In His Book the Wealth of Nations, Adam Smith Explained

question 139

Essay

In his book The Wealth of Nations, Adam Smith explained, "It is not from the benevolence of the butcher, the brewer, or the baker, that we expect our dinner, but from their regard to their own interest." Explain what Adam Smith meant by this. Be sure to tie your explanation to one or more of the "Big Ideas" in economics discussed in the text.

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Definitions:

Liability

A legal responsibility or obligation.

Good Faith

A fundamental principle in contract law that requires all parties to act honestly and fairly without taking unfair advantage of others.

Expedited Funds Availability Act

A U.S. federal law that regulates how quickly banks must make deposited funds available to depositors.

Mandatory Schedules

Required documents that must be submitted within a specified time frame in various legal, financial, or regulatory contexts.