Scottish philosopher author of the idea of ​​a market economy. Smith Adam - biography, facts from life, photographs, background information

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 to Newton's achievements in physics in terms of significance.

Brief biography

Not preserved large number facts from the biography of Adam Smith. It is known that he born June 1723(the exact date of his birth is unknown) and was 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. There was a good school in Kirkcaldy, 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 smart person. In 1740 He entered Oxford, receiving a scholarship to continue his education, and completed his studies there in 1746.

Smith was critical of the quality of teaching at Oxford, writing in "The Wealth of Nations", What “at Oxford University, most of the professors, for many years now, have completely abandoned even the appearance of teaching”. At the university, he was often sick, read a lot, but did not yet show interest in economics.

Returning home

In 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 on natural law (including jurisprudence, political doctrines, sociology and economics).

It was the preparation of lectures for students at this university that became the impetus for Adam Smith to formulate 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 man from three sides: from the standpoint of morality and morality, from civil and government positions, from economic positions.

Adam Smith's ideas

Adam lectured on rhetoric, the art of letter writing and later on the subject of "attaining wealth", where he first expounded on economic philosophy in detail "an obvious and simple system of natural freedom", which is reflected in his most 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 works on history, politics, philosophy, economics and religion, shows that together they formed an intellectual alliance that played an important role during the emergence of the so-called "Scottish Enlightenment".

"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 "Theory of Moral Sentiments" based on materials from his lectures.

In this work, Smith analyzed ethical standards of behavior, ensuring social stability. At the same time, he actually opposed church morality, based on fear of punishment after death and promises of paradise.

He proposed as a basis for moral assessments "principle of sympathy", according to which what is moral is what arouses the approval of impartial and discerning observers, and also spoke out in favor of the ethical equality of people - the equal 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 a circle of friends, and led the lifestyle of a club-going bachelor.

Personal life

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

Smith lived with his mother ( which he outlived by 6 years) and unmarried cousin ( who died two years before him). One of the contemporaries who visited Smith's house recorded that national Scottish food was served in the house and Scottish customs were observed.

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

Book "The Wealth of Nations"

Smith became famous worldwide after the book was published. "An Inquiry into the Nature and Causes of the Wealth of Nations" in 1776. This book analyzes in detail how an economy could operate in conditions of complete economic freedom and exposes everything that prevents this.

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

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

Recent years

In 1778 Smith was appointed one of the five Commissioners of Customs for Scotland in Edinburgh. Having a very high salary for those times of 600 pounds sterling, he continued to lead a modest lifestyle and spent money on charity. The only valuable thing 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 - 5 times; the third edition of “Wealth” was significantly expanded, including a chapter "Conclusion on the Mercantilist System".

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

Adam Smith passed away July 17, 1790 aged 67 in Edinburgh after a long bowel disease.

(baptized and possibly born June 5 (June 16) 1723, Kirkcaldy, Scotland, UK - July 17, 1790, Edinburgh, Scotland, UK)

Biography (Samin D.K. 100 great scientists. - M.: Veche, 2000)

Adam Smith (1723-1790) - Scottish economist and philosopher, one of the largest representatives of classical political economy. He created the theory of labor value and substantiated the need for the possible liberation of a market economy from government intervention.

In “An Inquiry into the Nature and Causes of the Wealth of Nations” (1776), he summarized the century-long development of this direction of economic thought, examined the theory of value and income distribution, capital and its accumulation, the economic history of Western Europe, views on economic policy, and state finances. A. Smith approached economics as a system in which objective laws that are amenable to knowledge operate. During Adam Smith's lifetime, the book went through 5 English and several foreign editions and translations.

Life and scientific activities

Adam Smith was born into the family of a customs official. He studied at school for several years, then entered the University of Glasgow (1737) to study moral philosophy. In 1740 he received a Master of Arts degree and a private scholarship to continue his studies at Oxford, where he studied philosophy and literature until 1746.

In 1748-50 Smith gave public lectures on literature and natural law in Edinburgh. From 1751 he was a professor of logic at the University of Glasgow, and from 1752 he was a professor of moral philosophy. In 1755 he published his first articles in the Edinburgh Review. In 1759, Adam Smith published a philosophical work on ethics, The Theory of Moral Sentiments, which brought him international fame. In 1762 Smith received the degree of Doctor of Laws.

In 1764, A. Smith left teaching and went to the continent as a mentor to the young Duke of Buccleuch. In 1764-66 he visited Toulouse, Geneva, Paris, met with Voltaire, Helvetius, Holbach, Diderot, D'Alembert, and physiocrats. Upon returning home, he lived in Kirkcaldy (until 1773), and then in London, and devoted himself entirely to work on fundamental work “An Inquiry into the Nature and Causes of the Wealth of Nations,” the first edition of which was published in 1776.

From 1778, Adam Smith held the position of customs official in Edinburgh, where he spent recent years of your life.

The economic theory that Smith expounded in An Inquiry into the Causes and Wealth of Nations was closely connected with the system of his philosophical ideas about man and society. Smith saw the main driver of human actions in selfishness, in the desire of each individual to improve his situation. However, according to him, in society, the selfish aspirations of people mutually limit each other, forming together a harmonious balance of contradictions, which is a reflection of the harmony established from above and reigning in the Universe. Competition in the economy and everyone’s desire for personal gain ensure the development of production and, ultimately, the growth of social welfare.

One of the key provisions of Adam Smith's theory is the need to free the economy from state regulation that impedes the natural development of the economy. He sharply criticized the prevailing economic policy of mercantilism at that time, aimed at ensuring a positive balance in foreign trade through a system of prohibitive measures. According to Smith, the desire of people to buy where it is cheaper and sell where it is more expensive is natural, and therefore all protectionist duties and incentives for exports are harmful, as are any obstacles to the free circulation of money.

Arguing with the theorists of mercantilism, who identified wealth with precious metals, and with the physiocrats, who saw the source of wealth exclusively in agriculture, Smith argued that wealth is created by all types of productive labor. Labor, he argued, also acts as a measure of the value of goods. At the same time, however, Adam Smith (unlike the 19th century economists - D. Ricardo, Karl Marx, etc.) did not mean the amount of labor that was spent on the production of a product, but the amount that can be purchased for this product. Money is just one type of commodity and is not the main purpose of production.

Adam Smith associated the well-being of society with increased labor productivity. Most effective means He considered division of labor and specialization to increase it, citing the classic example of the pin factory, which has since become a classic example. However, the degree of division of labor, he emphasized, is directly related to the size of the market: the wider the market, the higher the level of specialization of the producers operating in it. This led to the conclusion that it was necessary to abolish such restrictions for the free development of the market as monopolies, guild privileges, laws on residence, compulsory apprenticeship, etc.

According to Adam Smith's theory, the initial value of a product during distribution is divided into three parts: wages, profit and rent. With the growth of labor productivity, he noted, there is an increase in wages and rent, but the share of profit in the newly produced value decreases. The total social product is divided into two main parts: the first - capital - serves to maintain and expand production (this includes the wages of workers), the second goes for consumption by the unproductive classes of society (owners of land and capital, civil servants, military personnel, scientists, liberal professions). etc.). The well-being of society depends on the relationship between these two parts: how more share capital, the faster social wealth grows, and, on the contrary, the more funds are spent on unproductive consumption (primarily by the state), the poorer the nation.

At the same time, A. Smith did not seek to reduce the influence of the state on the economy to zero. The state, in his opinion, should play the role of an arbiter, as well as carry out those socially necessary economic activities that private capital cannot do. (A.V. Chudinov)

More about Adam Smith:

Adam Smith was born in 1723 in the small Scottish town of Kirkcaldy. His father, a minor customs official, died before his son was born. Adam's mother gave him a good upbringing and had a huge moral influence on him.

Adam, aged fourteen, comes to Glasgow to study mathematics and philosophy at university. The most vivid and unforgettable impressions were left on him by the brilliant lectures of Francis Hutchison, who was called “the father of speculative philosophy in Scotland in modern times.” Hutchison was the first of the professors at the University of Glasgow to give his lectures not in Latin, but in ordinary spoken language, and without any notes. His commitment to the principles of “reasonable” religious and political freedom and unorthodox ideas about a just and good Supreme Deity, caring for human happiness, caused discontent among the old Scottish professors.

In 1740, due to circumstances, Scottish universities were able to send several students annually to study in England. Smith goes to Oxford. During this long journey on horseback, the young man never ceased to be amazed at the wealth and prosperity of this region, so different from the economical and reserved Scotland.

Oxford met Adam Smith inhospitably: the Scots, of whom there were very few, felt uncomfortable, subjected to constant ridicule, indifferent, and even unfair treatment by teachers. Smith considered the six years spent here to be the most unhappy and mediocre of his life, although he read a lot and constantly studied on his own. It is no coincidence that he left the university ahead of schedule, without receiving a diploma.

Smith returned to Scotland and, abandoning his intention to become a priest, decided to earn his living through literary activity. In Edinburgh he prepared and delivered two courses of public lectures on rhetoric, belles lettres and jurisprudence. However, the texts have not survived, and an impression of them can only be formed from the memories and notes of some listeners. One thing is certain - these speeches already brought Adam Smith his first fame and official recognition: in 1751 he received the title of professor of logic, and already in next year- Professor of Moral Philosophy at the University of Glasgow.

Adam Smith probably lived happily for the thirteen years that he taught at the university - he, by nature a philosopher, was alien to political ambitions and the desire for greatness. He believed that happiness is available to everyone and does not depend on position in society, and true pleasure comes only from satisfaction from work, peace of mind and physical health. Smith himself lived to old age, maintaining clarity of mind and extraordinary diligence.

Adam was an unusually popular lecturer. Adam's course, which consisted of natural history, theology, ethics, law and politics, attracted numerous students who came from even remote places. The very next day, new lectures were hotly discussed in clubs and literary societies in Glasgow. Smith's admirers not only repeated the expressions of their idol, but even tried to accurately imitate his manner of speaking and peculiarities of pronunciation.

Meanwhile, Smith hardly resembled an eloquent speaker: his voice was harsh, his diction was not very clear, and at times he almost stuttered. There was a lot of talk about his absent-mindedness. Sometimes those around him noticed that Smith seemed to be talking to himself, and a slight smile appeared on his face. If at such moments someone called out to him, trying to engage him in a conversation, he immediately began to rant and did not stop until he had laid out everything he knew about the subject of discussion. But if anyone expressed doubts about his arguments, Smith instantly renounced what he had just said and, with the same fervor, convinced of the exact opposite.

A distinctive feature of the scientist’s character was gentleness and compliance, reaching the point of some timidity; this was probably due to the female influence under which he grew up. Almost until his very last years, he was carefully looked after by his mother and cousin. Adam Smith had no other relatives: they said that after the disappointment suffered in his early youth, he forever abandoned thoughts of marriage.

His penchant for solitude and a quiet, secluded life caused complaints from his few friends, especially the closest of them, Hume. Smith became friends with the famous Scottish philosopher, historian and economist David Hume in 1752. In many ways they were similar: both were interested in ethics and political economy, and had an inquisitive mindset. Some of Hume's brilliant insights were further developed and embodied in the works of Smith.

In their friendly union, David Hume undoubtedly played a leading role. Adam Smith did not possess significant courage, which was revealed, among other things, in his refusal to take upon himself, after Hume’s death, the publication of some of the latter’s works that were anti-religious in nature. Nevertheless, Smith was a noble nature: full of striving for truth and the high qualities of the human soul, he fully shared the ideals of his time, on the eve of the Great French Revolution.

In 1759, Adam Smith published his first essay, which brought him wide fame, “The Theory of Moral Sentiments,” where he sought to prove that a person has an inherent feeling of sympathy for others, which encourages him to follow moral principles. Immediately after the publication of the work, Hume wrote to a friend with his characteristic irony: “Indeed, nothing can hint more strongly at error than the approval of the majority. I proceed to present the sad news that your book is very unhappy, because it has earned excessive admiration from the public.”

The Theory of Moral Sentiments is one of the most remarkable works on ethics of the 18th century. As a successor mainly to Shaftesbury, Hutchinson and Hume, Adam Smith developed a new ethical system that represented a major step forward compared to the systems of his predecessors.

A. Smith became so popular that soon after the publication of The Theory he received an offer from the Duke of Buckley to accompany his family on a trip to Europe. The arguments that forced the respected professor to leave his university chair and his usual social circle were weighty: the Duke promised him 300 pounds a year not only for the duration of the trip, but also after, which was especially attractive. A permanent pension for the rest of his life eliminated the need to earn a living.

The journey lasted almost three years. They left England in 1764, visited Paris, Toulouse, other cities of southern France, and Genoa. The months spent in Paris were remembered for a long time - here Adam Smith met almost all the outstanding philosophers and writers of the era. He met with D'Alembert, Helvetius, but became especially close to Turgot, a brilliant economist, the future controller general of finance. Poor knowledge of French did not prevent Smith from talking with him for a long time about political economy. Their views had a lot in common with the idea of ​​free trade and limiting government intervention into the economy.

Returning to his homeland, Adam Smith retires to his old parents' house, devoting himself entirely to working on the main book of his life. About ten years passed almost completely alone. In letters to Hume, Smith mentions long walks along the seashore, where nothing disturbed his thoughts. In 1776, “An Inquiry into the Nature and Causes of the Wealth of Nations” was published - a work that combines abstract theory with a detailed description of the features of the development of trade and production.

With this last work, Smith, according to widespread opinion at the time, created new science- political economy. The opinion is exaggerated. But no matter how one evaluates the merits of Adam Smith in the history of political economy, one thing is beyond doubt: no one, either before or after him, played such a role in the history of this science. “The Wealth of Nations” is an extensive treatise of five books, containing an outline of theoretical economics (Books 1-2), a history of economic teachings in connection with the general economic history of Europe after the fall of the Roman Empire (Books 3-4) and financial science in connection with management science (5th book).

The main idea of ​​the theoretical part of “The Wealth of Nations” can be considered the position that the main source and factor of wealth is human labor - in other words, man himself. The reader encounters this idea on the very first pages of Smith’s treatise, in the famous chapter “On the Division of Labor.” The division of labor, according to Smith, is the most important engine of economic progress. As a condition that sets a limit to the possible division of labor, Smith points to the vastness of the market, and thereby elevates the entire teaching from a simple empirical generalization expressed by Greek philosophers to the level of a scientific law. In his doctrine of value, Smith also highlights human labor, recognizing labor as a universal measure of exchange value

His criticism of mercantilism was not abstract reasoning: he described the economic system in which he lived and showed its unsuitability for new conditions. Observations made earlier in Glasgow, then still a provincial city, which was gradually turning into a large commercial and industrial center, probably helped. According to the apt remark of one of his contemporaries, here after 1750 “not a single beggar was visible on the streets, every child was busy with work”

Adam Smith was not the first to seek to debunk the economic errors of the policy of mercantilism, which assumed artificial encouragement by the state of certain industries, but he managed to bring his views into a system and apply it to reality. He defended freedom of trade and non-interference of the state in the economy, because he believed that only they would provide the most favorable conditions for obtaining the greatest profit, and therefore would contribute to the prosperity of society. Smith believed that the functions of the state should be reduced only to the defense of the country from external enemies, the fight against criminals and the organization of that economic activity, which is beyond the power of individuals.

The originality of Adam Smith did not lie in particulars, but as a whole, his system was the most complete and perfect expression of the ideas and aspirations of his era - the era of the fall of the medieval economic system and the rapid development of the capitalist economy. Smith's individualism, cosmopolitanism and rationalism are in complete harmony with the philosophical worldview of the 18th century. His ardent belief in freedom is reminiscent of the revolutionary era late XVIII century. The same spirit permeates Smith's attitude towards the working and lower classes of society. In general, Adam Smith is completely alien to that conscious defense of the interests of the upper classes, the bourgeoisie or landowners, which characterized the social position of his disciples of later times. On the contrary, in all cases where the interests of workers and capitalists come into conflict, he energetically takes the side of the workers. Nevertheless, Smith's ideas benefited the bourgeoisie. This irony of history reflected the transitional nature of the era.

In 1778, Adam Smith was appointed a member of the Scottish Customs Board. Edinburgh became his permanent place of residence. In 1787 he was elected rector of the University of Glasgow.

Now arriving in London, after the publication of The Wealth of Nations, Smith was met with resounding success and admiration from the public. But William Pitt the Younger became his especially enthusiastic admirer. He was not even eighteen when Adam Smith’s book was published, which largely influenced the formation of the views of the future prime minister, who tried to put into practice the main principles of Smith’s economic theory.

In 1787, Smith's last visit to London took place - he was supposed to attend a dinner where many famous politicians gathered.

Smith came last. Immediately everyone rose to greet the distinguished guest. “Sit down, gentlemen,” he said, embarrassed by the attention. “No,” Pitt replied, “we will remain standing until you sit down, because we are all your students.” “What an extraordinary man Pitt is,” Adam Smith later exclaimed, “he understands my ideas better than I do myself!”

Recent years have been painted in dark, melancholic tones. With the death of his mother, Smith seemed to have lost the will to live, the best was left behind. Honor did not replace departed friends. On the eve of his death, Smith ordered all unfinished manuscripts to be burned, as if once again reminding him of his contempt for vanity and worldly vanity.

Adam Smith died in Edinburgh in 1790.

Brief chronology of life and creativity

In Russia, the monopoly of manufacturing owners, created by the state for the development of industry, ceases to operate
"During the war, which began in 1702... the national debt increased more and more. By December 31, 1722, it had risen to 55,282,978 pounds. The decline in debt began only in 1723, and proceeded so slowly that by December 31, 1739, after 17 years of the deepest peace, the total amount paid did not exceed 8,328,554 pounds."

January Death of father, Adam Smith Sr.

June 5 Baptism of Adam Smith in Kirkcaldy (Scotland). The exact date of birth is unknown; probably April

Adam Smith Jr.'s father died suddenly, after suffering from a severe fever for 3 days. Smith was wealthy. In Kirkcaldy, a small Scottish town across the bay from Edinburgh, there were few people with an annual income of 300 pounds. But it was a salary, and you can’t leave it as an inheritance

Benjamin Franklin creates a police force in Philadelphia - the city's first paid police force.

Admission to Glasgow University

Glasgow University was the most advanced in the whole of the United Kingdom in the 18th century. Smith studies with the renowned Professor Hutcheson. Under his guidance, he reads a lot: the Dutch lawyer Hugo Grotius, the creator of natural law, based not on divine, but on human principles, the philosophers F. Bacon and D. Locke, who laid down the principles of empirical knowledge

By Act of Parliament all emigrants, including Huguenots and Jews in the British colonies, received British citizenship
"In 1740 - a year of serious crisis - the production of linen and woolen fabrics experienced a very significant decline"

Graduated from university, received an MFA and a scholarship to Balliol College, Oxford University
"Sir! Yesterday I received your letter with a transfer of 16 pounds with it, for which I am humbly grateful, and still more for the good advice you give me. I really fear that my expenses this year will of necessity be much greater, than hereafter, through the special and extremely burdensome contributions which we are obliged to make to the college and university upon admission. If any one spoils his health at Oxford by excessive work, it will be his own fault: our only duties here are to to go to prayer twice a day and to lectures twice a week" (From a letter to William Smith, guardian)

The students' reading was supervised by professors and pedels (mentors). One day, Smith's mentor watched the latter as he carried a thick volume into his student cell, which turned out to be Hume's Treatise on Human Nature. An investigation was conducted and Smith was reprimanded.

France and Britain are fighting for dominance in India. The conflicting parties are led by the head of the administration of the East India Company, Robert Clive, and the governors of Pondisher and Dupleix.
"Ulloa, who lived in Peru from 1740 to 1746, believed the population of its main city of Lima to be more than 50 thousand"

autumn Smith leaves Oxford and returns to Kirkcaldy

"Oxford, such as it was then, could do little for Smith for his subsequent work" (W.R. Scott). In the 5th book of his Wealth of Nations, Smith complains about the poor quality of English university education in comparison with English. He sees the reason for this in the fact that the leaders English universities Professors were paid too generously and they could live well regardless of their abilities. In addition, gifted people preferred a church career to a university one as it was more profitable and prestigious.

Smith spends his days in Kirkcaldy poring over books, but he can't find a decent job.

On March 28, a huge fire engulfs London. The losses are estimated at £1,000,000 at current prices.
"In 1748, all the claims of the South Sea Company to the King of Spain were rejected under the Treaty of E-la-Chapelle, and it was paid an amount considered equivalent to the value of these claims. Thus, all the funds of the company were converted into annual bills, and the company itself ceased to be a trading company "

Beginning of Smith's public lectures in Edinburgh on literature and natural law. Meet Henry Hume (Lord Kames)

Hume was over 50. Edinburgh literati gathered in his house. Finding young talented people was Hume's passion all his life. Adam Smith soon became his idol. It was Hume who got Smith a position as a lecturer at the university. Adam Smith was supposed to give a course of lectures on Moral Philosophy. Then it was a subject with wide, undefined possibilities: a little about everything - history, antiquities, customs and manners of different countries, etc. I liked Smith's lectures. In one of his lectures, Smith unexpectedly took a step towards sociology. “Man is usually considered by statesmen and projectors as a kind of material for political mechanics. Projects disrupt the natural course of human affairs, but nature must be left to itself and given complete freedom in pursuing its goals and implementing its own projects... In order to raise the state from from the lowest level of barbarism to the highest level of prosperity, all that is needed is peace, light taxes and tolerance in government; the natural course of things will do the rest. All governments that forcibly direct events in a different way or try to stop the development of society are unnatural."

S. Johnson founded the literary magazine "Rumble" (1750--1752)
“In 1750, a proposal was made to Parliament to place trade with India under the control of a certain regulating company ... The East India Company, in opposition to this proposal, presented in rather severe memoranda its views on the terrifying effects that might arise from the implementation of this plan. "

Around this time, Smith met the famous philosopher and historian D. Hume, with whom he had a close friendship until the latter’s death

"Be that as it may, I have always considered Hume, both during his life and much more since his death, to approach as nearly as possible the idea of ​​the perfection of the wise and virtuous man, as far as the imperfection of human nature will permit it" (Smith from a private letter, 9 November 1776)

France adopts plan to tax clergy
"From the very beginning, sugar was a commodity whose supply to Britain was strictly regulated; but in 1751, according to the proposal of the sugar planters, its export was allowed from all parts of the world"

Smith holds the chair of logic at the University of Glasgow. Settlement in Glasgow. Unsuccessful love for a girl whose name is only known as Jean

Smith petitioned the University Council to abolish the mandatory prayer before each of his lectures. The council did not agree to this, but the prayer, which he, of necessity, read, was more likely a kind of philosophical thinking out loud. Lord Buchan, who in his youth was a student of Smith and retained reverence for his teacher to the end, complained: “O worthy and honorable man, why were you not a Christian?”

September 10 of this year, like the 10 subsequent ones, did not exist in English history due to the country's transition to the Gregorian calendar. Riots erupted across England as people thought 11 days had been stolen from them.
"In 1751 and 1752, while Mr. Hume was publishing his Political Discourses, and just after the increase in the supply of paper money in Scotland, there was a considerable increase in the price of food, which, it is true, was perhaps due to unfavorable climatic conditions, and not at all due to an increase in the money supply"

Smith holds the chair of moral philosophy

Smith taught a course in moral philosophy for 12 years. At first, Smith followed the ideas of his teacher Hutcheson in his course. Hutcheson believed that people are naturally philanthropic, and this, if we put aside the details, is the main motive for their actions. Then he put forward the “principle of sympathy”: he explained people’s actions towards others by the ability to “get into their skin.” I give alms to a beggar because I can put myself in his place, I agree with the execution of a criminal, because I can put myself in the place of his victim. Smith illustrated his lectures with vivid and juicy examples: “The loss of a leg may in general be considered a more real disaster than the loss of a mistress. But it would be a funny tragedy on the theater if its plot were based on a misfortune of the first kind. On the contrary, a misfortune of the second kind, as no matter how trivial it may seem, it is the subject of many excellent tragedies."

During the summer, the British captured 300 ships of the French merchant fleet with a crew of 8,000. This was a severe blow to the French fleet. France, owning 45 battleships, could arm no more than 30 due to lack of material and people
"in 1755, the total income of the clergy of the Scottish Church, including feudal dues or land rent, as well as the rent of their huts and dwellings ... hardly rose to 68,514 pounds sterling. These very moderate incomes provided a completely decent existence for 945 clergy."

Smith's first reliable publication was articles in the Edinburgh Review. Lecture at the Glasgow Political Economy Club, where Smith first expressed a number of his economic ideas

In his article, Smith gave a review of the latest European (mainly French) literature and highly praised the "Encyclopedia" of Diderot and d'Alembert

Josiah Wedgwood (1730-1795) founded the Etruscan vases factory in Straffodshire and sold antique ceramics around the world.
“In 1756, when the Russian army marched across Poland, the price of Russian soldiers was not quoted lower than the price of Prussian soldiers, at that time supposed to be the toughest and most experienced veterans in Europe.”

Probable date of meeting chemist Joseph Black and inventor James Watt

Black, not yet old, handsome, with the manners of an aristocrat, although he was the son of a wine merchant, was a favorite doctor in the city and had an extensive practice in the highest circle. He was interested in physics and often gave public lectures on his favorite topic: heat and how to measure it. The lectures were accompanied by experiments and therefore were accurate and convincing, and the results were strictly recorded

July 25, the British take Fort Niagara from the French during the Seven Years' War
“An income tax levied in any area of ​​commerce cannot fall on the merchants, but always falls heavily on the buyer... For this reason, the draft tax on shops was rejected in 1759.”

spring Publication in London of the book “The Theory of Moral Sentiments”, which laid the foundations for Smith’s fame as a philosopher

In the book, he approaches the concept of “economic man” for the first time. In everyday life, writes Smith, a person is guided by selfish interest. He is characterized by a desire for material well-being, a desire to get rich. Such a desire is a kind of reasonable egoism. For it keeps human diligence, initiative, and the search for new paths in constant motion. Next. Society is a flurry of individuals, something like gas molecules, which, driven by their private selfish interests, ultimately ensure a certain order and harmony.

1759-1763

Smith's extensive studies in natural law and political economy. Close friendship with Black. Unsuccessful love for the "Maid of Fife"

"When Black returned to his alma mater, he immediately struck up the closest friendship with the famous Adam Smith. This friendship became stronger and closer throughout their lives. Each of them saw in the character of the other a certain simplicity and incorruptible honesty, keenly sensitive to the slightest injustice and tactlessness. This cemented the bonds of their union. Dr. Smith himself often expressed gratitude to him when he helped him correctly assess the character of a person, admitting that he was inclined to judge a person as a whole by one of his traits" (Robison, Black's publisher)

"The poor worker, who seems to be carrying the whole creation on his shoulders human society. It is crushed by all its weight and seems to have sunk into the ground, so that it is not even visible on the surface" (Adam Smith, from preliminary sketches for The Wealth of Nations)

Coffee culture is introduced to Rio. It develops around Rio Bay (Rio de Janeiro) and reaches the river valley. Paraiba
“Government expenditures in Great Britain in 1761 rose to 19,000,000 pounds. Attracting no capital could cover such a large hole. It is impossible for any annual production, even of gold and silver, that could support such expenditures.”

summer First trip to London

During 1762-1784 more than 20,000 prostitutes were registered in Paris
“The bank notes of English banks at this time became the predominant means of current payments in Scotland, as a result of which the uncertainty of payments led to a fall in the value of banknotes in relation to gold and silver money. In continuation of these outrages (which especially prevailed in 1762, 1763 and 1764), while the exchange between Carlisle and London ranked equally, Dumfries lost 4 per cent. to London, although between Dumfries and Carlisle the distance is scarcely 30 miles."

Obtaining a Doctor of Laws degree

1762-1763

Smith gives lectures in which he systematically presents his views on law, history and economics

Smith advocates the development of trade and freedom of economic relations. He examines issues deeply, from all sides. “The development of industry and trade also brings with it a number of negative consequences. Firstly, it narrows people’s mental horizons... This is very clearly manifested when a person’s entire attention is focused on one seventeenth of a button. .. Another unfavorable consequence is the great neglect of education. In rich industrial countries, the division of labor, reducing all professions to very simple operations, allows children to be employed at a very early age."

The Bengal nawab (king) Mir Kazim destroys the English garrison in Patna, after which the British inflict a series of sensitive defeats on him

First draft of several chapters of The Wealth of Nations. Formation of ideas about the division of labor, the value of goods, and the distribution of income in society.

“The division of labor is a kind of historical prism through which A. Smith examines economic processes” (Academician B.S. Afanasyev). The whole society seemed to Smith as if it were a gigantic manufacture, and the division of labor was a universal form of economic cooperation of people in the interests of the “wealth of nations.”

The Comptroller General Bertin in France proposes a general cadastre in the Languedoc style, which seriously affects privileges. The proposal is defeated by the unanimous resistance of the parliaments, especially the Breton parliament, which point-blank refuse to register it. Bertin is replaced as Comptroller General by the Jansenist L'Avedi. Bertin becomes Secretary of State Taxes to continue his economic policy. The end of the war makes it possible to abolish a number of heavy taxes, replacing them with a cadastre
"Before 1763 the same duties were paid on the exportation of most foreign goods to the colonies as on their exportation to independent countries"

February Departure for France as tutor to the Duke of Buccleuch

According to the terms of the contract, Smith received 300 pounds a year, which was then substantial money, twice his professorial salary, with full board. "Mr. Smith has, among many advantages, the advantage of being deeply read in matters government structure and the laws of our own country (that is, England). He is intelligent without being overly refined, broadly educated without being superficial. Although he is a scientist, his views on our system of government are not dogmatic or one-sided narrow-minded. Studying with him will allow you to acquire in a short time the knowledge necessary for a serious politician" (from a letter to Mr. Bucklew from his guardian Townsend)

1764-1765

Life in Toulouse

The spirit of the Enlightenment is walking around Toulouse. There are salons in the city that imitate those in Paris. One of the aristocrats even kept a paid philosopher with him to entertain guests with intelligent conversations

James Watt surpasses Newcomen's engine in economic terms with his steam engines
"In 1765 and 1766 the total revenue received by the French budget... was somewhere between 308 and 325 million livres, that is, half as much as would be collected in England with the same population as in France."

autumn Smith in Geneva. Meet Voltaire

In Voltaire, Smith meets the descendants of the great moralist, the Duke of La Rochefoucauld; he once called the aphorisms of this moralist immoral

“The human mind owes immeasurably much to Voltaire. He poured out ridicule abundantly on the fanatics and heretics of all sects, and this enabled the minds of men to bear the light of truth, to prepare them for those investigations to which every thinking mind should strive. He did much more for the good of mankind, than those serious philosophers whose books are read only by a few. Voltaire's books are written for everyone and are read by everyone" (Smith on Voltaire in 1782)

December -- 1766, October Smith in Paris. Acquaintance and communication with Quesnay, Turgot, Helvetius, Holbach, Diderot, d'Alembert, Morellet, Dupont. Smith attends meetings of physiocrats

“I knew Smith when he traveled through France. He spoke our language very poorly: but I already formed an idea of ​​\u200b\u200bhis wisdom on the “Theory of Moral Sentiments” ... We talked about the theory of trade, about banks, government credit and other questions of the great work that he was planning" (From the memoirs of Abbot Morellet about Smith)

In Paris, Smith was received in many fashionable salons. The 18th century in France, if we talk about culture, was the century of salons. Each salon had its own personality. Each salon was usually headed by a lady. Salons gather in certain days, and, as a rule, consist of certain visitors. In salons they talk about everything. The conversation either gathers around a common center, or breaks into small fragments

Of particular importance for Smith was his acquaintance with the head of the school of physiocrats, Quesnay. Quesnay was a court physician and lived in the palace in a modest room on the mezzanine, where he had friends and like-minded people gather." While storms gathered and dissipated under Quesnay's mezzanines, he worked hard on his axioms and calculations on the economics of agriculture, equally calm and indifferent to the movements of the court, as if he were a hundred leagues away from him. Downstairs they talked about war and peace, about the appointments of generals and the resignations of ministers, and we on the mezzanine talked about agriculture and calculated the net product... And Madame Pompadour, without being in able to attract this company of philosophers to her salon, she herself sometimes went upstairs to talk to us" (From the memoirs of Marmontel)

French Minister Choiseul mediates in the Spanish-British conflict over the huge Spanish debt to London. He later calms Spanish anger in a private conversation about the British occupation of the Maldives archipelago
"Established norm usurious interest in France rarely depends on the market price. In 1766 it was 4 percent, almost half its market value."

Smith prepared notes for him about taxes, customs duties, prices, etc., that is, he was something like an assistant

The British Parliament passed the Smith Townsend Acts, known in history as the Townsend Acts, which imposed taxes on products such as lead, paper, paint, glass and tea.
in 1767 the British government set its sights on the territorial acquisitions of the [East India] Company [in South India] as belonging to the crown; the company, in compensation for this, agreed to pay the government 400,000 pounds / year

Retreat in Kirkcaldy, working on The Wealth of Nations

During these years, almost every weekday Adam Smith dictated his work to a secretary in his home. They worked like this for 3-4 hours. Then Smith read what he had written, made corrections, and gave it to the secretary for correspondence.

Smith set himself the task of bringing the entire amount of economic knowledge accumulated by that time into a single and rigorous system
“Productive and unproductive workers alike, as well as those who do not work at all, all alike subsist on the annual produce of the land and the labor of the country.”

"It may be thought that profit on capital is merely another name for wages, special kind labor, namely, for the work of supervising and managing the business. However, it is completely unlike wages, is determined by completely different principles, and does not stand in any proportion to the quantity, severity or complexity of this supposed labor of supervision and management."

"[The social wealth of a nation is composed of the income of its members]. Wages, profit and rent are the three original sources of all income, as well as of all value."

The Whig Party founds the Society of the Rights of Man, supporting the efforts of a radical and a fighter for civil rights Vilkis
“According to another privilege for British planters in America, they received significant concessions when exporting raw silk starting January 1, 1770.”

Edinburgh made Smith its honorary citizen

1773-1776

On December 16, protesting taxes, Bostonians dressed as Indians threw 342 boxes of tea into the sea. This marked the beginning of unrest in North America
"The price of labor in North America is much higher than it is in any part of England; in the province of New York, ordinary workers earned 3 shillings 6 pence a day in 1773, against 2 shillings of their English counterpart"

Smith in London. Communication with Johnson, Boswell, Burke, Franklin

Johnson and Smith didn't like each other. When Smith's Wealth of Nations came out, Boswell said to Johnson: "What can a man write about trade who has never done it?" “I think,” Johnson retorted, “you are mistaken: trade requires scientific coverage like no other subject... To write a good book about it, a person must have a broad outlook. It is unlikely that a person practicing in trade"

The first regatta took place on the Thames on June 23
The Window Tax (January 1775) must be paid on every window, and, depending on the size and nature of the window, ranges from 2d per window to a shilling

Smith is accepted into the Literary Club

The club was founded by the lexicographer Johnson and the artist D. Reynolds in 1764. On Fridays, once a week, a small society dined in a separate room of the Turk's Head tavern. Dinner and conversation with copious libations of whiskey and ale and complete absence women were delayed for a long time, and even after midnight. The club united people of literature, art and aristocrats. In the 1770s it was the real center of cultural life in London. The conversations concerned mainly politics and literature. There were poetic parodies, jokes, and satirical lifetime epitaphs in use. It must be said that becoming a member of the club was very difficult. So the great historian Gibbon was voted out during the first vote

On July 4, Americans at a congress in Philadelphia adopted the “Declaration of Independence of the United States of North America.”
Jeremy Bentham releases Fragments on Government

March Publication of Smith's main work, The Wealth of Nations, in London

August Death of Hume

Smith's contribution to world economic thought can be reduced to several main points

Firstly, economic forces are much stronger than legal and political obstacles, so the state is not able to stop the process of economic development of society; at best, it can only slow it down

Secondly, there is no strict relationship between the theory of natural law and the theory of economics; both of these doctrines can develop independently, complementing each other

Thirdly, it is fundamentally possible to use the provisions of natural law to explain and predict economic processes

Fourthly, he formulated ideas and systems of “natural freedom”, which is a logical continuation of the theory of natural law

The dueling code was adopted at a meeting of braters in Ireland for pistol duels. And although it was banned, it quickly came into use throughout the English-speaking world.
L. Norcross patents diving clothing

Publication of Hume's Autobiography and Smith's letters about Hume. Smith's clash with the clergy. Trip to London

On the way back, the carriage in which Smith was traveling was attacked by robbers. Such attacks were not uncommon in England at that time. Smith was saved by his own composure and the bravery of his servant.

Between 1778 and 1783, London softens its oppression in Ireland: the right to own land was returned to Catholics, discriminatory laws against the Catholic clergy were repealed; free trade allowed, Dublin parliament given the power to make laws for Ireland
The Spanish Empire opens up to international trade

Second edition of The Wealth of Nations. Appointment as Commissioner of Customs for Scotland and settlement in Edinburgh

This was by no means a sinecure. Smith went to work and spent long hours there. He was in charge of collecting customs duties and excise taxes on salt

1778-1790

Life in Edinburgh. Friendship with Black and Hutton. Oyster Club. Smith's Big Glory

Smith was distinguished by unchanging habits and a regular, correct lifestyle. He was always dressed simply and neatly, somewhat old-fashioned. He was extremely absent-minded, and if he did not notice bows, they did not take offense at him. "When in a large company, Smith moved his lips, talked to himself and smiled. If he was awakened from his reverie and returned to the topic of conversation, he immediately began to rant and did not stopped until he expressed everything he knew on this issue" (From the memoirs of a contemporary)

Smith was the founder and an indispensable member of the club, nicknamed the Oyster Club. Friends gathered every Friday in a special room in the tavern on Grossmarket, where they had conversations. Along with the founders of the club Smith, Black and Hutton, its regulars were Ferguson, Cullen, Mackenzie, Dugald Stewart, later biographer of A. Smith, Robert Adam and a number of aristocrats

Smith was a very kind man. So, despite the torment that writing with his own hand caused him, he could not refuse loved ones and even not very close people when they asked him to intercede or give recommendations

In July, the combined Franco-Spanish forces began the siege of Gibraltar (the 14th and last military siege in history). The English garrison, led by D. A. Eliott, repelled all attacks and withstood the food blockade
The world's first all-metal bridge, which was nicknamed the Iron Bridge, was built across the Severn River in northern England.

summer Book Dashkova, traveling around Europe, visits Edinburgh, where she meets A. Smith
"I met professors at [Edinburgh] University, people worthy of respect for their intelligence, knowledge and moral qualities. Petty claims and envy were alien to them, and they lived together like brothers, respecting and loving each other, which gave them the opportunity to enjoy the company of deep, enlightened people who agreed with each other... The immortal Robertson, Blair, Smith and Ferguson came to me 2 have lunch once a week and spend the whole day" (From the memoirs of Princess Dashkova)

On April 8, British Admiral Rodney defeats 5 French ships in a naval battle on the high seas, thanks to which he retains the Antilles for the crown.
The first American commercial bank opens (Bank of S. America)

autumn The famous French geologist professor Fauja Saint-Fonds visited Smith, who left interesting memories of the Scot

Smith took his guest to a bagpipe competition. The competition was held in the morning, in a large hall filled with people. But on a special dais sat the judges, all from Scotland. The musicians performed in national costumes - skirts and blankets. Although the melodies grated on the ears of the unaccustomed Frenchman, the listeners expressed great pleasure, and A. Smith did not lag behind the others

The 4th Anglo-Dutch War (1780-1784) weakens the Dutch East India Company. An anti-Dutch war is unfolding throughout the archipelago. Young Pitt, who does not have a majority in parliament, seeks its dissolution by the king and undergoes a repeat election procedure that gives him a majority. Pitt pursues an economic policy inspired by the ideas of A. Smith "laisser faire, laisser passer" (freedom of activity) within the framework of which he concludes several trade agreements, most famously with France (1786)

Third edition of The Wealth of Nations. Death of a Mother

Smith worked very hard on this edition. However, the main ideas remained unchanged, facts and details were clarified and supplemented. In particular, he wrote a large addition on privileged companies, and especially on the East India

Peter Leopold Joseph of the House of Habsburg, Grand Duke of Tuscany, carries out a penal reform that abolishes the death penalty for the first time in world practice
Administrative and fiscal reforms of de Calonne in France, inspired by Turgot. Introduction of subsidies for the development of provinces, taxation of the clergy and nobility, prohibition of internal customs, liberalization of grain trade, creation of provincial assemblies (legislative assemblies) elected on the basis of class qualifications without distinction between classes

4th edition of The Wealth of Nations Smith is seriously ill

The first Anglican bishop for the state was ordained in London. New York and Pennsylvania
Emperor Franz Joseph II of Austria prohibits the use of boys under 8 years of age in work

Last trip to London for treatment. Meeting Prime Minister William Pitt

The Prime Minister gave instructions to admit Smith to any government papers and even used his services as an unofficial adviser

1787-1789

Smith holds the honorary post of Lord Chancellor of the University of Glasgow

On July 14, the Bastille was stormed in Paris.
Prohibition of labor rent (corvée) in Austria. The death of Franz Joseph II prevents this measure, as well as the proportional land tax, which would be approved by provincial assemblies, from being implemented.

5th (last lifetime) edition of The Wealth of Nations

"The Wealth of Nations" consists of 5 books. The theoretical foundations of the system are presented in the first two books

The first contains Smith's theory of value and surplus value. It also provides a specific analysis of wages, profits and rents

The second book examines capital, its accumulation and application

The remaining books present a historical and economic sketch of Smith's contemporary Europe. The third book deals with the formation of the European economy during the period of feudalism and primitive accumulation of capital (the term itself, by the way, was invented by Smith). The fourth book is devoted to criticism of the theory and practice of mercantilism, as well as to the physiocrats. The fifth book examines finances - state expenses and revenues, public debt

British Parliament bans workers' unions
Copyrigth (copyright) introduced in America

6th (last lifetime) edition of “The Theory of Moral Sentiments”

Early June Burning of manuscripts by the executor at Smith's request. Black and Hutton, his literary executors, shied away from the mission entrusted to them for a long time, hoping that the natural course of events (Smith's death) would prevent the implementation of this barbaric plan. However, the old man showed tenacious persistence, and in his presence all his papers flew into the merciless fireplace

July 17 Death of Smith
"The ideas of economists and political thinkers are more powerful than is generally believed. In reality, the world is almost entirely governed by this. Practical men who consider themselves completely immune from intellectual influence are usually the slaves of some economist of the past. The madmen in power who they hear voices from the sky, they draw the sources of their madness from the works of some academic scribbler who wrote years ago. I am sure that the power of selfish interests is greatly exaggerated in comparison with the gradual seepage of ideas, however, this does not happen immediately, but after a certain period. time" (Keynes)

Biography (A. A. Khandruev. Great Soviet Encyclopedia. - M.: Soviet encyclopedia 1969-1978 )

Smith Adam Smith (Smith) Adam (5.6.1723, Kirkcaldy, Scotland, ? 17.7.1790, Edinburgh), Scottish economist and philosopher, a prominent representative of classical bourgeois political economy The son of a customs official. Educated at the universities of Glasgow and Oxford. Professor at the University of Glasgow (1751–63). In 1764–66 he was in France, where he met the physiocrats F. Quesnay and A. R. J. Turgot, philosophers and scientists J. L. D'Alembert, C. A. Helvetius and others, who had a great influence on the formation of his economic and philosophical views. From 1778 he was a customs commissioner in Edinburgh, and from 1787 he was rector of the University of Glasgow. In 1759, S.'s book “The Theory of Moral Sentiments” was published (Russian translation, 1895). In 1776, his main work “A Study of Nature” was published. and the reasons for the wealth of nations" (Russian translation, vol. 1?4, 1802-06, new translation, 1962).

S. acted as an ideologist of the industrial bourgeoisie of the 18th century, when it played a progressive role. K. Marx characterized him as “.. a generalizing economist of the manufacturing period...” (Marx K. and Engels F., Soch., 2nd ed., vol. 23, p. 361, note), V.I. Lenin? as “... the great ideologist of the advanced bourgeoisie” (Complete collection of works, 5th ed., vol. 2, p. 521). Thanks to S.'s research, political economy has turned into a relatively developed system of economic knowledge. S. criticized the theory and practice of mercantilism, feudal institutions and remnants that hamper the development of capitalism. Recognizing selfish interest as the main motive of economic activity, he considered free competition, the dominance of private property, restrictions on all kinds of monopolies, freedom of trade, and non-intervention of the state in the economy to be the “natural order” in the field of economic life. The anti-historicism of S.'s theoretical ideas expressed the practical interests of the industrial bourgeoisie.

The contradiction in S.'s methodology between the analysis of the internal essence of phenomena and the uncritical fixation of their empirical appearance is reflected in the fact that his economic system, along with scientific provisions, contains vulgar views. S.'s merit? development of the most important categories of the labor theory of value. He recognized labor as the substance of value, defended the commodity nature of money, distinguished between exchange and consumer value, and came closer to understanding the dual nature of labor embodied in a commodity. S.'s inconsistency was manifested in the fact that he determined value not only by the labor expended on the production of goods, but also by the so-called. purchased labor.

S. outlined the class structure of bourgeois society, identifying its three main classes: wage workers, capitalists and landowners, and he contrasted wage workers with the other two classes. Recognized that profit, interest and rent are deductions from the product of the worker’s labor. At the same time, he believed that profit is the entrepreneur’s payment for risk and capital costs. S.'s merits include the analysis of the categories of wages, differential rent, productive labor under capitalism as labor that creates surplus value, etc. Along with this, he erroneously defined the worker's wages as payment for labor, tried to present rent as the result of the “activity of nature,” and considered productive labor only labor embodied in a material product.

Without distinguishing between simple and capitalist commodity production, S. turned out to be powerless to reveal the mechanism of formation of surplus value under capitalism. He identified the process of creation and distribution of value, and did not see the modification of value into the price of production. All this led S. to the false conclusion that the value of goods is composed and broken down into income: profit, wages and land rent (see Smith's Dogma). S. came close to the correct interpretation of fixed and circulating capital, tried to discover the factors of capital accumulation in the sphere of production, but could not reveal the internal nature and historical tendency of capitalist accumulation.

S.'s economic teaching had a great influence on the development of political economy. Did S.'s scientific ideas form the foundation of classical bourgeois political economy? one of the sources of Marxism. Based on the vulgar elements in S.’s system of views, various apologetic bourgeois theories developed.

Works: Essays on philosophical subjects, new ed., L., 1872.

Lit.: Marx K., Capital, vol. 2, Marx K. and Engels F., Soch., 2nd ed., vol. 24; him, The Theory of Surplus Value (IV volume of Capital), Part 1, Ch. 3?4, part 2, ch. 13?14, ibid., vol. 26, part 1?2; Lenin V.I., On the characteristics of economic romanticism, Complete. collection cit., 5th ed., vol. 2; his, Three sources and three components of Marxism, ibid., vol. 23; Anikin A.V., Adam Smith, M., 1968; him, Youth of Science, M., 1971; Stewart D., Biographical memoirs of Adarn Smith, L., 1811; Stephen L., History of English thought in the 18th century, v. 1?2, L., 1876; Schumpeter J. A., History of economic analysis, N. Y., 1954, p. 181-94.

Biography

Adam Smith, a leading figure in the development of economic theory, was born in 1723 in Kirkcaldy in Scotland. As a young man he entered Oxford University and from 1751 to 1764 was professor of philosophy at the University of Glasgow. Here he published his first book, The Theory of Moral Sentiments, which established his reputation in scientific circles. However, his remarkable work “An Inquiry into the Nature and Causes of the Wealth of Nations,” published in 1776, brought him unfading fame. This book was immediately doomed to success, and Smith lived the rest of his life in glory and honor. He died in Kirkcaldy in 1790.

Smith had no children and never married Adam Smith was not the first person to devote himself to economic theory, and many of his well-known ideas were not original. But he was the first to present a comprehensive and systematic theory of economics that was sufficiently infallible to form the basis for future progress in this field. This gives grounds to unmistakably state that The Wealth of Nations is the starting point for the study of political economy. One of the main strengths of the book was that it cleared up many misconceptions that existed at the time. Smith opposed the mechanistic theory of the time, which emphasized the importance of large gold reserves for the state. Likewise, the book rejected the physiocratic view that land was the main source of accumulation and instead emphasized the idea that labor played a major role. Smith tirelessly emphasized that dramatic increases in production could only be achieved through the division of labor, and he bitterly opposed the outdated and unjustified government restrictions that hampered industrial development.

The fundamental idea of ​​The Wealth of Nations is that the seemingly chaotic free market is in fact a self-regulating mechanism that automatically produces the type and quantity of goods that are most wanted and most needed by society. For example, suppose that some required product not in sufficient quantity Naturally, its price will increase, and more high price will give more profit to those who produce this product. Due to high profits, other producers will also strive to produce this product. The resulting increase in production will reduce the initial shortage. And moreover, an increase in inventories of goods, combined with competition between different producers, will lead to a reduction in the price of goods to the “natural price”, i.e. to cost. No coercive measures are needed to help society eliminate this shortage, be that as it may, the problem is solved. In Smith's words, every man is “guided only by his own advantage,” but he is “directed by an invisible hand to an end which was not at all his intention. In pursuing his own ends, he often serves the interests of society more effectively than when he consciously strives to do so" (The Wealth of a Nation, Book IV, Chapter II).

The invisible hand, however, cannot do a good job if there are restrictions on free competition. Therefore, Smith advocates free trade and speaks out against high tariffs. In fact, he strongly opposes strong government intervention in business and free markets. Such interference, he emphasizes, always affects the efficiency of the economy and causes an increase in prices that the population has to pay. (Smith did not invent the term "natural liberty," but did more than anyone else to support the concept.) Some people have the impression that Adam Smith was simply an apologist for business interests, but this view is incorrect. He repeatedly and in stern terms condemned the practice of monopolistic business and demanded an end to it. Here is a characteristic observation he made in The Wealth of Nations: “People belonging to the same business rarely meet together, but their conversation ends in a secret deal against the public or some kind of diversion designed to inflate prices.” Adam Smith managed to organize and present his economic system in such a way that after a few decades the earlier economic schools were forgotten. Almost everything positive that was created by these schools was combined with the Smith system.

Smith's followers, and among them such famous economists as Thomas Malthus and David Ricardo, developed and refined his system (without changing its basic principles), turning it into the structure that is today referred to as classical economics. Although modern economic theories have introduced new provisions and methods, this is largely a development of classical economics. In The Wealth of Nations, Smith partially rejects Malthus's view of the absolute abundance of people. However, while Ricardo and Karl Marx believe that excess population prevents wages from rising above the subsistence level (the so-called “iron law of wages”), Smith argues that wages can rise as production increases. It is quite obvious that life has confirmed the correctness of Smith's words and the fallacy of the point of view of Ricardo and Marx.

Quite apart from the question of the correctness of Smith's views or his influence on later theorists is the question of his influence on legislation and government policy. The Wealth of Nations is a book that is written with great skill and is easy to understand, enjoying great popularity. Smith's arguments against government interference in business and trade, and his advocacy of low tariffs and free trade, had a decisive influence on government policy throughout the nineteenth century. And, in fact, his influence on this policy is still noticeable.

Since economic theory has advanced greatly since Smith's time and some of his ideas have been rejected, it is not difficult to underestimate the importance of Adam Smith. But the fact remains that he was the main author and creator of economic theory as a system of knowledge and is therefore an important figure in the history of human thought.

Adam SMITH. Years of life - (1723-90), Scottish economist and philosopher, one of the largest representatives of classical political economy. In A Study on the Nature and Causes of the Wealth of Nations (1776), he systematized the century-long development of this direction of economic thought, described the theory of value and income distribution, capital and its accumulation, the economic history of Western Europe, views on economic policy, and state finances. He approached the economy as a system as a whole, in which there are objective laws that can be defined and known. During Smith's lifetime, the book went through five English and several foreign editions and translations. Beginning of scientific activity

Born and raised in the family of a customs official. He studied at school for several years, then entered the University of Glasgow in 1737 to study moral philosophy. In 1740 he received a Master of Arts degree and a private scholarship to continue his studies at Oxford, where he studied philosophy and literature until 1746.

In 1748-1750, Adam Smith gave public lectures on literature and natural law in the city of Edinburgh. From 1751 he received the degree of professor of logic at the University of Glasgow, and from 1752 - the degree of professor of moral philosophy. In 1755 he published his first articles in the Edinburgh Review. In 1759 he published a philosophical work on ethics, The Theory of Moral Sentiments, which brought him international fame. In 1762, Smith received the degree of Doctor of Laws.

In 1764 he left teaching and went to the continent as tutor to the young Duke of Buccleuch. In 1764-1766 he visited Toulouse, Geneva, Paris, met with Voltaire, Helvetius, Holbach, Diderot, d'Alembert, physiocrats. Upon returning home, he lived in Kirkcaldy (until 1773), and then in London, devoted himself entirely to work on fundamental work, An Inquiry into the Nature and Causes of the Wealth of Nations, the first edition of which was published in 1776.

From 1778 Smith held the position of customs official in Edinburgh, where he spent the last years of his life.

Philosophical and economic views

The economic theory that Smith expounded in An Inquiry into the Causes and Wealth of Nations was closely intertwined with his system of philosophical worldviews about man and society. Smith saw the main driver of human actions in selfishness, in the desire of each individual to improve his situation. However, according to him, in society, the selfish aspirations of people mutually limit each other, forming together a harmonious balance of contradictions, which is a reflection of the harmony established from above and reigning in the Universe. Competition in the economy and everyone’s desire for personal gain ensure the development of production and, ultimately, the growth of social welfare.

One of the key provisions of Smith's theory is the need to free the economy from state influence, which impedes the natural development of the economy. He sharply criticized the prevailing economic policy of mercantilism at that time, aimed at ensuring a positive balance in foreign trade through a system of prohibitive measures. According to Adam Smith, the desire of people to buy cheaper and sell more expensive is natural, and therefore all protective duties and incentive bonuses for exports are harmful, as are any obstacles to the free circulation of money.

Conducting a dialogue with the theorists of mercantilism, who identified wealth with precious metals, and with the physiocrats, who saw the source of wealth exclusively in agriculture, Smith argued that wealth could be created by all types of productive labor. Labor, he argued, also acts as an appraiser of the value of goods. At the same time, however, Smith (unlike the economists of the 19th century - D. Ricardo, K. Marx, etc.) did not mean the amount of labor that was spent on the production of a product, but that which can be purchased for this product. Money is just one type of commodity and is not the main purpose of production.

Smith associated the well-being of society with an increase in labor productivity. To achieve this, he proposed division of labor and specialization, citing the now classic example of the pin factory. However, the degree of division of labor, he emphasized, is directly related to the volume of the market: the wider the market, the higher the level of specialization of the producers operating in it. This led to the conclusion that it was necessary to remove such restrictions for the free development of the market as monopolies, guild privileges, laws on residence, compulsory apprenticeship, etc.

According to Adam Smith's theory, the original cost of a product during distribution is divided into three parts: wages, profit and rent. With the growth of labor productivity, he noted, there is an increase in wages and rent, but the amount of profit in the newly produced value decreases. The total social product is divided into two main parts: the first - capital - is necessary to maintain and expand production (this includes the wages of workers), the second goes for consumption by the unproductive classes of society (owners of land and capital, civil servants, military personnel, scientists, liberal professions). etc.). The well-being of society depends on the ratio of these two parts: the higher the share of capital, the faster social wealth grows, and, conversely, the more funds spent on unproductive consumption (primarily by the state), the poorer the nation.

At the same time, Smith did not seek to reduce the impact of the state on the economy to 0. The state, in his opinion, should play the role of a judge, as well as carry out those socially necessary economic activities that private capital cannot do.

Adam Smith. Economics from Adam (7 stories Vladimir Gakov. MONEY No. 37 (341) dated 09/19/2001)

At the end of 1776, the book of the Scottish economist and philosopher Adam Smith, “An Inquiry into the Nature and Causes of the Wealth of Nations,” was published in England, with which, one might say, THE SCIENCE OF POLITECONOMY BEGAN - the author presented it as a system in which objective laws that can be analyzed operate . It was thanks to this work that the IDEA OF STATE NON-INTERFERENCE IN THE ECONOMY TOOK MINDS - just remember Eugene Onegin, who “read Adam Smith and was a deep economist.” The first philosopher to combine economics and politics, he gave into the hands of his descendants a tool that is still in use for effective economic activity.

Customs circumstances

Adam Smith was born on June 5, 1723 in the Scottish city of Kirkcaldy. In the last years of his life, his father served as a customs inspector, which in those distant times was considered a financial matter in all respects. However, he died just months before his son was born, and the Smith family's fortunes collapsed. The future economist and philosopher from early childhood learned to value every penny and learned for himself what social injustice is.

The son of customs officer Smith showed remarkable ability to study science. At the age of 16, Adam left his father's house and went to Glasgow to go to university. The young man's knowledge produced strong impression to the selection committee, and he was enrolled in the Faculty of Philosophy, where the future creator of political economy studied “moral philosophy” (in other words, ethics), as well as the entire complex of humanities disciplines of that time. After graduating from the university, Smith began independent scientific research, and in 1748, having secured the recommendations of the university's patron, Lord Kames, he began giving public lectures in the capital Edinburgh.

At first, the topics of lectures were limited to rhetoric and literature. After some time, Smith became fascinated by ethics, and then by a completely new field of scientific activity, the name for which had not yet been invented at that time. The scientist designated it as the “theory of wealth,” combining politics and economics that previously seemed incompatible into one whole.

However, the first success came to the young scientist in the field of philosophy. In 1751, a year after meeting David Hume, one of the most famous English philosophers, Adam Smith became a professor at the University of Glasgow. And eight years later he published the book “The Theory of Moral Sentiments,” which contained new look on the main, in his opinion, human manifestation - sympathy. By it, Smith understood the ability to perceive the environment from the perspective of a particular person, including at the level of feelings and emotions.

The book created a sensation, and far beyond the walls of university classrooms. Shortly after its release, Adam Smith received an enthusiastic letter from Hume. True, the venerable philosopher accompanied his congratulations to his young colleague with an apology for bringing him “bad news”: according to Hume, popularity is incompatible with the work of a true philosopher.

Be that as it may, the success of the book served the young professor well (36 years old - according to the ideas of that time - an undignified age for a serious scientist) - he was offered to become the tutor of the young Lord Buccleich. Smith agreed. The new position turned out to be beneficial both financially and creatively: the fees of a private teacher allowed him to leave the university, and now he could devote enough time to the main work of his life.

In addition, Smith finally traveled with his student to France, where he met the most prominent thinkers - Jean d'Alembert, Voltaire, Claude Adrian Helvetius, as well as a whole group of French physiocratic economists led by Turgot and Quesnay, whose views were very popular in enlightened Europe. The scientist’s main work, the fundamental “Inquiry into the Nature and Causes of the Wealth of Nations” (1776), was mainly devoted to the development of the ideas of the physiocrats and polemics with them. After the publication of the book, Adam Smith became the only and undisputed trendsetter of economic fashion.

Two years later, Smith received the post of Royal Commissioner (Commissioner) at the Scottish Customs - thus following in his father's footsteps in his declining years. He moved with his mother to Edinburgh and for the last two years of his life, “without interruption from his main job,” he was honorary rector of his alma mater, the University of Glasgow. The creator of classical political economy passed away on July 17, 1790 at the age of 67. After his death, it turned out that he spent most of his fortune on secret donations.

The truism of economics

"An Inquiry into the Nature and Causes of the Wealth of Nations" marked the end of Adam Smith's scientific career and brought him fame as the father of classical political economy. During the author’s lifetime, the book went through five editions in his homeland (at that time it was rare for a scientific work to be republished at least twice in such a short period) and was translated into major European languages.

Strictly speaking, the theory of economic liberalism was not invented by Smith. Even earlier, the ideas of the French physiocrats, who considered land as the only source of wealth and opposed state intervention in the economy, were transformed into the concept of laissez-faire (from the French “non-intervention”). Its supporters believed that the only incentive in economic activity was the selfish interest of its subjects.

The Scottish scientist developed this scheme, enriching it, in particular, with the concepts of free trade and free competition - in his opinion, the main engines of a healthy economy.

It must be said that at that time a different scheme of market relations prevailed in Europe. Governments did their best to stimulate the development of trade guilds: they were literally dragged into them, alternating persuasion with threats, and “special” conditions were created for these associations in the market. In addition, the inevitable price dictates of monopolistic guilds in such conditions were accompanied by an aggressive state policy of “protecting domestic producers”: citizens were ordered to refrain from purchasing foreign goods, and sometimes governments introduced a direct ban on imports.

Against this background, Smith’s ideas cannot be called anything other than revolutionary: “All hitherto known (economic) systems - those based on preferences (preferences) and those based on prohibitions - must give way to an obvious and simple system of natural freedom , which will install itself, without outside help. The essence of this system is as follows: any person, as long as he does not violate established laws, is free to follow his own path and pursue his own selfish interests, and also to use his industry and capital in free competition with the similar industry and capital of other people.

In the "Investigation" the economist's analysis is supported by the thought of the "moral philosopher": such a social order must be created in which individuals, pursuing own interests, will inevitably begin to act in the interests of society as a whole. This “invisible hand” of the initially spontaneous market, according to Smith, over time turns it into a socially useful mechanism.

It makes sense to give some quotes from the main work of Adam Smith (for ease of reading, they are slightly modernized in translation).

“What we expect for dinner will appear not as a result of the good will of the butcher, brewer or baker, but as a result of their material interest.”

“No society can develop and be happy if the majority of its members do not rise out of poverty. Equality is this: those who feed, clothe and build homes for the whole society should be able to receive their share of the social product so that they themselves can be fed, clothed and have a roof over their heads.”

“Only the impudence and arrogance of kings and their ministers can explain their claims to the role of supreme observer of economic life ordinary people. And even greater impudence and arrogance is to limit citizens by introducing laws regulating their expenses and bans on the import of high-quality goods from abroad... If imported goods turn out to be cheaper than similar domestic ones, then it is better to buy imported ones, concentrating on the production of others - those that can be proven its competitiveness in the foreign market."

Prophet in a foreign country

Smith's ideas were widely in demand, they were used by many Western thinkers - from the creators of the philosophy of utilitarianism John Stuart Mill and Jeremy Bentham to modern neoliberals - and economic schools - from the Manchester mid-19th century to the Chicago of the 20th century. In addition, they played a crucial role in shaping the economic and political views of the founding fathers of the United States (by a strange coincidence, their foundation coincided with the publication of the main work of the Scottish scientist). Smith was read and highly valued by Alexander Hamilton, Thomas Jefferson, James Madison and other leaders of the American Revolution, one of the goals of which was precisely the construction of a society of free competition and free trade of enterprising individuals.

However, as often happens, over time, Smith's ideas were thoroughly reworked - with all the great respect remaining for them. In any case, the modern world, with its giant transnational concerns, has moved far away from the ideals of the “moral philosopher” of the 18th century. Also, the current “corporate ethics” is only an ersatz of traditional ideas about morality.

Meanwhile, in the Inquiry, Adam Smith clearly and unambiguously formulated not only his political and economic sympathies, but also his antipathies. He did not trust, on the one hand, governments, and on the other - various kinds unions of commodity producers and traders, which he prophetically called “corporations” in the book. Smith left very specific functions to the state: creating conditions for the development of free trade, protecting individual rights and freedoms, defense and legal proceedings, as well as control over socially necessary types of business - such as the construction of bridges and roads. At the same time, it cannot be said that he advocated non-interference by the state in the sphere that is today called social, which includes pensions, healthcare, education, etc. True, Smith nowhere says that it is obliged to take upon itself responsibility for all of the above, without relying on private business for this. The reason for this silence is obviously the following. Under conditions of domination absolute monarchies he simply did not see any way for the state to implement such social programs. “Civil government,” wrote Smith, “ostensibly created for the protection of property, becomes in reality a means of protecting the rich from the poor, protecting those who have property from those who are deprived of it.”

However, economic unfreedom, according to Smith, is caused not only by the dictates of the state, but also by the excessive concentration of capital. Considering the personal interest of the producer to be the only engine of the economy, Smith had in mind reasonable needs, but by no means the boundless greed characteristic of monopolists. The scientist has repeatedly expressed himself in the spirit that the motivation of producers should not conflict with the interests of society as a whole. In any case, he should keep a vigilant eye on the producers, since they are burning with an ineradicable desire to unite - “to form a conspiracy against consumers, on whom they can thus impose their prices.”

So today Adam Smith is equally revered not only by current American libertarians, who reduce the role of the state in economic management to zero, but also by their opponents. The latter demand (especially urgently after September 11, 2001) to impose a state hand on some areas of the economy. At the same time, they are guided by approximately the same considerations as President Roosevelt, the author of the “New Deal” in the early 1930s: the economy is stagnating, recession and apathy are everywhere, America is being squeezed in foreign markets, and in general the country is on the brink of war. In short, it's time to put things in order.

To be fair, it should be noted that in the modern scientific lexicon there is a distinction between the concepts of a market economy, of which Adam Smith was a passionate defender, and a “free market without restrictions”, which is advocated by extreme liberals. The first has several basic principles - they must be adhered to so that in the pursuit of personal gain, producers do not forget about the interests of society. One of the main defenders of these principles is intended to be antitrust legislation, adopted (but not always effective) in most developed countries.

Adam Smith is our everything

An even more bizarre fate awaited Smith's economic ideas in Russia. The main work of the Scottish thinker reached it quite quickly - “An Inquiry into the Nature and Causes of the Wealth of Nations” was first published in Russian in four volumes in 1802-1806 (the translation of “The Theory of Moral Sentiments” appeared almost a century later - in 1895).

Smith's ideas occupied the minds of not only learned men, but also those people who are commonly called the “educated public.” Take Pushkin and his Eugene Onegin. Remember? “But I read Adam Smith // And was a deep economist, // That is, he knew how to judge // How the state is getting rich // And why and why // He doesn’t need gold, // When he has a simple product.”

Another of Pushkin’s works, “A Novel in Letters,” states: “At that time, the severity of rules and political economy were in fashion.” The poet communicated closely with members of the Union of Welfare - N. Turgenev's circle, where, most likely, he picked up the revolutionary ideas of Adam Smith (they, by the way, also greatly fascinated the Decembrists). Turgenev told Pushkin that “money makes up a very small part of the people’s wealth” and that “peoples are the richest,” “those who have the least amount of money.”

Literary critic Yuri Lotman wrote: “Onegin, following Adam Smith, saw the way to increasing the profitability of the farm in increasing its productivity (which, according to Smith’s ideas, was associated with the worker’s growing interest in the results of his labor, and this implied the right of ownership for the peasant to the products of his activity ). Onegin’s father preferred to follow the traditional path for Russian landowners: the ruin of the peasants as a result of increased duties and the subsequent mortgage of the estate to the bank.”

By the way, the novel in verse did not escape the attention of one prominent economist, who in his purely scientific work noted: “In Pushkin’s poem, the hero’s father cannot understand that the commodity is money.” The economist's name was Karl Marx, and the work was called "A Critique of Political Economy."

During the Soviet period, Adam Smith was officially given his due - as a classic, a founder, etc. And at the same time he was put on notice - for the fact that he “did not open it” and “misunderstood”. The article on Smith in the TSB contains a small gentlemanly set of labels that is appropriate in such cases: “inconsistency,” “contradictions in methodology,” “anti-historicism of theoretical ideas,” and even “vulgar views,” on the basis of which “various apologetic bourgeois theories were formed.” However, Adam Smith was lucky, since his “scientific ideas formed the foundation of classical bourgeois political economy - one of the sources of Marxism” (quote from the same TSB).

In the post-Soviet decade, the founder of economic liberalism was talked about widely and freely, like everything previously forbidden or semi-forbidden. Runet, for example, almost surpasses the English-language sector of the Internet in the number of references to Smith (among them, however, there are annotations for books on stock trading, written by an author hiding under the pseudonym Adam Smith).

Biography

Adam Smith, a Scottish economist and philosopher, one of the leading representatives of classical political economy, was born in the town of Kirkcaldy (Scotland) in June 1723 (the exact date of his birth is unknown) and baptized on June 5 in the town of Kirkcaldy in the Scottish county of Fife, in family of a customs official. His father died 6 months before Adam was born. At the age of 4, he was kidnapped by gypsies, but was quickly rescued by his uncle and returned to his mother. It is assumed that Adam was an only child in the family, since no records of his brothers and sisters have been found anywhere.

In 1737 he entered the University of Glasgow. There, under the guidance of Francis Hutcheson, he studied the ethical foundations of philosophy. Hutcheson had a strong influence on his worldview.

In 1740 he received a Master of Arts degree and a private scholarship to continue his studies at Oxford, where he studied at Balliol College, Oxford University, until 1746. However, he was not satisfied with the level of teaching, since most professors did not even give their lectures. Smith returns to Edinburgh, intending to engage in self-education and lecturing. In 1748, under the patronage of Lord Kames, he began lecturing on rhetoric, the art of letter writing, and later on economic philosophy.

In 1748, Smith, under the patronage of Lord Kames, began giving public lectures on literature and natural law in Edinburgh, then on rhetoric, the art of letter writing, and later on economic philosophy, as well as on the subject of “attaining wealth,” where he first outlined the economics in detail. the philosophy of “an obvious and simple system of natural freedom,” and so on until 1750.

Since 1751 Smith has been a professor of logic at the University of Glasgow, and since 1752 a professor of moral philosophy. In 1755 he published his first articles in the Edinburgh Review. In 1759, Smith published a philosophical work on ethics, The Theory of Moral Sentiments, which brought him international fame. In 1762 Smith received the degree of Doctor of Laws.

Subsequently, his lectures were reflected in Adam Smith's most famous work: An Inquiry into the Nature and Cause of the Wealth of Nations. During Smith's lifetime, the book went through 5 English and several foreign editions and translations.

Around 1750, Adam Smith met David Hume, who was almost a decade older than him. Their works on history, politics, philosophy, economics and religion show the similarity of their views. Their alliance played one of the most important roles during the emergence of the Scottish Enlightenment.

In 1781, at just 28 years of age, Smith was appointed professor of logic at the University of Glasgow, at the end of the year he moved to the department of moral philosophy, where he taught until 1764. He lectured on rhetoric, ethics, jurisprudence and political economy.

Adam Smith's 1759 scientific work, The Theory of Moral Sentiments, containing material from his lectures, brought him fame. The article discussed the standards of ethical behavior that maintain society in a state of stability.

However, A. Smith's scientific interest shifted to economics, partly due to the influence of his friend, the philosopher and economist David Hume, as well as Smith's participation in the Glasgow Club of Political Economy.

In 1776, Adam Smith left the department and, having accepted an offer from a politician, the Duke of Buccleuch, to accompany the Duke's stepson on a trip abroad. First of all, the offer for Smith was interesting because the Duke offered him a fee that significantly exceeded his professorial fee. This journey lasted more than two years. Adam Smith spent a year and a half in Toulouse, two months in Geneva, where he met with Voltaire. They lived in Paris for nine months. At this time, he became closely acquainted with French philosophers: d'Alembert, Helvetius, Holbach, as well as with the physiocrats: F. Quesnay and A. Turgot.

The publication in London in 1776 of the book “An Inquiry into the Nature and Causes of the Wealth of Nations” (which Smith began in Toulouse) brought Adam Smith wide fame. The book describes in detail the consequences of economic freedom. The system that explains how the free market works is still the basis of economics education. One of the key provisions of Smith's theory is the need to free the economy from state regulation that impedes the natural development of the economy. According to Smith, the desire of people to buy where it is cheaper and sell where it is more expensive is natural, and therefore all protectionist duties and incentives for exports are harmful, as are any obstacles to the free circulation of money. Smith's most famous aphorism is the invisible hand of the market, a phrase he used to explain selfishness as an effective lever in the allocation of resources.

In 1778, Smith received the post of Commissioner of Customs for Scotland and settled in Edinburgh.

In November 1787, Adam Smith became honorary rector of the University of Glasgow.

He died on July 17, 1790 in Edinburgh after a long illness. There is a version that shortly before his death, Smith destroyed all his manuscripts. What survived was published in the posthumous Essays on Philosophical Subjects in 1795, five years after his death.

Biography

Adam Smith was born in 1723 in the small town of Kirkcaldy, near Edinburgh. His father, a customs official, died two months before his son was born. Adam was the only child of a young widow, and she devoted her whole life to him. At the age of 4, he was kidnapped by gypsies, but was quickly rescued by his uncle and returned to his mother. It is assumed that Adam was an only child in the family, since no records of his brothers and sisters have been found anywhere. The boy grew up fragile and sickly, avoiding the noisy games of his peers. Fortunately, Kirkcaldy had a good school, and Adam always had a lot of books around - 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 logic class for all students (first year), he moved to the moral philosophy class, where he studied under the guidance of Francis Hutcheson, thereby choosing a humanitarian direction. However, he also studied mathematics and astronomy and always had considerable knowledge in these areas. By the age of 17, Smith had a reputation among students as a scientist and 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 almost continuously at Oxford, noting with surprise that at the illustrious university they teach and cannot teach almost anything. Ignorant professors were engaged only in intrigue, politicking and spying on students. More than 30 years later, in The Wealth of Nations, Smith settled the score with them, causing an outburst of their rage. He wrote, in particular: “At Oxford University, the majority of professors for many years have completely abandoned even the appearance of teaching.”

The futility of further stay in England and political events (the uprising of Stuart supporters 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 amazed with his erudition and depth of knowledge in a wide variety of fields. The first manifestations of Smith's special interest in political economy also date back to this time.

In 1748, under the patronage of Lord Kames, Smith began to lecture in Edinburgh on rhetoric, the art of letter writing and economics (on the subject of "the acquisition of wealth"), where he first expounded in detail the economic philosophy of "the obvious and simple system of natural liberty", which is reflected in His most famous work is An Inquiry into the Nature and Causes of the Wealth of Nations. It was the preparation of lectures for students at this university that became the impetus for Adam Smith to formulate his ideas about the problems of economics. The basis of Adam Smith's scientific theory was the desire to look at man from three sides:
- from the standpoint of morality and morality,
- from civil and government positions,
- from an economic point of view.

In 1751, Smith moved to Glasgow to take up a professorship at the university there. First he received the chair of logic, and then, in 1752, of moral philosophy. He lectured on theology, ethics, law and economics. Smith lived in Glasgow for 13 years, regularly spending 2-3 months a year in Edinburgh. In his old age he wrote that this was the happiest period of his life. He lived in an environment that was familiar and close to him, enjoying the respect of professors, students and prominent citizens. He could work unhindered, and much was expected of him in science.

As in the lives of Newton and Leibniz, women did not play any significant role in Smith's life. Survived, however, vague and false information that he was close to getting married twice - during the years of his life in Edinburgh and in Glasgow, but both times everything went wrong for some reason. His mother and cousin ran his home all his life. Smith outlived his mother by only six years, and his cousin by two years. As one visitor who visited Smith wrote, the house was “absolutely Scottish.” National food was served and 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 “Theory,” the direction of Smith’s scientific interests changed noticeably. He studied political economy more and more deeply. In commercial and industrial Glasgow, economic problems intruded especially powerfully into life. There was a kind of political economy club in Glasgow, organized by the rich and enlightened mayor of the city. Smith soon became one of the most prominent members of this club. Acquaintance and friendship with Hume also strengthened 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 some slightly edited and rewritten notes of Smith's lectures taken by a student at Glasgow University. 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 that Smith taught to students had by this time turned, in essence, into a course of sociology and political economy. In the purely economic sections of the lectures one can easily discern the beginnings of ideas that were further developed in The Wealth of Nations. In the 30s of the 20th century, another interesting discovery was made: a sketch of the first chapters of The Wealth of Nations.

Thus, by the end of his time 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 preparation. It can be said that Smith arrived in 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 formed in his head: therefore, he was able to perceive the beneficial influence of 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 overall tone of all this material is critical. For Smith, France, with its feudal-absolutist system and fetters for bourgeois development, is the most striking example of the contradiction of actual orders with the ideal “natural order.” It cannot be said that everything is good in England, but in general its system is much closer to the “natural order” with its freedom of personality, conscience and - most importantly - entrepreneurship.

France gave a lot to Smith. Firstly, a sharp improvement in his financial situation. By agreement with the Duke of Buccleuch's parents, he was to receive 300 pounds a year, not only during the voyage, but as a pension until his death. This allowed Smith to spend the next 10 years working solely on his book; he never returned to the University of Glasgow. Secondly, all contemporaries noted a change in Smith’s character: he became more collected, businesslike, energetic and acquired a certain skill in dealing with various people, including strongmen of the world this. However, he did not acquire any secular luster 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 intellectual life in Paris were literary salons, there he mainly communicated with philosophers. One might think that the acquaintance with C. A. Helvetius, a man of great personal charm and remarkable intelligence, was of particular importance for Smith. In his philosophy, Helvetius declared egoism to be a natural property of man and a factor in the progress of society. Related to this is the idea of ​​the natural equality of people: every person, regardless of birth or status, should be given an equal right to pursue his own advantage, 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 a special influence on him. Smith developed these ideas and applied them to political economy. Smith's idea of ​​human nature 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 phrase about the "invisible hand" is one of the most quoted passages in The Wealth of Nations.

Returning back to Kirkcaldy, Smith wrote and published in 1776 in London the main work of his life - Inquiry into the Nature and Causes of the Wealth of Nations.

In 1778, Adam Smith was appointed head of the customs office in Edinburgh.

The economic policy of the English government over the next century was, in a sense, the implementation of Smith's program.

Such an interesting story has been preserved. In the last years of his life, Smith was already famous. While in London in 1787, Smith arrived at the house of a noble nobleman. There was a large company in the drawing room, including Prime Minister William Pitt. When Smith entered, everyone stood up. According to his professorial habit, he raised his hand and said: “Please sit down, gentlemen.” Pitt replied: “After you, doctor, we are all your students here.” This may be just a legend, but it is very plausible. W. Pitt's economic policy was largely based on the ideas of free trade and non-interference in the economic life of society, which Adam Smith preached.

Bibliography

* Lectures on Rhetoric and Letter Writing (1748)
* Theory of Moral Sentiments (1759)
* Lectures on Rhetoric and Letter Writing (1762-1763, published 1958)
* Lectures on jurisprudence (1766)
* Inquiry into the Nature and Causes of the Wealth of Nations (1776)
* An Account of the Life and Works of David Hume (1777)
* Thoughts on the state of competition with America (1778)
* Essays on Philosophical Subjects (1795)

Interesting facts

* As the English historian of economic thought Alexander Gray noted: “Adam Smith was so clearly one of the outstanding minds of the 18th century and had such enormous influence in the 19th century in his own country and throughout the world that it seems somewhat strange that we are not very familiar with the details.” 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.”

Biography (en.wikipedia.org)

According to Walter Bagehot (English economist and publicist late XIX century), "[Adam Smith's] books can hardly be understood unless one has some idea of ​​him as a man." In 1948, Alexander Gray wrote: “It seems strange that our little knowledge of the details of his life... His biographer is almost 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.”

A thorough scientific biography of Adam Smith still does not exist.

Adam Smith was born in June 1723 (the exact date of his birth is unknown) and baptized on June 5 in the town of Kirkcaldy in the Scottish district of Fife in the family of a customs official. His father, also named Adam Smith, died 2 months before his son was born. At the age of 4, he was kidnapped by gypsies, but was quickly rescued by his uncle and returned to his mother. It is assumed that Adam was an only child in the family, since no records of his brothers and sisters have been found anywhere. It is believed that Kirkcaldy had a good school and Adam was surrounded by books from childhood.

At the age of 14 he entered the University of Glasgow, where he studied ethical foundations of philosophy for two years under the guidance of Francis Hutcheson. In his first year, he studied logic (which was a mandatory requirement), then moved to the class of moral philosophy; he studied ancient languages ​​(especially ancient Greek), mathematics, astronomy, and had a reputation as a strange (he could suddenly think deeply among a noisy company), but an intelligent person. In 1740 he entered Balliol College, Oxford, receiving a scholarship to continue his education, and graduated in 1746. Smith was critical of the quality of education at Oxford, writing in The Wealth of Nations that “At Oxford University most of the professors are For many years now, he has completely abandoned even the appearance of teaching.” At the university, he was often sick, read a lot, but had not yet shown interest in economics.

In the summer of 1746, after the uprising of Stuart supporters, he went to Kirkcaldy, where he spent two years educating himself.

In 1748, Smith began lecturing in Edinburgh under the patronage 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 doctrines, sociology and economics). It was the preparation of lectures for students at this university that became the impetus for Adam Smith to formulate his ideas about the problems of economics. He began to express the ideas of economic liberalism, presumably in 1750-1751.

The basis of Adam Smith's scientific theory was the desire to look at man from three sides:
* from the standpoint of morality and morality,
* from civil and government positions,
* from an economic point of view.

Adam lectured on rhetoric, the art of letter writing and later on the subject of "the acquisition of wealth", where he first expounded in detail the economic philosophy of "the obvious and simple system of natural liberty", which was reflected in his most famous work, An Inquiry into the Nature and Causes of the Wealth of Nations "

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 so-called Scottish Enlightenment.

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 "The Theory of Moral Sentiments", incorporating material from his lectures. In this article, Smith discussed the standards of ethical behavior that maintain society in a state of stability (namely, against Christian morality based on fear of punishment and promises of heaven), proposed the "principle of sympathy" (according to which it was worth putting yourself in the place of another person in order to better understand it), and also expressed ideas of equality, according to which the principles of morality should be applied equally to everyone.

Smith lived in Glasgow for 13 years, regularly leaving for 2-3 months in Edinburgh; here he was respected, made a circle of friends, and led the lifestyle of a club-going bachelor.

There is information that Adam Smith almost got married twice, in Edinburgh and in Glasgow, but for some reason this did not happen. Neither in the memoirs of his contemporaries, nor in his correspondence is there any evidence that this would seriously affect him. Smith lived with his mother (whom he outlived by 6 years) and his unmarried cousin (who died two years before him). One of the contemporaries who visited Smith's house recorded that national Scottish food was served in the house and Scottish customs were observed. Smith valued folk song, dance, and poetry, and one of his last book orders was several copies of the first published volume of poetry by Robert Burns (who himself held Smith in high esteem, and repeatedly referred to his work in his correspondence). Despite the fact that Scottish morality did not encourage the theater, Smith himself loved it, especially the French theater.

The source of information about the development of Smith's ideas comes from notes of Smith's lectures, presumably taken in 1762-63 by one of his students and found by the economist Edwan Cannan. According to the lectures, Smith's course in moral philosophy by that time was 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 drafts 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 concept of productive and unproductive labor, and so on; mercantilism is criticized and the rationale for Laissez-faire is given.

In 1763-66, Smith lived in France, being the tutor of the Duke of Buccleuch. This mentoring greatly improved his situation: he had to receive not only a salary, but also a pension, which later allowed him not to return to Glasgow University and work on a book. In Paris, he was present at the “mezzanine club” of the Duke of Quesnay, that is, he personally became acquainted with the ideas of the physiocrats; however, according to evidence, at these meetings he listened more than he spoke. However, the scientist and writer Abbé Morelier said in his memoirs that Smith's talent was appreciated by Monsieur Torgaud; he repeatedly talked with Smith about the theory of trade, banks, public credit and other issues of “the great work that he was planning.” From the correspondence it is known that Smith also communicated with d’Alembert and Baron Holbach, in addition, he was introduced into the salon of Madame Geoffrin, Mademoiselle Lespinasse, and visited Helvetius.

Before their trip to Paris (from December 1765 to October 1766), Smith and Buccleuch lived for a year and a half in Toulouse, and for several months in Geneva. Here Smith visited Voltaire at his Geneva estate.

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

After returning from France, Smith lived in London for six months as an unofficial expert to the Secretary of the Exchequer, and from the spring of 1767 he lived in Kirkcaldy for six years, working on a book. He complained that the intense, monotonous work was undermining his health, and in 1773, when leaving for London, he even considered it necessary to register the rights to the book as an inheritance for Hume in the event of his death. He himself believed that he was going to London with a finished manuscript, but in fact it took him three years in London for revision, additional reading and study of statistical reports. At the same time, he did not write the book himself, but dictated it to the scribe, after which he corrected and processed the manuscript and allowed it to be rewritten completely. Part of the revision was to include some information in the book instead of links to other publications by other authors.

Smith gained fame after publishing the book An Inquiry into the Nature and Causes of the Wealth of Nations in 1776. The book describes in detail the consequences of economic freedom. The book includes discussions of concepts such as laissez-faire, the role of selfishness, the division of labor, the functions of the market, and the international significance of a free economy. The Wealth of Nations discovered economics as a science, launching the doctrine of free enterprise.

In 1778, Smith was appointed head of the customs office in Edinburgh, Scotland. He received a salary of 600 pounds sterling, led a modest lifestyle in rented apartment, spent money on charity; his only asset was his library. He took his work seriously, which interfered with his scientific activities; Initially, however, he planned to write a third book, a general history of culture and science. After his death, notes on the history of astronomy and philosophy, as well as the fine arts, were found and published. 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 expanded; a chapter entitled “Conclusion on the Mercantilist System” was included. In Edinburgh, Smith had his own club, on Sundays he hosted dinners for friends, and visited, among others, Princess Vorontsova-Dashkova. In Edinburgh, Smith died after a long illness on July 17, 1790.

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

Adam Smith's ideas

The development of industrial production in the 18th century led to an increase in the social division of labor, which required an increase in the role of trade and money circulation. The emerging practice came into conflict with the prevailing ideas and traditions in the economic sphere. There was a need to revise existing economic theories. Smith's materialism allowed him to formulate the idea of ​​the objectivity of economic laws.

Smith laid out a logical system that explained the workings of the free market based on internal economic mechanisms rather than external political control. This approach is still the basis of economic education.

Smith formulated the concepts of "economic man" and "natural order". Smith believed that man is the basis of all society, and studied human behavior with its motives and desire for personal gain. The natural order in Smith's view is market relations in which each person bases his behavior on personal and selfish interests, the sum of which forms the interests of society. In Smith's view, this order ensures wealth, well-being and development of both the individual and society as a whole.

The existence of a natural order requires a “system of natural liberty,” the basis of which Smith saw in private property.

Smith's most famous aphorism is the "invisible hand of the market" - a phrase he used to demonstrate the autonomy and self-sufficiency of a system based on selfishness, which acts as an effective lever in the allocation of resources. Its essence is that one’s own benefit is achievable only through satisfying someone else’s needs. Thus, the market “pushes” producers to realize the interests of other people, and together to increase the wealth of the entire society. At the same time, resources, under the influence of the “signal system” of profit, move through the system of supply and demand to those areas where their use is most effective.

Main works

* Main articles: The Theory of Moral Sentiments (book), An Inquiry into the Nature and Causes of the Wealth of Nations
* Lectures on Rhetoric and Letter Writing (1748)
* Theory of Moral Sentiments (1759)
* Lectures on Rhetoric and Letter Writing (1762-1763, published 1958)
* Lectures on jurisprudence (1766)
* An Inquiry into the Nature and Causes of the Wealth of Nations (1776)
* An Account of the Life and Works of David Hume (1777)
* Thoughts on the state of competition with America (1778)
* Essays on Philosophical Subjects (1785)
* Double nesting system (1784)

Smithianism

Smith's work was most influential in England and France. However, in England, major and independent thinkers, before Ricardo, did not support Smith; Smith's first critics were people who expressed the interests of landowners, among whom the most important were Malthus and Earl Lauderdale. In France, the later physiocrats greeted Smith's teachings coldly, but in the early years of the 19th century, Germain Garnier made the first full translation of The Wealth of Nations and published it with his comments. In 1803, Say and Simondi published books in which they appeared primarily as followers of Smith.

According to some reports, in Spain, Smith's book was initially banned by the Inquisition. In Germany, cameral professors initially did not want to recognize Smith's ideas, but later in Prussia, liberal-bourgeois reforms were carried out by Smith's followers.

Considering that Smith's book sometimes presented opposing concepts, quite a few people could declare themselves to be his followers.

During the investigation into the Decembrist case, the rebels were asked about the sources of their thoughts; Smith's name appeared in the responses several times.

Memory

In 2009, in a vote by Scottish television channel STV, he was named among the greatest Scots of all time. In 2005, The Wealth of Nations was included in the list of the 100 best Scottish books. Margaret Thatcher claimed to have carried a copy of this book with her.

Smith in the UK has been immortalized on the banknotes of two different banks: his portrait appeared in 1981 on a £50 note issued by the Clydesdale Bank in Scotland, and in March 2007 Smith appeared on a new series of £20 notes issued by the Bank of England, making his first Scot to appear on an English banknote.

A large monument to Smith by Alexander Stoddart was unveiled on 4 July 2008 in Edinburgh. It is 3 meters high, made of bronze and located in Parliament Square. The 20th-century sculptor Jim Sanborn created several monuments to Smith's work: at Central Connecticut State University there is a "circulating capital", a tall inverted cone with an extract from The Wealth of Nations in the lower half and the same text in binary at the top. code. The University of North Carolina at Charlotte houses Adam Smith's top, and another monument to Smith stands at the University of Cleveland.

Editions in Russian

* Smith A. A Study on the Nature and Causes of the Wealth of Nations. - M.: Eksmo, 2007. - (Series: Anthology of Economic Thought) - 960 p. - ISBN 978-5-699-18389-0.
* Smith A. Theory of moral feelings. - M.: Republic, 1997. - (Series: Library of Ethical Thought). - 352 s. - ISBN 5-250-02564-1.

Notes

1. W. Bagehot Historical Essays. - NY, 1966. - P. 79.
2. Alexander Gray Adam Smith. - London, 1948. - P. 3.
3. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Anikin A.V. Scottish sage: Adam Smith // An Inquiry into the Nature and Causes of the Wealth of Nations. - M.: Eksmo, 2009. - P. 879-901. - 960 s. - (Anthology of economic thought). - ISBN 9785699183890
4. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Anikin A.V. Chapter 9 // Youth of Science. - M., 1971.
5. Bussing-Burks 2003, pp. 38–39
6. 1 2 Rae 1895, p. 5
7. Bussing-Burks 2003, p. 39
8. Bussing-Burks 2003, p. 41
9. Buchholz 1999, p. 12
10. Rae 1895, p. 24
11. A. Morellet Memoires sur le XVIII-e siècle et sur la revolution francaise. - Paris, 1822. - T. I. - P. 244.
12. 1 2 G. A. Shmarlovskaya and others. History of economic teachings. Textbook for universities. - 5. - Minsk: New knowledge, 2006. - P. 59-61. - 340 s. - (Economic education). - 2010 copies - ISBN 985-475-207-0
13. The Greatest Scot STV. Retrieved January 31, 2012
14. 100 Best Scottish Books, Adam Smith Retrieved 31 January 2012
15. David Smith (2010) Free Lunch: Easily Digestible Economics p.43. Profile Books 2010
16. Clydesdale 50 Pounds, 1981. Ron Wise's Banknoteworld. Archived from the original on October 30, 2008. Retrieved October 15, 2008.
17. Current Banknotes: Clydesdale Bank. The Committee of Scottish Clearing Bankers. Archived from the original on October 3, 2008. Retrieved October 15, 2008.
18. Smith replaces Elgar on ?20 notes, BBC (29 October 2006). Archived from the original on April 6, 2008. Retrieved May 14, 2008.
19. Blackley, Michael. Adam Smith sculpture to tower over Royal Mile, Edinburgh Evening News (26 September 2007).
20. Fillo, Maryellen. CCSU welcomes a new kid on the block, The Hartford Courant (March 13, 2001).
21. Kelley, Pam. Piece at UNCC is a puzzle for Charlotte, artist says, Charlotte Observer (May 20, 1997).
22. Shaw-Eagle, Joanna. Artist sheds new light on sculpture, The Washington Times (June 1, 1997).
23. Adam Smith's Spinning Top. Ohio Outdoor Sculpture Inventory. Archived from the original on February 5, 2005. Retrieved May 24, 2008.

Literature

*Bussing-Burks Marie Influential Economists. - Minneapolis: The Oliver Press, 2003. - ISBN 1-881508-72-2
* Rae John Life of Adam Smith. - New York City: Macmillan Publishers, 1895. - ISBN 0722226586
* Buchholz Todd New ideas from Dead Economists: An introduction to modern economic thought. - Penguin Books, 1999. - ISBN 0140283137

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 Kirkcaldy had a good school and Adam was surrounded by books from childhood.

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 under Francis Hutcheson for two years. In his first year, he studied logic (this was a mandatory requirement), then moved to the class of moral philosophy; studied ancient languages ​​(especially ancient Greek), mathematics and astronomy. Adam had a reputation for being strange - 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 completed his studies there in 1746. Smith was critical of the quality of teaching at Oxford, writing in The Wealth of Nations that "at Oxford University the majority of the professors have for many years now given up even the appearance of teaching." 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 patronage 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 doctrines, sociology and economics). It was the preparation of lectures for students at this university that became the impetus for Adam Smith to formulate 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 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 of the steam engine), Robert Fowlis (English) Russian(an 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 gleaned 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 a circle of friends, and led the lifestyle of a club bachelor.

There is information that Adam Smith almost got married twice, in Edinburgh and in Glasgow, but for some reason this did not happen. Neither in the memoirs of his contemporaries, nor in his correspondence is there any evidence that this would seriously affect him. Smith lived with his mother (whom he outlived by 6 years) and his unmarried cousin (who died two years before him). One of the contemporaries who visited Smith's house recorded that national Scottish food was served in the house and Scottish customs were observed. Smith valued folk song, dance, and poetry, and one of his last book orders was several copies of the first published volume of poetry by Robert Burns (who himself held Smith in high esteem, and repeatedly referred to his work in his correspondence). Although Scottish morality discouraged theatre, Smith himself loved it, especially the French theatre.

The source of information about the development of Smith's ideas are notes of Smith's lectures, presumably taken 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 by that time was 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 drafts 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 concept of productive and unproductive labor, and so on; mercantilism is criticized and a justification for Laissez-faire is given.

The book "The Theory of Moral Sentiments" brought Adam Smith great fame, in particular it attracted the interest of Lord Charles Townshend, who later became Chancellor of the Exchequer; he invited Smith to become the tutor of his stepson, Henry Scott, Duke of Buccleuch (English) Russian. The annual remuneration of £300 pounds and reimbursement of travel expenses significantly exceeded his professorial salary, and also provided the opportunity to travel around Europe, so Smith left the university in 1763 and went with Henry to Toulouse. During his 18-month stay in Toulouse, Adam Smith began work on The Wealth of Nations, after which he and Henry traveled to Geneva for 2 months, where they visited Voltaire at his Genevan estate. After Geneva, they went to Paris, where David Hume, who was working at that time as secretary of the British Embassy, ​​introduced Smith to figures of the French Enlightenment. In Paris, he was present at the “mezzanine club” of François Quesnay, that is, he personally became acquainted with the ideas of the physiocrats; however, according to evidence, at these meetings he listened more than he spoke. However, the scientist and writer Abbé Morellet said in his memoirs that Smith's talent was appreciated by Monsieur Turgot; he repeatedly talked with Smith about the theory of trade, banks, government credit and other issues of “the great work that he was planning.” From correspondence it is known that Smith also communicated with d’Alembert and Holbach, in addition, he was introduced to the salons of Madame Geoffrin and Mademoiselle Lespinas, and visited Helvétius.

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

After returning from France, Smith worked in London for six months, until the spring of 1767, 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 as a recluse for six years in Kirkcaldy, working on his book The Wealth of Nations. At the same time, he did not write the book himself, but dictated it to the secretary, after which he corrected and processed the manuscript and allowed it to be rewritten completely. He complained that the intense, monotonous work was undermining his health, and in 1773, when leaving for London, he even considered it necessary to formally transfer the rights to his literary inheritance 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 revise it, 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 the five Commissioners of Customs for Scotland in Edinburgh. Having a very high salary for those times of 600 pounds sterling, he continued to lead a modest lifestyle and spent money on charity; the only valuable thing left after him was the library collected during his life. He took his service seriously, which interfered with his scientific work; Initially, 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 the 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 expanded, including the chapter “Conclusion on the mercantilistic system.” In Edinburgh, Smith had his own club, on Sundays he hosted dinners for friends, and visited, among others, Princess Ekaterina Dashkova. Smith died in Edinburgh after a long bowel disease on July 17, 1790.

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

1. Life and scientific activities

2. The significance of A. Smith’s economic works

3. Smith's interpretation of economic laws

Adam Smith is a Scottish economist and philosopher, one of the largest representatives of classical political economy. He created the theory of labor value and substantiated the need for the possible liberation of a market economy from government intervention.

In “A Study on the Nature and Causes of the Wealth of Nations” (1776), he summarized the century-long development of this direction of economic thought, examined the theory cost and the distribution of income and its accumulation, the economic history of Western Europe, views on economic policy, state finances. A. Smith approached economics as a system in which objective laws, amenable to knowledge. During life Adam Smith The book went through 5 English and several foreign editions and translations.

Life and scientific activities

Was born Adam Smith in 1723 in the small Scottish town of Kirkcaldy. His father, a minor customs official, died before his son was born. Adam's mother gave him a good upbringing and had a huge moral influence on him.

Adam, aged fourteen, comes to Glasgow to study mathematics and philosophy at university. The most vivid and unforgettable impressions were left on him by the brilliant lectures of Francis Hutchison, who was called “the father of speculative philosophy in Scotland in modern times.” Hutchison was the first of the professors at the University of Glasgow to give his lectures not in Latin, but in ordinary spoken language, and without any notes. His commitment to the principles of “reasonable” religious and political freedom and unorthodox ideas about a just and good Supreme Deity, caring for human happiness, caused discontent among the old Scottish professors.

In 1740, due to circumstances, Scottish universities were able to send several students each year to study in Britain. Smith goes to Oxford. During this long journey on horseback, the young man never ceased to be amazed at the wealth and prosperity of this region, so different from the economical and reserved Scotland.

Oxford met Adam Smith inhospitably: the Scots, of whom there were very few, felt uncomfortable, subjected to constant ridicule, indifferent, and even unfair treatment by teachers. Smith considered the six years spent here to be the most unhappy and mediocre of his life, although he read a lot and constantly studied on his own. It is no coincidence that he left the university ahead of schedule, without receiving a diploma.

Smith returned to Scotland and, abandoning his intention to become a priest, decided to earn his living through literary activity. In Edinburgh he prepared and delivered two courses of public lectures on rhetoric, belles lettres and jurisprudence. However, the texts have not survived, and an impression of them can only be formed from the memories and notes of some listeners. One thing is certain: these speeches already brought Adam Smith his first fame and official recognition: in 1751 he received the title of professor of logic, and the following year - professor of moral philosophy at the University of Glasgow.

Probably, Adam Smith lived happily for the thirteen years that he taught at the university - political ambitions and the desire for greatness were alien to him by nature. He believed that happiness is available to everyone and does not depend on position in society, and true pleasure comes only from satisfaction work, peace of mind and physical health. Smith himself lived to old age, maintaining clarity of mind and extraordinary diligence.

Adam was an unusually popular lecturer. Adam's course, which consisted of natural history, theology, ethics, law and politics, attracted numerous students who came from even remote places. The very next day, new lectures were hotly discussed in clubs and literary societies in Glasgow. Smith's admirers not only repeated the expressions of their idol, but even tried to accurately imitate his manner of speaking, especially his exact pronunciation.

Meanwhile, Smith hardly resembled an eloquent speaker: his voice was harsh, his diction was not very clear, and at times he almost stuttered. There was a lot of talk about his absent-mindedness. Sometimes those around him noticed that Smith seemed to be talking to himself, and a slight smile appeared on his face. If at such moments someone called out to him, trying to engage him in a conversation, he immediately began to rant and did not stop until he had laid out everything he knew about the subject of discussion. But if anyone expressed doubts about his arguments, Smith instantly renounced what he had just said and, with the same fervor, convinced of the exact opposite.

A distinctive feature of the scientist’s character was gentleness and compliance, reaching the point of some timidity; this was probably due to the female influence under which he grew up. Almost until his very last years, he was carefully looked after by his mother and cousin. Adam Smith had no other relatives: they said that after the disappointment suffered in his early youth, he forever abandoned thoughts of marriage.

His penchant for solitude and a quiet, secluded life caused complaints from his few friends, especially the closest of them, Hume. Smith became friends with the famous Scottish philosopher, historian and economist David Hume in 1752. In many ways they were similar: both were interested in ethics and political economy, and had an inquisitive mindset. Some of Hume's brilliant insights were further developed and embodied in the works of Smith.

In their friendly union, David Hume undoubtedly played a leading role. Adam Smith did not possess significant courage, which was revealed, among other things, in his refusal to take upon himself, after Hume’s death, the publication of some of the latter’s works that were anti-religious in nature. Nevertheless, Smith was a noble nature: full of striving for truth and the high qualities of the human soul, he fully shared the ideals of his time, on the eve of the Great French Revolution.

In 1759, Adam Smith published his first essay, which brought him wide fame, “The Theory of Moral Sentiments,” where he sought to prove that a person has a feeling of sympathy for others, which motivates him to follow moral principles. Immediately after release work Hume wrote to a friend with his characteristic irony: “Indeed, nothing can hint more strongly at error than the approval of the majority. I proceed to present the sad news that your book is very unhappy, because it has earned excessive admiration from the public.”

The Theory of Moral Sentiments is one of the most remarkable works on ethics of the 18th century. As a successor mainly to Shaftesbury, Hutchinson and Hume, Adam Smith developed a new ethical system that represented a major step forward compared to the systems of his predecessors.

A. Smith became so popular that soon after the publication of The Theory he received from the Duke of Bucclei to accompany his family on a trip to Europe. The arguments that forced the respected professor to leave his university chair and his usual social circle were weighty: the Duke promised him 300 pounds a year not only for the duration of the trip, but also after, which was especially attractive. Being constant for the rest of your life eliminated the need to earn a living.

The journey lasted almost three years. UK they left in 1764, visited Paris, Toulouse, other cities of southern France, and Genoa. The months spent in Paris were remembered for a long time - here Adam Smith met almost all the outstanding philosophers and writers of the era. He met with D'Alembert, Helvetius, but became especially close to Turgot, a brilliant economist, the future controller general of finance. Poor knowledge of French did not prevent Smith from talking with him for a long time about political economy. Their views had a lot in common with the idea of ​​free trade and limiting intervention states into the economy.

Returning to his homeland, Adam Smith retires to his old parents' house, devoting himself entirely to working on the main book of his life. About ten years passed almost completely alone. In letters to Hume, Smith mentions long walks along the seashore, where nothing disturbed his thoughts. In 1776, “An Inquiry into the Nature and Causes of the Wealth of Nations” was published - a work that combines abstract theory with a detailed description of the features of development trade and production.

With this last work, Smith, according to popular belief at the time, created a new science - political economy. The opinion is exaggerated. But no matter how one evaluates the merits of Adam Smith in the history of political economy, one thing is beyond doubt: no one, either before or after him, played such a role in the history of this science. “The Wealth of Nations” is an extensive treatise of five books, containing an outline of theoretical economics (books 1-2), the history of economic teachings in connection with general economic history Europe after the fall of the Roman Empire (3-4th books) and financial science in connection with the science of management (5th book).

The main idea of ​​the theoretical part of “The Wealth of Nations” can be considered the position that the main source and factor of wealth is human labor - in other words, man himself. The reader encounters this idea on the very first pages of Smith’s treatise, in the famous chapter “On the Division of Labor.” The division of labor, according to Smith, is the most important engine of economic progress. As a condition that sets a limit to the possible division of labor, Smith points to the vastness of the market, and this elevates the entire teaching from a simple empirical generalization, expressed by Greek philosophers, to the level of scientific law. In his doctrine of value, Smith also highlights human labor, recognizing labor as a universal measure of exchange value

His criticism of mercantilism was not abstract reasoning: he described the economic system in which he lived and showed its unsuitability for new conditions. Observations made earlier in Glasgow, then still a provincial city, which was gradually turning into a large commercial and industrial center, probably helped. According to the apt remark of one of his contemporaries, here after 1750 “not a single beggar was visible on the streets, every child was busy with work”

Adam Smith was not the first to debunk economic misconceptions politicians mercantilism, which involved artificial encouragement state individual industries, but he managed to bring his views into a system and apply it to reality. He defended freedom trade and state non-interference in the economy, because he believed that only they would provide the most favorable conditions for obtaining the greatest profit, and therefore would contribute to the prosperity of society. Smith believed that the functions of the state should be reduced only to the defense of the country from external enemies, the fight against criminals and the company of economic activities that are beyond the power of individuals.

The originality of Adam Smith did not lie in particulars, but as a whole, his system was the most complete and perfect expression of the ideas and aspirations of his era - the era of the fall of the medieval economic system and the rapid development of the capitalist economy. Smith's individualism, cosmopolitanism and rationalism are in complete harmony with the philosophical worldview of the 18th century. His ardent belief in freedom is reminiscent of the revolutionary era of the late 18th century. The same spirit permeates Smith's attitude towards the working and lower classes of society. In general, Adam Smith is completely alien to that conscious defense of the interests of the upper classes, the bourgeoisie or landowners, which characterized the social position of his disciples of later times. On the contrary, in all cases where the interests of workers and capitalists come into conflict, he energetically takes the side of the workers. Nevertheless, Smith's ideas benefited the bourgeoisie. This irony of history reflected the transitional nature of the era.

In 1778, Adam Smith was appointed a member of the Scottish Customs Board. Edinburgh became his permanent place of residence. In 1787 he was elected rector of the University of Glasgow.

Now arriving in London, after the publication of The Wealth of Nations, Smith was met with resounding success and admiration from the public. But William Pitt the Younger became his especially enthusiastic admirer. He was not even eighteen when Adam Smith’s book was published, which largely influenced the formation of the views of the future prime minister, who tried to put into practice the main principles of Smith’s economic theory.

In 1787, Smith's last visit to London took place - he was supposed to attend a dinner where many famous people gathered politicians.

Smith came last. Immediately everyone rose to greet the distinguished guest. “Sit down, gentlemen,” he said, embarrassed by the attention. “No,” Pitt replied, “we will remain standing until you sit down, because we are all your students.” “What an extraordinary man Pitt is,” Adam Smith later exclaimed, “he understands my ideas better than I do myself!”

Recent years have been painted in dark, melancholic tones. With the death of his mother, Smith seemed to have lost the will to live, the best was left behind. Honor did not replace departed friends. On the eve of his death, Smith ordered all unfinished manuscripts to be burned, as if once again reminding him of his contempt for vanity and worldly vanity.

Adam Smith died in Edinburgh in 1790.

Shortly before his death, Smith apparently destroyed almost all of his manuscripts. What survived was published in the posthumous Essays on Philosophical Subjects, 1795.

The significance of A. Smith's economic works

In the process of studying the main issue of this essay, I looked at several, in my opinion, the most suitable sources. In these books I found many often completely contradictory opinions about the role and place of Smith's teachings in economic science.

K. Marx, for example, characterized A. Smith as follows: “On the one hand, he traces the internal connection of economic categories, or the hidden structure of the bourgeois economic system. On the other hand, he puts next to this the connection as it is given visibly in phenomena competition..." According to Marx, the duality of Smith’s methodology (which K. Marx was the first to point out) led to the fact that not only “progressive economists who sought to discover the objective laws of the movement of capitalism, but also apologist economists who tried to justify the bourgeois system by analyzing the external appearance of phenomena and processes".

The assessment of Smith's works given by S. Gide and S. Rist is noteworthy. It is as follows. Smith borrowed all the important ideas from his predecessors in order to "pour" them into a "more general system." By getting ahead of them, he rendered them useless, since Smith replaced their fragmentary views with true social and economic philosophy. Thus, these views receive a completely new value in his book. Rather than remaining isolated, they serve to illustrate a general concept. From it they, in turn, borrow more light. Like almost all great “writers,” A. Smith, without losing his originality, could borrow a lot from his predecessors...

And the most interesting opinion about Smith’s works, in my opinion, was published by M. Blaug: “There is no need to portray Adam Smith as the founder of political economy. Cantillon, Quesnay and Turgot can be awarded this honor with much greater justification. However, Cantillon’s Essays, Quesnay’s articles , Turgot's "Reflections" is in best case scenario lengthy brochures, dress rehearsals for science, but not yet science itself. “An Inquiry into the Nature and Causes of the Wealth of Nations” is the first full-fledged work in economic science, setting out the general basis of science - the theory of production and distribution, then an analysis of the effect of these abstract principles on historical material, and, finally, a number of examples of their application in economic policy, and this whole 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 world was moving.”

The central motif - the soul of "The Wealth of Nations" - is the action of the "invisible hand". The idea itself, in my opinion, is quite original for the 18th century. and could not go unnoticed by Smith's contemporaries. However, already in the 18th 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 would benefit from this.

Adam Smith developed this idea and applied it to political economy. The scientist’s idea of ​​human nature 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 phrase about the "invisible hand" may be the most often 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 with the term “working,” private interests can indeed be harmoniously combined with the interests of society.

Adam Smith is a great Scottish philosopher and economist, one of the founders of modern economic theory.

As the late 19th-century English economist and publicist Walter Bagehot noted, “[Adam Smith’s] books can hardly be understood unless one has some idea of ​​him as a person.” In 1948, Alexander Gray wrote: “It seems strange that our little knowledge of the details of his life... His biographer is almost 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.”

A thorough scientific biography of Adam Smith still does not exist.

Adam Smith was born in June 1723 (the exact date of his birth is unknown) and baptized on June 5 in the town of Kirkcaldy in the Scottish county of Fife. His father, a customs official also named Adam Smith, died 2 months before his son was born. 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 Kirkcaldy had a good school and from childhood Adam was surrounded by books.

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

In the summer of 1746, after the uprising of Stuart supporters, he returned to Kirkcaldy, where he spent two years educating himself.

In 1748, Smith began lecturing at the University of Edinburgh - under the patronage 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 doctrines, sociology and economics). It was the preparation of lectures for students at this university that became the impetus for Adam Smith to formulate his ideas about the problems of economics. He began to express the ideas of economic liberalism, presumably in 1750-1751.

The basis of Adam Smith's scientific theory was the desire to look at a person from three sides: from the standpoint of morality and morality, from a civil and governmental standpoint, and from an economic standpoint.

Adam lectured on rhetoric, the art of letter writing and later on the subject of "the acquisition of wealth", where he first expounded in detail the economic philosophy of "the obvious and simple system of natural liberty", which was reflected in his most famous work, An Inquiry into the Nature and Causes of the Wealth of Nations "

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 so-called Scottish Enlightenment.

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 The Theory of Moral Sentiments, based on his lectures. In this work, Smith analyzed the ethical standards of behavior that ensure social stability. At the same time, he actually opposed church morality, based on fear of punishment after death and promises of paradise, proposed the “principle of sympathy” as the basis for moral assessments, according to which what is moral is that which evokes the approval of impartial and insightful observers, and also spoke out in favor of ethical equality people - the equal applicability of moral standards to all people.

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

There is information that Adam Smith almost got married twice, in Edinburgh and in Glasgow, but for some reason this did not happen. Neither in the memoirs of his contemporaries, nor in his correspondence is there any evidence that this would seriously affect him. Smith lived with his mother (whom he outlived by 6 years) and his unmarried cousin (who died two years before him). One of the contemporaries who visited Smith's house recorded that national Scottish food was served in the house and Scottish customs were observed. Smith valued folk song, dance, and poetry, and one of his last book orders was several copies of the first published volume of poetry by Robert Burns (who himself held Smith in high esteem, and repeatedly referred to his work in his correspondence). Despite the fact that Scottish morality did not encourage the theater, Smith himself loved it, especially the French theater.

The source of information about the development of Smith's ideas comes from notes of Smith's lectures, presumably taken in 1762-63 by one of his students and found by the economist Edwan Cannan. According to the lectures, Smith's course in moral philosophy by that time was 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 drafts 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 concept of productive and unproductive labor, and so on; mercantilism is criticized and the rationale for Laissez-faire is given.

In 1764-66, Smith lived in France, being the tutor of the Duke of Buccleuch. This mentoring greatly improved his situation: he had to receive not only a salary, but also a pension, which later allowed him not to return to Glasgow University and work on a book. In Paris, he attended the “mezzanine club” of François Quesnay, that is, he personally became acquainted with the ideas of the physiocrats; however, according to evidence, at these meetings he listened more than he spoke. However, the scientist and writer Abbé Morellet said in his memoirs that Smith's talent was appreciated by Monsieur Turgot; he repeatedly talked with Smith about the theory of trade, banks, public credit and other issues of “the great work that he was planning.” From the correspondence it is known that Smith also communicated with d’Alembert and Holbach, in addition, he was introduced into the salon of Madame Geoffrin, Mademoiselle Lespinasse, and visited Helvetius.

Before their trip to Paris (from December 1765 to October 1766), Smith and Buccleuch lived in Toulouse for a year and a half, and for several days in Geneva. Here Smith visited Voltaire at his Geneva estate.

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

After returning from France, Smith worked in London for six months as an unofficial expert to the Chancellor of the Exchequer, and from the spring of 1767 he lived reclusively in Kirkcaldy for six years, working on a book. At the same time, he did not write the book himself, but dictated it to the secretary, after which he corrected and processed the manuscript and allowed it to be rewritten completely. He complained that the intense, monotonous work was undermining his health, and in 1773, when leaving for London, he even considered it necessary to formally transfer the rights to his literary inheritance 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 revise it, taking into account new statistical information and other publications. During the revision process, to make it easier to understand, he eliminated most of the references to the works of other authors.

Smith became world famous after publishing An Inquiry into the Nature and Causes of the Wealth of Nations in 1776. This book analyzes in detail how an economy could operate in conditions of complete economic freedom and exposes everything that prevents this. The book substantiates the concept of laissez-faire (the principle of freedom of economic development), shows the socially useful role of individual egoism, and emphasizes the special importance of the division of labor and the vastness of the market for the growth of labor productivity and national well-being. The Wealth of Nations introduced economics as a science based on the doctrine of free enterprise.

In 1778 Smith was appointed one of the five Commissioners of Customs for Scotland at Edinburgh. Having a very high salary for those times of 600 pounds sterling, he continued to lead a modest lifestyle and spent money on charity; the only valuable thing left after him was the library collected during his life. He took his service seriously, which interfered with his scientific work; Initially, 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 the 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 expanded, including the chapter “Conclusion on the mercantilistic system.” In Edinburgh, Smith had his own club, on Sundays he hosted dinners for friends, and visited, among others, Princess Vorontsova-Dashkova. Smith died in Edinburgh after a long bowel disease on July 17, 1790.
Portrait of Adam Smith by John Kay

Adam Smith was slightly above average height; had regular facial features, blue-gray eyes, a large straight nose and an upright figure. He dressed modestly, wore a wig, loved to walk with a bamboo cane on his shoulder, and sometimes talked to himself