‘increasing the fund for productive hands’

Abstract

Wealth of Nations presented the elements of a theory of growth (not a model),¹ which was supported, in Smith’s style, by evidence and speculation. The implied ‘theory’ is not presented in a manner with which modern economists are comfortable, because Smith weaves into his account a fair amount of historical detail. Nevertheless, it was an important part of his thinking and made a contribution to what became early ‘classical growth theory’.