An inquiry into the nature and causes of the wealth of

---

AN INQUIRY INTO THE NATURE AND CAUSES OF

THE WEALTH OF

NATIONS

by

Adam Smith

A

N

 E

LECTRONIC

 C

LASSICS

 S

ERIES

 P

UBLICATION

---

An Inquiry into the Nature and Causes of the Wealth of Nations by Adam Smith 

is a publication of The

Electronic Classics Series.  This Portable Document file is furnished free and without any charge of any

kind. Any person using this document file, for any purpose, and in any way does so at his or her own

risk. Neither the Pennsylvania State University nor Jim Manis, Editor, nor anyone associated with the

Pennsylvania State University assumes any responsibility for the material contained within the document

or for the file as an electronic transmission, in any way.

An Inquiry into the Nature and Causes of the Wealth of Nations by Adam Smith,

 The Electronic Classics

Series, Jim Manis, Editor, PSU-Hazleton, Hazleton, PA 18202 is a Portable Document File produced as

part of an ongoing publication project to bring classical works of literature, in English, to free and easy

access of those wishing to make use of them.

Jim Manis is a faculty member of the English Department of The Pennsylvania State University. This page

and any preceding page(s) are restricted by copyright. The text of the following pages are not copyrighted

within the United States; however, the fonts used may be.

Cover Design: Jim Manis

Copyright © 2005

The Pennsylvania State University is an equal opportunity university.

---

Contents

INTRODUCTION AND PLAN OF THE WORK .......................................................................... 8

BOOK I 

OF THE CAUSES OF IMPROVEMENT IN THE PRODUCTIVE POWERS OF

LABOUR, AND OF THE ORDER ACCORDING TO WHICH ITS PRODUCE IS NATU-

RALLY DISTRIBUTED AMONG THE DIFFERENT RANKS OF THE PEOPLE. .......... 10

CHAPTER I OF THE DIVISION OF LABOUR ......................................................................... 10

CHAPTER II OF THE PRINCIPLE WHICH GIVES OCCASION TO THE DIVISION OF

LABOUR ..................................................................................................................................... 18

CHAPTER III THAT THE DIVISION OF LABOUR IS LIMITED BY THE EXTENT OF

THE MARKET ........................................................................................................................... 21

CHAPTER IV OF THE ORIGIN AND USE OF MONEY .......................................................... 25

CHAPTER V OF THE REAL AND NOMINAL PRICE OF COMMODITIES, OR OF THEIR

PRICE IN LABOUR, AND THEIR PRICE IN MONEY ....................................................... 31

CHAPTER VI OF THE COMPONENT PART OF THE PRICE OF COMMODITIES ......... 45

CHAPTER VII OF THE NATURAL AND MARKET PRICE OF COMMODITIES.............. 51

CHAPTER VIII OF THE WAGES OF LABOUR ........................................................................ 58

CHAPTER IX OF THE PROFITS OF STOCK ........................................................................... 77

CHAPTER X OF WAGES AND PROFIT IN THE DIFFERENT EMPLOYMENTS OF

LABOUR AND STOCK ............................................................................................................. 86

CHAPTER XI OF THE RENT OF LAND .................................................................................. 124

---

BOOK II 

OF THE NATURE, ACCUMULATION, AND EMPLOYMENT OF STOCK ... 222

INTRODUCTION ......................................................................................................................... 222

CHAPTER I OF THE DIVISION OF STOCK .......................................................................... 224

CHAPTER II OF MONEY, CONSIDERED AS A PARTICULAR BRANCH OF THE GEN-

ERAL STOCK OF THE SOCIETY, OR OF THE EXPENSE OF MAINTAINING THE

NATIONAL CAPITAL ............................................................................................................ 230

CHAPTER III OF THE ACCUMULATION OF CAPITAL, OR OF PRODUCTIVE AND

UNPRODUCTIVE LABOUR ................................................................................................. 270

CHAPTER IV OF STOCK LENT AT INTEREST .................................................................... 286

CHAPTER V OF THE DIFFERENT EMPLOYMENTS OF CAPITALS .............................. 293

BOOK III 

OF THE DIFFERENT PROGRESS OF OPULENCE IN DIFFERENT NA-

TIONS ........................................................................................................................................ 307

CHAPTER I OF THE NATURAL PROGRESS OF OPULENCE ........................................... 307

CHAPTER II OF THE DISCOURAGEMENT OF AGRICULTURE IN THE ANCIENT

STATE OF EUROPE, AFTER THE FALL OF THE ROMAN EMPIRE ............................311

CHAPTER III OF THE RISE AND PROGRESS OF CITIES AND TOWNS, AFTER THE

FALL OF THE ROMAN EMPIRE ......................................................................................... 321

CHAPTER IV HOW THE COMMERCE OF TOWNS CONTRIBUTED TO THE IM-

PROVEMENT OF THE COUNTRY ..................................................................................... 330

BOOK IV 

OF SYSTEMS OF POLITICAL ECONOMY ...................................................... 341

CHAPTER I OF THE PRINCIPLE OF THE COMMERCIAL OR MERCANTILE SYSTEM 342

---