Adam Smith Division Of Labour Analysis

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The division of labour described by Adam Smith in The Wealth of Nations is a product of individual self-interest. This is representative of Smith’s methodological individualist interpretations of human nature. Adam Smith deduces that the division of labour is beneficial to the individual, as it is in one’s own interest to work less whilst still engaging in tasks that are to their own specialities. Highly specialized work is beneficial for nations to grow economically whilst allowing individuals to further pursue their own rational self-interest. To further explain the concepts that Smith proposes I will first explain what rational self-interest in regards to human nature and how the division of labour emerges from self-interest. Secondly, I With this idea in mind, Smith analyses the emergence of the division of labour as a self-interested way of making work easier. These separations result in an advantage to the ‘increase in the productive powers of labour’ Smith claims that the labour division allows for increased dexterity of the worker, saving time and the innovation of inventions. This increase in production allows for nations to excel in manufacturing thus rapidly procuring for the wealth of the nation to thrive and benefit just as much as or even more so than the individual. The division of labour is ‘the greatest improvement in the productive powers of labour.’ To further increase this productivity is the individuals to specialize in their work; to do the work that is best suited to their needs, talents and ‘from regard of his own interest’ thus making work easier for all involved in the economic market place and labour force. As each worker specializes further into more niche roles, the less work each worker has to accomplish but more work can be done at a faster rate, increasing efficiency. According to This short sighted self-interest compounded slowly over time into a long term benefit for society: “This division of labour, from which so many advantages are derived, is not originally the effect of any human wisdom, which foresees and intends that general opulence to which it gives occasion. It is the necessary, though very slow and gradual, consequence of a certain propensity in human nature which has in view no such extensive utility; the propensity to truck, barter, and exchange one thing for another” Smith’s logic here is also relevant in regards to human nature, concluding that each individual’s natural tendency to work towards meeting their own needs will also unintentionally benefit society. There is a caveat this this rule however, Smith proses that ‘the division of labour is limited by the extent of power exchanging’ and by ‘the extent of the market’. Simply put, the rural areas cannot benefit from the division of labour because those individuals do not exist within an urban economic market that needs specialize work to further develop. Individuals in the rural areas are generally agrarian and still necessary for these individuals to have an affinity for all kinds of work to ensure that their needs are met thus specialization is not within their rational

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