Adam Smith - the father of economics

Adam Smith
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Introduction
Adam Smith was a re- known moral philosopher born in 1923. He is considered as the pioneer of the modern political economy. He is also better recognized for his two influential works: An inquiry into the nature and causes of the wealth of nations published in 1776 and The theory of moral sentiments published in 1759. The former which is commonly referred as the wealth of nations is regarded as magnumopusa and the pioneer of the contemporary works on economics. His works are still considered as significant and very much influential in the field of economics today (Hedengren et al, 2011, 131).
With regard to mercantile system, Smith considered it as a huge conspiracy by merchants and manufacturers to defraud consumers, a perception which became so popular mandating some scholars at time such as Robert D and Robert E. Ekelund to term mercantilism as aren’t seeking community. Mercantilism was the predominant reflection in Europe during the early and  HYPERLINK "http://en.wikipedia.org/wiki/Renaissance" \o "Renaissance" Renaissance periods. It encouraged the many intra European wars in that period which instigated the European imperialism and expansion not only in Europe but in other parts of the world in the 19th and 20th centuries (Merchants, 1996).
In particular, Adam Smith was opposed to the mercantilist emphasis on production, claiming that consumption was an important element to production. This famous author went on to assert that mercantilism was made famous among the merchants since it was one of their ways of rent seeking (Brezis, 2003, 484)
According to Adam Smith, in his book, an inquiry into the nature and causes of wealth of nations, every individual in the world strives as much as he or she can to obtain wealth which he or she might intend to retain to himself and or his/her family. However, in the process of doing so, this person would find himself exchanging what he has with the others who find value in what he has. This, according to him, is what creates divi...