The economic consequences of Mr Trump: what the trade war means for the world

In 'The Economic Consequences of Mr. Churchill', John Maynard Keynes critiques Britain's decision to return to the gold standard in 1925. Keynes argued that this policy would lead to economic overvaluation and chronic unemployment, as export industries would struggle to reduce prices without corresponding reductions in wages and other costs. His predictions were later vindicated when Britain abandoned the gold standard in 1931.

Published in 1776, 'The Wealth of Nations' is Adam Smith's magnum opus that laid the groundwork for modern economics. The book critiques mercantilist economic theories and introduces the concept of the 'invisible hand,' which describes how individual self-interest leads to societal benefit. It emphasizes the division of labor, the accumulation of capital, and the importance of free markets. Smith argues that a nation's wealth is not measured by its gold and silver reserves but by the stream of goods and services it produces. The book also outlines the core functions of government, such as maintaining defense, enforcing civil law, and promoting education, while advocating for limited government intervention in market activities.