyle of a club man-bachelor.

Personal life

Information has been preserved that Adam Smith almost got married twice, in Edinburgh and Glasgow, but for some reason this did not happen. Neither in the memoirs of contemporaries, nor in his correspondence no evidence has survived that it would seriously affect him.

Smith lived with his mother survived by 6 years) and an unmarried cousin ( who died two years before). One of the contemporaries who visited Smith's house made a record, according to which the national Scottish food was served in the house, Scottish customs were observed.

Smith appreciated folk songs, dances and poetry, one of his last book orders - several copies of the first published volume of poetry Robert Burns. Despite the fact that Scottish morality did not encourage theater, Smith himself loved it, especially French theater.

The Wealth of Nations book

Smith became world famous after the publication of the book "An Inquiry into the Nature and Causes of the Wealth of Nations" in 1776. This book analyzes in detail how the economy could operate in complete economic freedom and exposes everything that prevents it.

The Wealth of Nations opened economics as a science
based on the doctrine of free enterprise

The book substantiates the concept freedom economic development , the socially useful role of individual egoism is shown, the special significance of the division of labor and the vastness of the market for the growth of labor productivity and national welfare is emphasized.

Last years

In 1778 Smith was appointed one of five Scottish Customs Commissioners in Edinburgh. Having a salary of £600, which was very high for those times, he continued to lead a modest lifestyle, spending money on charity. The only value left after him was the library collected during his life.

During Smith's lifetime, The Theory of Moral Sentiments was published 6 times, and "The Wealth of Nations" - Five times; the third edition of "Wealth" was significantly supplemented, including the chapter "Conclusion on the Mercantilist System".

In Edinburgh, Smith had his own club, on Sundays he arranged dinners for friends, visited, among others, Princess Vorontsova-Dashkova.

Adam Smith passed away July 17, 1790 aged 67 in Edinburgh after prolonged illness intestines.

Economic theory of Adam Smith

Very briefly, one can characterize the teachings of Adam Smith with two words laisser faire, which in French means non-interference, non-resistance and even connivance. Smith's Inquiries into the Nature and Causes of the Wealth of Nations (1776) gives an explanation of the laissez-faire policy.

If the economic activity of each person leads to the good of society - the main thing, Smith believes, is that this activity should not be constrained by anything (economic freedom).

1. Do nothing to hamper the mobility of the labor force - to abolish the guild device with its obligatory apprenticeship and the law on settlements. The worker himself must freely choose where to apply his only capital - labor power.

2. Complete freedom of trade - foreign and domestic, the abolition of state regulation of prices. Freedom to trade land, so that the land passes into the hands of those who are inclined to put it into circulation. This system of trade became known as free trade and became the policy of the English bourgeoisie.

3. Encouragement of competition, prohibition of monopolies. Smith went so far on this issue that he offered to compete even with priests for fuller freedom of religion.

4. The wealth of society depends on two causes - on the productivity of labor and on the ratio between the number of those who are engaged in useful work and the number of those who are not employed. To a greater extent from productivity. In the introduction and outline of the essay, you will read as Smith explains with the example of savage and civilized peoples. Smith goes one step further than the physiocrats and says that labor in industry, and not only in agriculture, creates value and is therefore productive. The deeper the division of labor, the higher the productivity and the greater the national product. Denying the influence of the state on the economy, Smith nevertheless speaks of the negative consequences of the division of labor, when each worker is obliged to perform only one simple operation, which will lead to the degeneration of the bulk of the people if the government does not take care of this.

5. Money is recognized only as a "wheel of circulation", while credit and, accordingly, interest on loans are needed only for the active use of capital.

6. The labor theory of value is developed and deepened by Adam Smith. Smith stresses that the value of a commodity is the average social cost of labor, not the specific cost of the producer. Smith blows the characteristic of the natural and market price of the goods. The natural value is expressed in money, the market value is formed under the influence of supply and demand. There are at least three conflicting views on value. The first - as labor costs, the second - as the amount of goods that can be bought for a given product, and the third - i.e. only by expressing commodities in each other and value as the sum of the costs of the capitalist, including his profit and the wages of the worker, in some industries also land rent - from this it follows that each of the factors - labor, land and capital participates in the creation of value and everyone has in it its part - rent, profit and wages, while value creates only labor, and rent and profit are deductions from value.

7. The theory of wages as the cost of necessary means of subsistence, but realistic additions are already being made. This is not just a physical minimum of funds, it depends on:

Place and time, historical and cultural level of development of the worker. (The pay in the North is higher, if only because we have to spend more on warm clothes and more high-calorie foods than, for example, in Africa).

The growth of wages is served by the struggle of workers for its increase.

When there is economic progress in society, the demand for labor increases, and in a market situation, the demand for goods increases their price.

8. Capital - the accumulated stock of tools, raw materials, means of subsistence and money. This can happen only with thrifty people who are close to asceticism. The main task for the capitalist is to accumulate capital, put it into circulation by giving work to hardworking people. The main task of the state is not to prevent the capitalist from accumulating capital, to help him in this, reducing the number of people engaged in unproductive labor - officials, the army, priests. Smith's study of the nature and causes of the wealth of nations.

Mother, Margaret Douglas, was the daughter of a significant landowner. It is assumed that Adam was the only child in the family, since no records of his brothers and sisters have been found anywhere. At the age of 4, he was kidnapped by gypsies, but was quickly rescued by his uncle and returned to his mother. It is believed that there was a good school in Kirkcaldy, and since childhood Adam was surrounded by books.

At the age of 14, he entered the University of Glasgow, the center of the so-called Scottish Enlightenment, where he studied the ethical foundations of philosophy for two years under Francis Hutcheson. In the first year he studied logic (this was a mandatory requirement), then he moved to the class of moral philosophy; studied ancient languages ​​(especially ancient Greek), mathematics and astronomy. Adam had a reputation for strangeness - for example, among a noisy company, he could suddenly think deeply. In 1740 he entered Balliol College, Oxford, receiving a scholarship to continue his education, and graduated from it in 1746. Smith was critical of the quality of teaching at Oxford, writing in The Wealth of Nations that "at Oxford University most of the professors have, for many years, given up even the semblance of teaching altogether." At the university, he was often sick, read a lot, but did not yet show interest in economics.

In 1748, Smith began lecturing at the University of Edinburgh - under the auspices of Lord Kames (Henry Hume), whom he met during one of his trips to Edinburgh. Initially, these were lectures on English literature, later on natural law (which included jurisprudence, political doctrine, sociology and economics). It was the preparation of lectures for the students of this university that became the impetus for the formulation by Adam Smith of his ideas about the problems of economics. He began to express the ideas of economic liberalism, presumably, in 1750-1751.

Around 1750, Adam Smith met David Hume, who was almost a decade older than him. The similarity of their views, reflected in their writings on history, politics, philosophy, economics and religion, shows that together they formed an intellectual alliance that played an important role during the period of the Scottish Enlightenment.

His circle of acquaintances in Glasgow, in addition to David Hume, included Joseph Black (pioneer in the field of chemistry), James Watt (inventor steam engine), Robert Foulis (English) Russian(artist and publisher, founder of the first British Academy of Design), as well as entrepreneurs who, after the unification of Scotland with England in 1707, actively developed colonial trade. From communication with the latter, Smith drew factual material for writing The Wealth of Nations.

Smith lived in Glasgow for 12 years, regularly leaving for 2-3 months in Edinburgh; here he was respected, made himself a circle of friends, led the life of a club man-bachelor.

Information has been preserved that Adam Smith almost got married twice, in Edinburgh and Glasgow, but for some reason this did not happen. Neither in the memoirs of his contemporaries, nor in his correspondence was there any evidence that this would seriously affect him. Smith lived with his mother (whom he survived by 6 years) and an unmarried cousin (who died two years before him). One of the contemporaries who visited Smith's house made a record, according to which the national Scottish food was served in the house, Scottish customs were observed. Smith appreciated folk songs, dances and poetry, one of his last book orders being several copies of the first published volume of poems by Robert Burns (who himself held Smith in high regard and referred to his work numerous times in his correspondence). Even though Scottish morality discouraged theater, Smith himself loved it, especially French theatre.

The source of information about the development of Smith's ideas are records of Smith's lectures, made presumably in 1762-63 by one of his students and found by an economist Edwin Cannan en. According to the lectures, Smith's course in moral philosophy was by then more of a course in sociology and political economy; materialistic ideas were expressed, as well as the beginnings of ideas that were developed in The Wealth of Nations. Other sources include sketches of the first chapters of Wealth found in the 1930s; they date from 1763. These sketches contain ideas about the role of the division of labor, the concepts of productive and unproductive labor, and so on; mercantilism is criticized and the rationale for Laissez-faire is given.

The book The Theory of Moral Sentiments brought great fame to Adam Smith, in particular, it interested Lord Charles Townshend, who later became Chancellor of the Exchequer; he invited Smith to become tutor to his stepson, Henry Scott, Duke of Buccleuch (English) Russian. An annual remuneration of £300 and reimbursement of travel expenses significantly exceeded his professorial salary, in addition, it made it possible to travel around Europe, so Smith left the university in 1763 and went with Henry to Toulouse. During an 18-month stay in Toulouse, Adam Smith began work on The Wealth of Nations, after which he and Henry went to Geneva for 2 months, where they visited Voltaire at his Geneva estate. After Geneva, they went to Paris, where David Hume, then working as the secretary of the British embassy, ​​introduced Smith to the figures of the French Enlightenment. In Paris, he was present at the "mezzanine club" of François Quesnay, that is, he became personally acquainted with the ideas of the Physiocrats; however, according to the testimonies, at these meetings he listened more than he spoke. However, the scientist and writer Abbé Morellet in his memoirs said that Smith's talent was appreciated by Monsieur Turgot; he repeatedly talked with Smith about the theory of trade, banks, state loan and other questions of the "great work that he was conceived" . It is known from correspondence that Smith also communicated with d'Alembert and Holbach, in addition, he was introduced to the salons of Madame Geoffren and Mademoiselle Lespinas, visited Helvetius.

The question of the influence of the Physiocrats on Smith is debatable; Dupont de Nemours believed that the main ideas of The Wealth of Nations were borrowed, and therefore Professor Cannan's discovery of lectures by a Glasgow student was extremely important as evidence that Smith had already formed the main ideas before the French trip.

After returning from France, Smith worked for six months, until the spring of 1767, in London as an unofficial expert under the Chancellor of the Exchequer, Lord Townshend, during which time he was elected a member of the Royal Society of London and expanded his circle of acquaintances with Edmund Burke (political figure), Samuel Johnson (literary critic), Edward Gibbon (historian), and possibly Benjamin Franklin. From the spring of 1767 he lived in reclusion in Kirkcaldy for six years, working on the book The Wealth of Nations. At the same time, he did not write the book himself, but dictated to the secretary, after which he corrected and processed the manuscript and gave it to be rewritten cleanly. He complained that intense, monotonous work was undermining his health, and in 1773, leaving for London, he even considered it necessary to formally transfer the rights to his literary heritage to Hume. He himself believed that he was going to London with a finished manuscript, however, in fact, in London it took him more than two years to finalize, taking into account new statistical information and other publications. In the process of revision, for ease of understanding, he excluded most of the references to the works of other authors "opened economics as a science based on the doctrine of free enterprise.

In 1778 Smith was appointed one of five Scottish Customs Commissioners in Edinburgh. Having a salary of £600, which was very high for those times, he continued to lead a modest lifestyle, spending money on charity; the only value left after him was the library collected during his life. He took the service seriously, which interfered with scientific activity; originally, however, he planned to write a third book, a general history of culture and science. After his death, what the author had saved the day before was published - notes on the history of astronomy and philosophy, as well as on fine arts. The rest of Smith's archive was burned at his request. During Smith's lifetime, The Theory of Moral Sentiments was published 6 times, and The Wealth of Nations 5 times; the third edition of "Wealth" was significantly supplemented, including the chapter "Conclusion on the mercantilistic system." In Edinburgh, Smith had his own club, on Sundays he arranged dinners for friends, visited, among others, Princess Catherine Dashkova. Smith died in Edinburgh after a long bowel disease on July 17, 1790.

Adam Smith was slightly above average height; had correct features face, gray-blue eyes, a large straight nose and a straight figure. He dressed discreetly, wore a wig, liked to walk with a bamboo cane on his shoulder, and sometimes talked to himself.

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The relevance of the research topic is determined by the fact that Adam Smith is not only one of the largest representatives of English classical political economy, but also to a large extent was its founder. The basis of Smith's scientific theory was the desire to look at a person from three points of view: from the standpoint of morality and morality, from the standpoint of civil and state and from the standpoint of economic. He tried to explain economic relations people, taking into account the peculiarities of their nature, counting , that man is a being, selfish by nature, and his goals may well be contrary to the interests of others. But people still manage to cooperate with each other for the common good and personal benefit of each.. Means , there are some mechanisms, that provide such cooperation. And if they are revealed, then you can understand how to arrange economic relations even more rationally. Adam Smith did not idealize man, seeing all his flaws and weaknesses, but at the same time he wrote: “The same for all people, a constant and unceasing desire to improve one's position is the beginning, whence follows both public and national, so is private wealth.".

The purpose of the work is to analyze the theoretical concepts of Adam Smith, taking into account modern economic approaches.

The object of the study is the theoretical teaching of the English classic political economist Adam Smith

Research objectives:

characterize the biographical path of Adam Smith as the founder of the English classical school.


analysis of the theoretical concepts of views and reveal the essence of the principle of the "invisible hand" introduced by him.


Research methods used in this course work - theoretical method analysis of the literature and the method of empirical analysis.


When writing the work, the works of such authors as Agapova I.I., Anikin A.V., Bartenev S.A., Blaug M., Zhid. Sh., Kondratiev N. ., Kucherenko V., Reuel A.L., Smith A., Schumpeter J., Yadgarov Ya.S. and others. According to N. Kondratiev, "Smith's entire classic work on the wealth of nations was written from the point of view of what conditions and how lead people to the greatest welfare, as he understood it" 1 .


1.1. A. Smith - the founder of the English classical school


As the English historian of economic thought Alexander Gray observed: “Adam Smith was so clearly one of the great minds of the eighteenth century. and had this a huge impact in the 19th century in his own country and throughout the world, what seems somewhat strange is our poor knowledge of the details of his life ... His biographer is almost involuntarily forced to make up for the lack of material by writing not so much a biography of Adam Smith as a history of his time.


Scotland was the birthplace of the great economist. For several centuries the Scots waged stubborn wars with England, but under Queen Anne in 1707, a state union was finally concluded. This was in the interests of English and Scottish industrialists, merchants and wealthy farmers, whose influence had increased markedly by this time. After that, significant economic development began in Scotland. The city and port of Glasgow grew especially rapidly, around which a whole industrial area arose. It was here, in the triangle between the cities of Glasgow, Edinburgh (the capital of Scotland) and Kirkcaldy (Smith's hometown), that almost the entire life of the great economist passed. The influence of the church and religion on public life and science gradually decreased. The church lost control of the universities. Scottish universities differed from Oxford and Cambridge in the spirit of freethinking, the great role of secular sciences and practical bias. In this respect, the University of Glasgow, where Smith studied and taught, stood out in particular. Next to him worked and were his friends, the inventor of the steam engine, James Watt, one of the founders of modern chemistry Joseph Black.


Around the 50s, Scotland enters a period of great cultural upsurge, which is found in various fields of science and art. The brilliant cohort of talent that little Scotland has produced over the course of half a century looks very impressive. In addition to those named, it includes the economist James Stewart and the philosopher David Hume (the latter was Smith's closest friend), the historian William Robertson, and the sociologist and economist Adam Ferguson. Such was the environment, the atmosphere, in which Smith's talent grew.


Adam Smith was born in 1723 in the small town of Kirkcaldy, near Edinburgh. His father, a customs officer, died a few months before his son was born. Adam was the only child of a young widow, and she dedicated her whole life to him. The boy grew up fragile and sickly, shunning the noisy games of his peers. Fortunately, there was a good school in Kirkcaldy, and there were always a lot of books around Adam - this helped him get a good education. Very early, at the age of 14 (this was the custom of the time), Smith entered the University of Glasgow. After the compulsory class of logic for all students (the first year), he moved to the class of moral philosophy, thus choosing a humanitarian direction. However, he also studied mathematics and astronomy and was always distinguished by a fair amount of knowledge in these areas. By the age of 17, Smith had a reputation among students as a scientist and a somewhat strange fellow. He could suddenly think deeply among a noisy company or start talking to himself, forgetting about those around him.


Having successfully graduated from the university in 1740, Smith received a scholarship for further studies at Oxford University. He spent six years at Oxford almost without a break, noting with surprise that in the illustrious university almost nothing was taught and could not be taught. Ignorant professors were engaged only in intrigues, politicking and surveillance of students. Over 30 years later, in The Wealth of Nations, Smith got even with them, causing an outburst of their fury. He wrote, in particular: "At the University of Oxford, most of the professors for many years have completely abandoned even the appearance of teaching" 1 .


The futility of further stay in England and political events (the uprising of supporters of the Stuarts in 1745 - 1746) forced Smith to leave for Kirkcaldy in the summer of 1746, where he lived for two years, continuing to educate himself. At the age of 25, Adam Smith impressed with his erudition and depth of knowledge in various fields. The first manifestations of Smith's special interest in political economy also date from this time.


In 1751 Smith moved to Glasgow to take up a professorship at the university there. First he received the chair of logic, and then - moral philosophy. Smith lived in Glasgow for 13 years, regularly spending 2-3 months a year in Edinburgh. In his old age, he wrote that it was the happiest period of his life. He lived in a well-known and close environment, enjoying the respect of professors, students and prominent citizens. He could work without hindrance, and much was expected of him in science.


As in the lives of Newton and Leibniz, women did not play any prominent role in Smith's life. True, vague and unreliable information has been preserved that twice - during the years of his life in Edinburgh and in Glasgow - he was close to marriage, but both times everything was upset for some reason. His house was run by his mother and cousin all his life. Smith survived his mother by only six years and his cousin by two years. As one visitor who visited Smith recorded, the house was "absolutely Scottish." National food was served, Scottish traditions and customs were observed.


In 1759, Smith published his first major scientific work, The Theory of Moral Sentiments. Meanwhile, already in the course of work on the Theory, the direction scientific interests Smith has changed a lot. He went deeper and deeper into political economy. In commercial and industrial Glasgow, economic problems invaded life with particular imperiousness. In Glasgow there was a kind of club of political economy, organized by the wealthy and enlightened mayor of the city. Smith soon became one of the most prominent members of this club. The acquaintance and friendship with Hume also increased Smith's interest in political economy.


At the end of the last century, the English economist Edwin Cannan discovered and published important materials that shed light on the development of Smith's ideas. These were taken by some student at the University of Glasgow, then slightly edited and transcribed notes of Smith's lectures. Judging by the content, these lectures were given in 1762-1763. From these lectures, it is first of all clear that the course of moral philosophy which Smith gave to students had by this time essentially become a course in sociology and political economy. In the purely economic sections of the lectures, one can easily discern the germs of ideas that were further developed in The Wealth of Nations. In the 1930s, another curious find was made: a sketch of the first chapters of The Wealth of Nations.


Thus, by the end of his stay in Glasgow, Smith was already a profound and original economic thinker. But he was not yet ready to create his main work. A three-year trip to France (as tutor to the young Duke of Buccleuch) and personal acquaintance with the Physiocrats completed his training. We can say that Smith got to France just in time. On the one hand, he was already a sufficiently established and mature scientist and person not to fall under the influence of the physiocrats (this happened to many smart foreigners, not excluding Franklin). On the other hand, his system had not yet fully developed in his head: therefore he was able to perceive useful influence F. Quesnay and A. R. J. Turgot.


France is present in Smith's book not only in ideas, whether directly or indirectly related to physiocracy, but also in a great variety of different observations (including personal ones), examples and illustrations. The general tone of all this material is critical. For Smith, France, with its feudal-absolutist system and the fetters of bourgeois development, is the most striking example of the contradiction between the actual orders and the ideal "natural order". It cannot be said that all is well in England, but on the whole its system is much closer to the "natural order" with its freedom of the individual, conscience and, most importantly, entrepreneurship.


What did three years in France mean for Smith personally, in human sense? First, a sharp improvement in his financial situation. By agreement with the parents of the Duke of Buccleuch, he was to receive 300 pounds a year, not only while traveling, but as a pension until his death. This allowed Smith to work on his book for the next 10 years; he never returned to the University of Glasgow. Secondly, all contemporaries noted a change in Smith's character: he became more collected, more efficient, more energetic and acquired a certain skill in dealing with different people, including the mighty of the world this. However, he did not acquire a secular gloss and remained in the eyes of most of his acquaintances as an eccentric and absent-minded professor.


Smith spent about a year in Paris - from December 1765 to October 1766. Since the centers of the mental life of Paris were literary salons, where he mostly communicated with philosophers. One might think that Smith's acquaintance with C. A. Helvetius, a man of great personal charm and a remarkable mind, was of particular importance. In his philosophy, Helvetius declared selfishness to be a natural property of man and a factor in the progress of society. Connected with this is the idea of ​​the natural equality of human beings: every person, regardless of birth and position, should be given an equal right to pursue his own benefit, and the whole society will benefit from this. Such ideas were close to Smith. They were not new to him: he took something similar from the philosophers J. Locke and D. Hume and from Mandeville's paradoxes. But, of course, the brilliance of Helvetia's argument had an effect on him. special influence. Smith developed these ideas and applied them to political economy.


1.2. Theoretical views of A. Smith


The idea created by Smith about the nature of man and the relationship between man and society formed the basis of the views of the classical school. The concept of homo oeconomicus ( economic man) arose somewhat later, but its inventors relied on Smith. The famous "invisible hand" phrase is one of the most quoted passages in The Wealth of Nations.


What is "economic man" and "invisible hand"? Smith's train of thought can be imagined something like this. main motive economic activity man is a self-interested interest. But a person can pursue his interest only by providing services to other people, offering his labor and products of labor in exchange. This is how the division of labor develops. Each individual person strives to use his labor and his capital (as we see, both workers and capitalists can be meant here) in such a way that his product has the greatest value. At the same time, he does not think about the public good and does not realize how much he contributes to it, but the market leads him exactly where the result of investing his resources will be valued by society above all. The "invisible hand" is a beautiful metaphor for the spontaneous operation of objective economic laws. The conditions under which the beneficial effect of selfish interest and the spontaneous laws of economic development are most effectively carried out, Smith called the natural order. For Smith, this concept has, as it were, a double meaning. On the one hand, it is the principle and goal of economic policy, i.e., laissez faire policy; on the other hand, it is a theoretical construction, a "model" for studying economic reality 1 .


In physics, the abstractions of an ideal gas and an ideal liquid are useful tools for understanding nature. real gases and liquids do not behave "perfectly" or behave so only under certain certain conditions. However, it makes a lot of sense to abstract from these disturbances in order to study phenomena "in their purest form." Something similar is the abstraction of "economic man" and free (perfect) competition in political economy. Science could not study mass economic phenomena and processes, if it did not make well-known assumptions that simplify, model an infinitely complex and diverse reality, highlight the most important features in it. From this point of view, the abstraction of "economic man" and free competition played essential role in economic science.


For Smith, homo oeconomicus is the expression of the eternal and natural human nature, and the policy of laissez faire follows directly from his views on man and society. If the economic activity of each person ultimately leads to the good of society, then it is clear that this activity should not be hindered by anything. Smith believed that with free movement of goods and money, capital and labor, society's resources would be used in the most efficient way.


Economic policy English government over the next century was in a certain sense implementation of the Smith program.


The economic policy of W. Pitt was largely based on the ideas of free trade and non-interference in the economic life of society, which were preached by Adam Smith.


At the heart of productive activity is the interest in increasing wealth. This is the main motive that determines the interest. It moves people, makes them enter into relationships with each other.


The "economic man" operates in a market economy. For example, a merchant wants to raise prices. Only one thing can counteract this - competition. If prices rise too high, then there is an opportunity for others (one or many) to charge a lower price and, by selling more, make additional profit.


Thus, competition subdues selfishness and affects prices. It regulates the quantity of goods, requires ensuring quality.


The division of labor, as noted by one of the authors, was a kind of historical prism through which Smith analyzes economic processes. The concept of "economic man" is associated with the division of labor. This category underlies the analysis of value, exchange, money, production.


Without completely rejecting participation in economic life and control by the state, Smith assigns him the role of a “night watchman”, and not a regulator and regulator economic processes(now this role is interpreted somewhat differently and the expediency state regulation recognized almost universally).


The "Scottish sage", as some biographers call Smith, identifies three functions that the state is called upon to perform: the administration of justice, the defense of the country, the organization and maintenance of public institutions.


Some practical conclusions follow from Smith's theoretical reasoning. In the fifth book there is a special chapter "The Four Basic Rules of Taxes". It argues that the payment of taxes should not be imposed on one class, as suggested by the physiocrats, but on all equally - on labor, on capital and on land.


Smith substantiates the principle of proportional division of the tax burden - according to the level of property solvency of taxpayers. As for the basic rules that must be observed when levying taxes, they, according to Smith, should relate to the timing, methods, amount of payment, sanctions for non-payment, equality in the distribution of levels of taxation.


“A tax thoughtlessly imposed creates strong temptations to deceive; but with the increase of these temptations, the punishments for deceit usually increase. Thus, the law, violating the first principles of justice, itself gives rise to temptations, and then punishes those who did not resist them ... "
1


Such a conclusion, made more than two hundred years ago, like many other remarks and suggestions of the creator of The Wealth of Nations, sometimes sound as if they were written recently.


According to the just remark of his friend, the English philosopher David Hume, Smith general principles constantly illustrated by the most curious facts. Smith is not just a theorist, but an attentive observer, a man who knew the world in which he lived. He knew how to listen and liked to talk to people.


How Lecturer Smith Captivated the Audience convincing arguments. Among his students at one time were Russians - Semyon Desnitsky, Ivan Tretyakov, who later wrote original works on economics and law.


2. The main content of the political economy of Adam Smith


2.1. The main work of A. Smith and his contribution to economic theory


Adam Smith's principal work on political economy is An Inquiry into the Nature and Causes of the Wealth of Nations (1777). Smith's book consists of five parts. In the first, he analyzes questions of value and income, in the second, the nature of capital and its accumulation. In them, he outlined the foundations of his teachings. In other parts, he considers the development of the European economy in the era of feudalism and the formation of capitalism, the history of economic thought and public finances.


Adam Smith explains that the main theme of his work is economic development: the forces that act temporarily and control the wealth of nations.


An Inquiry into the Nature and Causes of Wealth is the first full-fledged work in economics that sets out common ground science - the theory of production and distribution. Then an analysis of the operation of these abstract principles on historical material and, finally, a number of examples of their application in economic policy. Moreover, all this work is imbued with the lofty idea of ​​"an obvious and simple system of natural freedom", towards which, as it seemed to Adam Smith, the whole world was moving.


What Petty expressed in the form of conjectures, Smith substantiated as a system, an expanded concept. “The wealth of the people does not consist in land alone, not in money alone, but in all things that are suitable for satisfying our needs and for increasing our enjoyment of life” 1 .


Unlike the mercantilists and physiocrats, Smith argued that the source of wealth was not to be found in any particular occupation. The true creator of wealth is not the labor of the farmer or foreign trade. Wealth is the product of the combined labor of all - farmers, artisans, sailors, merchants, i.e. representatives of various types of work and professions. Labor is the source of wealth, the creator of all values.


Through labor, initially various goods (food, clothing, material for housing) were reclaimed from nature and transformed for human needs. “Labor was the first price, the original means of payment by which all things were paid. Not with gold and silver, but precisely with labor, everything in the world of wealth was originally bought” 1 .


According to Smith, the true creator of wealth is "the annual labor of every nation" directed for annual consumption. By modern terminology, this is the gross national product (GNP). The terminology has changed somewhat, and at present, national wealth is no longer understood as the annual product of the nation, as in the time of Smith, but the accumulated and synthesized labor over many years, the wealth of the nation as a result of the materialized labor of several generations.


Let's note one more point. Smith distinguishes between those types of labor that are embodied in material things, and those that, like the labor of a domestic servant, are a service, and services "disappear at the very moment they are provided." Just because labor is useful does not mean that it is productive.


According to Smith, labor is productive in material production, that is. labor of workers and farmers, builders and masons. Their labor creates value, multiplies wealth. And the work of officials and officers, administrators and scientists, writers and musicians, lawyers and priests does not create value. Their work is useful, needed by society, but not productive.


“The labor of some of the most respected classes of society, like the labor of domestic servants, does not produce any value and is not fixed and is not realized in any long-term existing object or product ... which would continue to exist even after the cessation of labor ...” 1 .



So, all wealth is created by labor, but the products of labor are not created for themselves, but for exchange (“every person lives by exchange or becomes to a certain extent a merchant”). The meaning of a commodity society is that products are produced as commodities for exchange.


And it should be noted that the point here is not simply that the exchange of commodity for commodity is equivalent to the labor expended. The result of the exchange is mutually beneficial. This simple idea has deep meaning. One produces bread, the other grows meat, and they exchange one for the other.


People are bound by the division of labor. It makes the exchange profitable for its participants, and the market, commodity society - effective. Buying someone else's labor, its buyer saves his own labor.


According to Smith, the division of labor plays the most important role in increasing the productivity of labor and the growth of national wealth. From the analysis of this phenomenon, he begins his research.


Division of labor - the most important factor efficiency and productivity. It increases the dexterity of each worker, saves time when moving from one operation to another,
contributes to the invention of machines and mechanisms that facilitate and reduce labor.


Smith prepared his work during the Industrial Revolution. But under him, manufactory based on manual labor still dominated. And here the main thing is not the machine, but the division of labor within the enterprise.


In the first chapter of his work, Smith gives an example of the division of labor in the production of pins. He visited a pin manufactory. Ten people made 48,000 pins a day, or each worker 4,800. And if they worked alone, no more than 20 pins could work. Manufactory worker - 4800 and a single artisan - only 20 items per day of work. 240 times performance difference! Smith's example with a pin manufactory, showing the possibility of increasing labor productivity by tens and hundreds of times, was repeatedly reproduced by the authors of educational manuals.


The division of labor improves efficiency
only in one enterprise, but in society as a whole. Smith says
about the role played public division labor 1 . And again
refers to an example, now with the production of scissors. The following are involved in the creation of scissors: a miner, a woodcutter, a coal miner, a builder, a bricklayer, a forge, a blacksmith, a cutler, a driller, a tool maker.


The deeper the division of labor, the more intense the exchange. People produce products not for personal consumption, but for the sake of exchange for products of other manufacturers. “Not for gold or silver, but only for labor, all the riches of the world were originally acquired; and their value to those who own them, and who wish to exchange them for some new product, is exactly equal to the amount of labor that he can buy with them or get at his disposal.


"Give me what I need and you will get what you need." "It is in this way that we obtain from each other a far greater part of the services we need" 2 - these statements of Smith are often quoted by commentators on his work.


What is the reason for the development and deepening of the division of labor in society? First of all, with the size of the market. The limited market demand holds back the growth of the division of labor. For example, in small villages Highland Scotland labor is still weakly divided: "each farmer should be at the same time a butcher, a baker and a brewer for his family."


2.2. The principle of "invisible hand" in a market economy


One of the leading ideas of The Wealth of Nations is about the "invisible hand". This aphoristic expression of Smith is remembered whenever it comes to his main work, on which he worked for several years, leaving teaching.


The idea itself, in my opinion, is quite original for the 18th century. and could not be overlooked by Smith's contemporaries. However, already in the XVIII century. there was an idea of ​​the natural equality of people: every person, regardless of birth and position, should be given an equal right to pursue his own benefit, and the whole society will benefit from this.


Adam Smith developed this idea and applied it to political economy. The idea created by the scientist about the nature of man and the relationship between man and society formed the basis of the views of the classical school. The concept of "homo oeconomicus" ("economic man") arose somewhat later, but its inventors relied on Smith. The famous "invisible hand" phrase is perhaps the most quoted passage from The Wealth of Nations. Adam Smith was able to guess the most fruitful idea that under certain social conditions, which we today describe by the term "working competition", private interests can indeed be harmoniously combined with the interests of society.


The "invisible hand" is the spontaneous action of objective economic laws that act against the will of people. By introducing the concept of economic law into science in this form, Smith took an important step forward. By this, he essentially placed political economy on a scientific basis. The conditions under which the beneficial effect of selfish interest and the spontaneous laws of economic development are most effectively carried out, Smith called the natural order. For Smith and later generations of political economists, this concept has a kind of double meaning. On the one hand, it is the principle and goal of economic policy, that is, the policy of laissez faire (or, as Smith puts it, natural freedom), on the other hand, it is a theoretical construction, a “model” for studying economic reality.


Just as "ideal" gases and liquids were modeled in physics, Smith introduces the concept of "economic man" and free (perfect) competition into economics. Real person cannot be reduced to self-interest. Similarly, under capitalism there has never been and can be absolutely free competition. However, science would not be able to study “mass-like” economic phenomena and processes if it did not make well-known assumptions that simplify, model an infinitely complex and diverse reality, highlight the most important features in it. From this point of view, the abstraction of "economic man" and free competition was fully justified and played a crucial role in economic science (in particular, it corresponded to the reality of the 18th-19th centuries).


The market economy is not managed from a single center, does not obey one common plan. Nevertheless, it functions according to certain rules, follows a certain order.


Each participant in economic activity seeks only his own benefit. Influence individual person to meet the needs of society is almost imperceptible. But, pursuing his own benefit, a person ultimately contributes to an increase in the social product, the growth of the public good.


This is achieved, as Smith wrote, through the "invisible hand" of market laws. The desire for personal gain leads to the common benefit, to the development of production and progress. Each individual takes care of himself, and society wins. In pursuing his own interests, a person "often serves the interests of society more effectively than when he consciously seeks to do so."


What prevents "greedy producers" from raising prices to the point where buyers are unable to pay more?
The answer is competition. If producers raise their prices too high, they create an opportunity for one or more of their peers to profit by charging a lower price and therefore selling more.


Thus, competition subdues selfishness and regulates prices. At the same time, it regulates the quantity. If customers want more bread and less cheese, their demand enables bakers to order more high price, and then the incomes of those who bake bread will increase, and those who make cheese will fall; labor and capital will flow from one industry to another.


Looking at the world through Smith's eyes, one can admire this powerful mechanism again and again and enjoy, as he did, the paradox that private benefit benefits the public good. And even more so today, since the transactions that bring a modern industrial product to its consumers are much more complex than those described by Smith.


Each transaction is voluntary. Self-interest and competition create a mechanism that processes dizzying volumes of information and directs the flow of goods, services, capital and labor - just like in much more simple world Smith.


The "invisible hand" of market laws directs to a goal that was not at all part of the intentions of an individual.


If, for example, demand rises for a product, say, bread, then bakers raise the price of it. Their incomes are growing. Labor and capital move from one industry to another, this case- in the baking industry. Bread production is increasing, and prices will again creep down. Smith showed the power and importance of self-interest as an internal spring of competition and an economic mechanism.


The economic world is a huge workshop where competition between different types of labor to create social wealth unfolds. The opinion of mercantilists about the special significance of precious metals, money is erroneous. If the goal is the accumulation of money and they remain idle, then this will lead to a reduction in the number of products or structures that could be produced or bought with this money 1.


The paradox or essence of the market mechanism lies in the fact that private interest and the pursuit of one's own benefit benefit society and ensure the achievement of the common good. In a market economy (in a market mechanism) there is an "invisible hand" of market forces, market laws.


In the XVIII century. there was a widespread prejudice that any action done for the sake of a private interest, for this reason alone, is contrary to the interests of society. Even today, some representatives of the ideas of socialism argue that a free market economy cannot serve the interests of society. Smith took off the burden of proof and postulated that decentralized, atomistic competition, in a certain sense, provides "maximum satisfaction of needs." Undoubtedly, Smith did not give a full and satisfactory explanation of his postulate. Sometimes it may even seem that this postulate rests only on the consideration that the degrees of satisfaction of individual needs lend themselves to arithmetic addition: if, having complete freedom, everyone achieves complete satisfaction individual needs, then the general regime of maximum freedom will ensure the maximum satisfaction of the needs of society.


But in fact, writes M. Blaug, Smith gave a much deeper substantiation of his doctrine of "maximum satisfaction of needs" 1 . In the seventh chapter of book I, he showed that free competition tends to equate prices with production costs, optimizing the allocation of resources within industries. In Book I, Chapter Ten, he showed that free competition in factor markets tends to equalize "the net advantages of these factors in all industries, and thereby establishes an optimal distribution of resources among industries." He did not say that various factors would be combined in optimal proportions in production, or that goods would be optimally distributed among consumers. Nor did he say that economies of scale and side effects production often interfere with the achievement of a competitive optimum, although the essence of this phenomenon is reflected in the arguments about public works. But he really took the first step towards the theory of the optimal allocation of these resources under perfect competition, which is especially interesting in the light of the issue we are considering.


In other words, the "invisible hand", regardless of the will and intentions of the individual - "economic man" - directs him and all people to best results, benefit and to the higher goals of society, thus justifying, as it were, the desire of an egoist to put personal interest above the public one. Thus, Smith's "invisible hand" presupposes such a relationship between "economic man" and society, i.e., the "visible hand" of state administration, when the latter, without counteracting the objective laws of economics, ceases to restrict exports and imports and act as an artificial barrier to the "natural » market order.


Therefore, the market mechanism of management, and according to Smith - "an obvious and simple system of natural freedom", thanks to the "invisible hand" will always be automatically balanced. In order to achieve legal and institutional guarantees and mark the boundaries of its non-intervention, the state is left with “three very important duties”. He includes among them: the costs of public works (to “create and maintain certain public buildings and public institutions”, to provide remuneration for teachers, judges, officials, priests and others who serve the interests of the “sovereign or state”); costs of providing military security; the costs of administering justice, including the protection of property rights.


So, "in every civilized society" there are omnipotent and inevitable economic laws, - this is the leitmotif of A. Smith's research methodology.


An indispensable condition for economic laws to operate is, according to A. Smith, free competition. Only she, he believes, can deprive market participants of power over price, and the more sellers, the less likely monopoly, because “monopolists, maintaining a constant lack of products on the market and never fully satisfying real demand, sell their goods much more expensive than the natural price and raise their income... 1 . In defense of the ideas of free competition, A. Smith condemns exclusive privileges trading companies, apprenticeship laws, shop ordinances, poor laws, believing that they (laws) limit the labor market, labor mobility and the extent of competition. He is also convinced that as soon as representatives of the same type of trade and craft come together, their conversation rarely ends with "... a conspiracy against the public or some kind of agreement to raise prices" 2 .


In fairness, it should be noted that his own belief in the advantages of the "invisible hand" is least of all related to considerations about the efficiency of resource allocation in the static conditions of perfect competition. He considered a decentralized price system desirable because it produces results in a dynamic way: it expands the scale of the market, multiplies the advantages, multiplies the advantages associated with the division of labor - in short, it works like a powerful engine that ensures the accumulation of capital and income growth.


One of the core ideas put by Smith at the basis of the system he developed is the theory of value and price. He argued: "Labor is the only universal, as well as the only exact measure of value" 3 . Value, according to Smith, is determined by the labor expended, and not by one particular person, but by the average labor required for a given level of development of the productive forces. Smith noted the equivalence of all types of productive labor involved in value creation.


Considering the problem of pricing and the essence of price, Smith put forward two positions.


The first is that the price of a commodity is determined by the labor expended on it. But this provision, in his opinion, is applicable only at the first stages of the development of society, in "primitive societies." And Smith puts forward the second proposition, according to which value, and hence the price, is made up of labor costs, profit, interest on capital, ground rent, i.e. determined by production costs.


“For example, in the price of bread, one share of it goes to pay the rent of the landowner, the second goes to the wages or maintenance of workers ... and the third share is the profit of the farmer.” final choice between these two concepts Smith did not; his followers, supporters and opponents could adhere to both the first and second concepts.


The second interpretation is connected with Smith's attempt to move from the analysis of simple commodity production ("primitive society") to the consideration of commodity-capitalist production, in which living labor ceases to be the true source of value.


Previously, the means of labor belonged to the worker. In a society that preceded the accumulation of capital and the conversion of land into private ownership, the ratio between the quantities of labor necessary for the acquisition of different objects seemed to be the only basis that could serve as a guide for exchanging them for each other. The entire product of labor belongs to the worker, and the amount of labor expended is the only measure of price.


In the future, as capital accumulates, the situation changes. The value of commodities is divided into two parts, one of which is wages, the other is profitable capital.


“In this state of affairs, the worker does not always own the entire Product of his labor. In most cases, he must share it with the owner of the capital who employs him. In such a case, the amount of labor normally expended in the acquisition or production of a commodity is not the only condition for determining the amount of labor that can be bought or received in exchange for it.
1 .


Economic concepts, categories, provisions developed by Smith in his work, as a rule, are interconnected. Value is created only by productive labor. Division of labor - main premise increase his productivity, increase wealth.


Smith sought to clarify and streamline the terminology. From him came into use, for example, such categories as productive and unproductive labor, fixed and circulating capital, "natural" and "market" price.


Smith believed that the market needed to be protected from outside interference. In this regard, he argued with both the mercantilists and the physiocrats, in particular, with Quesnay.


“Some thoughtful physicians thought it was for health; a political organism needs a strict diet and regimentation, ”Smith ironically. “He apparently did not think that in the political organism the natural effort exerted by each person to improve his position is a principle of protection, capable of preventing and correcting in many respects the bad actions of some political economy, to a certain extent biased and constraining » 2 . She is "late with her activities" and cannot stop the progress of the nation. The natural order is hampered by "hundreds of absurd barriers" erected by "the recklessness of human laws", but he overcomes them.


3. Significance of the ideas of Adam Smith for the present


Interest in the creative heritage of Adam Smith, which is experienced today by economists in almost all civilized countries, indicates that many of Smith's economic ideas, expressed by him at the dawn of capitalist production, remain relevant today. First of all, there is the issue of relationships. state power and monopolies, attitude to the principles of economic non-intervention, the policy of mercantilism.


According to Western experts, central theme The “wealth of nations”, which deserves unconditional attention today, is the creation of such a social order in which the individual, striving to satisfy his own personal interest, will inevitably take care of the welfare and satisfaction of the interests of the whole society, that is. The relevance of Adam Smith's ideas is due, first of all, to the development of a general economic theory, in particular, the problems of monopolistic and government subsidies and the possibilities of centralized economic planning.


Subsidies from the state and capitalist associations are the principal theme formulated in The Wealth of Nations. Smith, as has been repeatedly noted, defends the thesis, according to which a country that really cares about increasing its own wealth should create such a legislative framework that can provide conditions for maximum economic freedom for every individual and every producer.


It is precisely self-interest that should facilitate the entry of individuals into exchange relations with each other and thus contribute to the general progress of market relations.


At the same time, according to Adam Smith, on the way to a harmonious coincidence of the interests of individuals and socially desirable goals, such an obstacle inevitably arises as in many cases the contradictory momentary economic interests of the state and capitalist monopolies.


The criticism of monopolies in The Wealth of Nations consists mainly of three main components. First critical direction connected with the author's assertion that high market prices, monopoly set by capitalist associations, reduce the welfare of consumers.


This situation entails Negative consequences, as generally inefficient economic management, in which Adam Smith sees the second reason for criticism of monopolies. Monopoly is the enemy good governance which can never be universal,” wrote Smith. This meant that the management of the economy in conditions of free competition cannot simultaneously satisfy the interests of both monopolists and the mass of small entrepreneurs, who are nevertheless forced to turn to the state for help in order to protect themselves.


The third direction of criticism of monopolies in the study of Adam Smith is associated with the general assertion that the activities of monopolies lead to the spontaneous enrichment of some individuals to the detriment of the interests of others, thereby exacerbating property and social differentiation in society. In accordance with the ideas of the author, the development of capitalist monopolies - ideal for society as a whole and all its citizens individually - could only be ensured with the help of the government.


An analysis of Adam Smith's work shows that he distinguished three types of capitalist monopolies. The first of them is a monopoly that arose on the basis of the policy of mercantilism pursued by England in relations with its colonies. The purpose of this policy was to monopolize the colonial trade.


As monopolies of the second type, Adam Smith considered the guilds (“corporations”) of manufacturers who had the exclusive right to produce certain products. To regulate the activities of such monopolies, according to Adam Smith, it was necessary to legislate, but at the same time maintaining concern for the interests of free enterprise. Such assertions of the “classic of bourgeois political economy” today find confirmation in the ongoing debate about the limits of economic intervention that the government could afford to increase or limit the monopolistic power of associations.


It is not difficult to see that a certain inconsistency in the presentation of economic concepts - criticism of the policy of mercantilism, on the one hand, and propaganda of the need for legislative regulation of monopoly aspirations, on the other hand - today allows the supporters of both the first and the second to appeal to the ideas of Adam Smith. In particular, as an argument in support of their views, supporters of the regulated economy cite Smith's assertion that any form of monopoly leads to an increase in the price of the product it produces.


The second most important direction in the study of Adam Smith's theory is the necessity, possibilities and scope of centralized economic planning. Interest in this topic is especially pronounced during periods of economic downturns and depression of the market economy.


As has been repeatedly mentioned, Adam Smith, in his The Wealth of Nations, defends the view that the achievement of socially desirable goals can most easily be achieved not through central economic planning, but as a result of the implementation of the economic plans of private individuals, the best way orientated in the problems of their own economic survival.


It is these views of Smith that are used by opponents of government intervention in the economy in the debate about the possible influence of the government on private investment and the extent of this influence. So, for example, with the United States, they criticize government acts aimed at supporting the allocation of private capital that is beneficial for the country's economy as a whole and expressed in regulating the amount of loan interest on invested capital, depending on the social significance of this or that investment.


Based on the arguments of Adam Smith, opponents of state regulation of the economy also criticize tax legislation that provides for different tariffs for different types of capital income. In the field of discussions arising against this background, there is also such a problem touched upon by Adam Smith as the replacement of the market by an organized centralized distribution of the total income of society. The market economy of no civilized country today can do without state intervention in the distribution system, which is expressed in the establishment of taxes on income, real estate, unemployment benefits, etc.


Finally, one of the most important problems from the point of view of the author of The Wealth of Nations, which has not lost its relevance so far, is the need to establish and consolidate a direct relationship between the measure of work of an employee and remuneration for his work.


All of the above proves that it is no coincidence that the economic ideas of Adam Smith have been stirring the minds of the leading economists of mankind for so long and, moreover, require close attention to themselves at all stages of the development of the capitalist mode of production.


Many modern researchers of the creative heritage of Adam Smith note that the underestimation of his views and insufficient interest in them are currently associated mainly with numerous vulgar modifications of the basic ideas of the classic created by his followers. Criticism economic views Adam Smith is also addressed not so much to the original source, but to his subsequent, not too scrupulous interpretations.


Meanwhile, as shown by numerous international seminars devoted to the discussion of the creative heritage of Adam Smith, many ideas of the “classic of bourgeois political economy” have not lost their relevance and can be effectively used in conditions of not only a barely emerging, but also a highly developed market economy.


Conclusion


Thus, the paper provides a biographical analysis of the creative path of Adam Smith as the founder of the classical school. Smith's work is characterized by amazing simplicity and clarity of presentation. But this is both convenience and complexity. To comprehend the essence of Smith's ideas, time is required, unhurried reflection, more than once one has to return to what he has read.


The following questions are considered in the work: labor theory cost and division of labor; "invisible hand" of market forces; "economic man" according to Smith; two approaches to the formation of value; the principle of economic freedom; the role of the state and the principles of taxation.


Summing up short summary, we will try to highlight the main provisions of the work, which for Smith became the main result of his creative life.


Unlike the Physiocrats, who believed that economic system- this is a system that the creative mind must open, and the ruler must approve, Smith proceeds from the fact that there is no need to invent or create an economic system, such a system exists, and this is the motives and incentives for economic activity, the fundamental principles of the market mechanism


The scientist recognizes and describes its mechanism, constituent elements and relationships. At the heart of the economic mechanism is and operates "economic man". In pursuit of own benefit he is guided by an "invisible hand" to achieve a result that was not part of his intentions. By pursuing his own interest, man contributes to the common good.


The freedom of economic activity of individuals should not be hindered, it should not be strictly regulated. Smith opposes excessive restrictions on the part of the state, he is for free trade, including foreign trade, for the policy of free trade, against protectionism.


The theory of value and price has been developed as initial categories in the general theoretical system of economic science. Smith's main work is distinguished by the diversity of the problems under consideration, their systematization, on the one hand, realism, practical significance many provisions - on the other.


The overall creative vision of Smith was very extensive. The scientist wanted to create a comprehensive theory of man and society. The first part was "The Theory of Moral Sentiments". This work was published, it carries the idea of ​​equality, the obligatory principles of morality for all members of society. The second part of the plan is "The Wealth of Nations". This work was formed to a certain extent from lectures given by a professor at the University of Glasgow. The third part was to be "History and theory of culture (science, art)". It was never written, and the preparatory notes, sketches, materials were destroyed.


Probably, the diversity, the breadth of the idea contributed to the success of economic work.


Smith's influence did not affect one school, in fact it affected several areas: the Ricardian school (the labor theory of value); and those schools and individual economists who developed the problems of price and pricing on the basis of supply and demand (the Marshall school) or on the basis of the use value of goods (the Austrian school); and those who have studied the influence and interaction of factors of production (Say). The concept of free trade found its theoretical justification in the theory of comparative costs, according to which the division of labor in the field of international exchange serves essential precondition increase productivity and obtain economic benefits. The "wealth of nations" was also at the center of attention of the opponents of the classical school, who opposed the excessive formalization of economic science (historical school, institutionalism).


The main merit of A. Smith, an economist of the manufacturing period, was the creation of the first integral economic system based on the amount of knowledge that has been accumulated up to that point community development. And considering the work of A. Smith from the height of our time, we pay tribute to the grandiose work that he did and the fruits of which we use to this day. Therefore, we can with good reason call A. Smith a classic of economic thought.


However, A. Smith does not complete the development of the classical school. He delivered his major economic work just before the Industrial Revolution. The object of A. Smith's research was capitalism, which had not yet received its adequate production and technical base in the form of a machine industry. To a certain extent, this circumstance determined the relative underdevelopment of A. Smith's economic system itself. But the theory served as the starting point for subsequent development in the writings of D. Ricardo, and then other great economists.