525. In Search of the Real Adam Smith

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.

This book delves into the personal and intellectual relationship between David Hume and Adam Smith, highlighting their contrasting reputations and the significant impact they had on each other's work. Hume, known as 'the Great Infidel,' was a skeptic and social pariah, while Smith was a respected professor of moral philosophy. The book examines their friendship from their first meeting in 1749 until Hume's death, discussing their interactions, intellectual exchanges, and the broader context of the Scottish Enlightenment. Rasmussen provides a nuanced account of their relationship, exploring themes such as their differing views on Christianity and the development of their major works, including Smith's 'The Theory of Moral Sentiments' and 'An Inquiry into the Nature and Causes of the Wealth of Nations'

Glory Liu's book 'Adam Smith's America' delves into the evolution of Adam Smith's influence in the United States, tracing how his ideas were reinterpreted and weaponized over time. It highlights how Smith became a symbol of free markets and capitalism, despite his original work encompassing broader moral and economic philosophies. The book explores the transformation of Smith's image from a moral philosopher to a champion of self-interest, particularly through the lens of the Chicago School of Economics.

Published in 1759, 'The Theory of Moral Sentiments' is Adam Smith's first major published work, based on his lectures at Glasgow University. The book argues that morality is driven by humanity's natural sociability and the need for approval from peers, rather than by rational calculation or innate moral sense. Smith introduces key concepts such as sympathy, the impartial spectator, and the invisible hand, which explain how individuals judge the conduct and character of themselves and others. The work delves into the emotional and social aspects of human behavior, highlighting the role of emotions like pity and compassion in shaping moral sentiments and behaviors.