2/11 – Wealth of Nations

• AIM: What were Adam Smith’s contributions to economics?

• Opener: Download the reading from the weekend (online at THHS website). Then, write:– Two interesting facts you learned.– One question you have about the reading.

• How does Adam Smith answer these questions?

Competition & Self-Interest

• What roles do competition and self-interest play in Adam Smith’s economic vision?

Scenarios:

• Explain the following scenarios from the viewpoint of Adam Smith:

• The rise of the phone companies BoostMobile and MetroPCS

• The popularity of Apple computer products

“Monopoly” as the Enemy

• Explain the following quote from the reading:

• “The great enemy to Adam Smith’s system is… monopoly in any form”.

Law of Accumulation vs. Law of Population

• How do these two “laws” balance each other out?

http://www.slate.com/blogs/moneybox/2013/02/07/david_einhorn_sues_apple_over_its_cash_stockpile.html

The Role of Government

What roles of government might be missing from Smith’s view? Explain.