"Civil government, so far as it is instituted for the security of property, is in reality instituted for the defense of the rich against the poor, or of those who have some property against those who have none at all.'' - Adam Smith, The Wealth of Nations
Thru this video and others, under the banner or "LearnLiberty", I have learn more about the economy then all the schooling I went to. Thank you LearnLiberty !!!
its fullest potential. It creates an environment which allows people to focus on a specialization; as a result, people would create innovations within their specialization, and the population would benefit. Of course, part of the benefit comes from competition and a bunch of other stuff i'm too lazy to type down.
Adam Smith never said what this said. Here is the exact quote: "by directing that industry in such a manner as its produce may be of the greatest value, he intends only his own gain; and he is in this, as in many other cases, led by an invisible hand to promote an end which was no part of his intention." The "invisible hand" is all about unintended consequences.
Here is the Original quote from Wealth of Nations. The ONLY quote where invisble hand is mentioned. "By preferring the support of domestic to that of foreign industry, he intends only his own security; and by directing that industry in such a manner as its produce may be of the greatest value, he intends only his own gain, and he is in this, as in many other cases, led by an invisible hand to promote an end which was no part of his intention."
Precisely. The English entrepreneur will not outsource jobs because he prefers his own security and will support domestic industry and domestic labor rather than supporting foreign industry with its cheaper labor. So, the invisible hand of the patriotic business owner will spare the working class. Yeah, right. This video is pure propaganda. Sheesh. Utter nonsense and so deceitful.
To reiterate, the quote actually says beware of your economic assumptions. You could be dead wrong. For example, there were certain economic assumptions about free trade before Reagan signed the first FTA. Well, the "invisible hand" struck and showed the truth. Free trade does NOT create equal or better jobs than the ones lost due to FTAs. The list goes on of economic assumptions in which the invisible had struck.
I found this quote by some guy who was really concerned about the division of labor: "The man whose whole life is spent in performing a few simple operations, of which the effects are perhaps always the same, or very nearly the same, has no occasion to exert his understanding or to exercise his invention... The torpor of his mind renders him not only incapable of relishing or bearing a part in any rational conversation, but of conceiving any generous, noble, or tender sentiment,...
"People of the same trade seldom meet together, even for merriment and diversion, but the conversation ends in a conspiracy against the public, or in some contrivance to raise prices. It is impossible indeed to prevent such meetings, by any law which either could be executed, or would be consistent with liberty or justice." Adam Smith, in this quote, seems to be saying "monopolies and trusts are OK with me." Does anyone have a different interpretation? Please give a thoughtful response.
Adam Smith was not focusing on every factor, and more or less was comparing the bigger nations. For example, The quality of life for people went up as a result of the innovations of individuals during the industrial revolution in Britain, which created efficient production of goods. Imperialism and colonialism expand the benefits more, by promoting international trade through the removal of tariffs and tolls, which allowed other nations to enjoy the benefits. For example, Japan closed its
The second part in thr video ' allowing focus on specilised work to bring out the best of humsn ingenuity' was orginally the idea of Cast system in Hinduism circa 5000 BC. In fact the word cast system misnomer while correct ssnskrit word for it is 'naipunya' which means specialised skill.
Is he talking about assembly line work? Yeah, you need to delve into that a bit more! Nobody likes assembly line work! He did say specialty in a small area of focus. That is assembly line work! Not entrepreneurial. This needs to be better explained, which he could have done but chose not to - suspicious agenda. Lacked clarity.
@evilsoda00 Smith talked about a lot of things libertarians don't talk about. Another interesting thing that Smith talked about was how government needed to regulate the economy even with the invisible hand. I guess LL doesn't really want to talk about those little tidbits of info, they're inconvenient to their agenda.
Empty seats in the background? Aesthetically pleasing, but why aren't the seats filled? What message are you attempting to convey with an emplty auditorium? In Freedmans videos from the 70's they simply showed lectures with student interactions. Seems like learn liberty should give these profs their own recording equipment and record what they ALREADY teach. Then LL could edit the footage however they wanted.
@xRA1D32x The lesson of the Industrial Revolution. It is a counterexample to your statement that innovation comes from countries with large social programs. You seem to dismiss that example because it wasn't "modern times".
markets through high tariffs and Japans policy of seclusion at the time. In the 1800's, United states sent Commodore (forgot his name) to invade Japan. It opened some port, which allowed trade to begin. As a result, Japans policy of seclusion was abolished, and allowed Japan to grow economically and militarily. We've seen the effects that has had in the 20th century with Japan invading many Asian nations. Basically, higher free trade means the invisible hand of supply and demand can work at it
Yup, the scope of going into a sweat shop and doing the same simple thing a million times for 12 hours straight with few breaks and then having your 8 year old son start working and doing the same thing. That allowed for a great deal of ingenuity? Sorry, that explanation is not satisfactory for me. Didn't Smith comment on how immoral division of labor was in the same book???
The one phrase I heard was fiat, actually. I often tend to think of fiat as a sort of whip, a tool myopic morons rarely have to "spend" much genuine effort cracking, often not really burdened with directly witnessing short and long term pains or joys created by use of it. "It" being human. If such power wasn't abused so extensively, or even bound to fates of rewards for fair, productive and/or heroic efforts... Lasting "value?" Security? Hope? Trust? Or anger, sadness, fear, tyranny, angst...
@JackGriffin2 Yes, but that is only the state of affairs as is today, and that is because of historical reasons, colonisations, world wars...there was a huge shift in wealth from one place to another. This is only temporary, you can see the balance setting back...its happening.
WillisFamily - And what did Japan do before it became an advanced society - well it did what every other advanced country did to become advanced - it went an plundered other countries. You should look into who wins when an industrialised country trades for the necessary natural resources and what the consequences are.
But what gives a people the ability to focus on these things? Obviously if you live in a god-forasken desert you don't have the time for such endeavors (you're just going to spend 24/7 scrounging around for food). It seems rather naive to utterly disconnect a society's natural setting from the equation...
@newguy33X Yes, I agree with you! it's a warning.. A warning which I do not hear repeated by free-market advocates who use his name to bolster their credibility.
@gardener ben - I doubt if you have ever read the relevant passages in Wealth of Nations, you certainly don't understand what Smith means by the division of labour. Take your mechanic for example (automobile mech.) A competent mechanic could build a complete auto from all the mechanical parts But under the division of Labour it would be considered much more efficient, and hence profitable, to break the job down into a series of simple tasks. The chassis would be placed on an assembly line and as it moved down the line an individual would attach one particular component to the chassis - and he would fit that same component to each chassis as it came along the line. His neighbour would fit another component and so on until at the end of the line a finished vehicle would come off. Each person involved would perform the same task all day, day after day and he would be able to do it blindfolded and without thinking. This is why his mind would become dull and he would tend to become as "stupid as it was possible for a human being to become." Nowadays the same job is done by robots.
@StateExempt Not at all. Just someone that lives in the real world and sees it as it is. Who are U? What do U think about each day when U wake?? I see our planet as it is today, how do U see it today???? I do not look into yesterday or the future because none of that can be. I see what it is today.
@xRA1D32x - Austrian economist are some of the most informed. As the likes of Peter Schiff have made rather apparent to those willing to pay attention.
i...do not agree totally. what about imperialism, colonialism, external controls of the market through selective buy and sell, economic methods of suppression and coercion. there's many more reasons why some nations are poor and others are rich.
@rao76 Natural resources may help but are not sufficient or even necessary for a country to be wealthy. And the natural resources do not even help if the country is not sufficiently advanced. Their are plenty of poor economies with money gushing from the ground and plenty of wealthy economies with few natural resources.
So have any of U read the book, The Wheels of Commerce? Volume 1 and 2. U must have if you buy this BS. These books and people that wrote them could never have imagined the technology we have today. It was not possible in their minds.
"Civil government, so far as it is instituted for the security of property, is in reality instituted for the defense of the rich against the poor, or of those who have some property against those who have none at all.'' - Adam Smith, The Wealth of Nations
Thru this video and others, under the banner or "LearnLiberty", I have learn more about the economy then all the schooling I went to. Thank you LearnLiberty !!!
its fullest potential. It creates an environment which allows people to focus on a specialization; as a result, people would create innovations within their specialization, and the population would benefit. Of course, part of the benefit comes from competition and a bunch of other stuff i'm too lazy to type down.
Adam Smith never said what this said. Here is the exact quote: "by directing that industry in such a manner as its produce may be of the greatest value, he intends only his own gain;
and he is in this, as in many other cases, led by an invisible hand to promote an end which was no part of his intention." The "invisible hand" is all about unintended consequences.
Here is the Original quote from Wealth of Nations. The ONLY quote where invisble hand is mentioned.
"By preferring the support of domestic to that of foreign industry, he intends only his own security; and by directing that industry in such a manner as its produce may be of the greatest value, he intends only his own gain, and he is in this, as in many other cases, led by an invisible hand to promote an end which was no part of his intention."
Precisely. The English entrepreneur will not outsource jobs because he prefers his own security and will support domestic industry and domestic labor rather than supporting foreign industry with its cheaper labor. So, the invisible hand of the patriotic business owner will spare the working class.
Yeah, right. This video is pure propaganda. Sheesh. Utter nonsense and so deceitful.
Thank you tori!!!
To reiterate, the quote actually says beware of your economic assumptions. You could be dead wrong. For example, there were certain economic assumptions about free trade before Reagan signed the first FTA. Well, the "invisible hand" struck and showed the truth. Free trade does NOT create equal or better jobs than the ones lost due to FTAs. The list goes on of economic assumptions in which the invisible had struck.
I got bad Marx in high school. :(
I found this quote by some guy who was really concerned about the division of labor:
"The man whose whole life is spent in performing a few simple operations, of which the effects are perhaps always the same, or very nearly the same, has no occasion to exert his understanding or to exercise his invention... The torpor of his mind renders him not only incapable of relishing or bearing a part in any rational conversation, but of conceiving any generous, noble, or tender sentiment,...
"People of the same trade seldom meet together, even for merriment and diversion, but the conversation ends in a conspiracy against the public, or in some contrivance to raise prices. It is impossible indeed to prevent such meetings, by any law which either could be executed, or would be consistent with liberty or justice."
Adam Smith, in this quote, seems to be saying "monopolies and trusts are OK with me." Does anyone have a different interpretation? Please give a thoughtful response.
How do you respond to Chomsky's criticism that Adam Smith believed division of labor made people more ignorant and was actually a negative thing?
Adam Smith was not focusing on every factor, and more or less was comparing the bigger nations. For example, The quality of life for people went up as a result of the innovations of individuals during the industrial revolution in Britain, which created efficient production of goods. Imperialism and colonialism expand the benefits more, by promoting international trade through the removal of tariffs and tolls, which allowed other nations to enjoy the benefits. For example, Japan closed its
why is this guy in a movie theatre?
Very interesting and very well explained. Thank you a lot
How does the invisible hand protect us against the overuse of antibiotics resulting in very resistant viruses?
0:56 to 1:08
Long live free market capitalism!
Adam Smith mentioned "the Nations" as "the Markets"
I love this channel
The second part in thr video
' allowing focus on specilised work to bring out the best of humsn ingenuity' was orginally the idea of Cast system in Hinduism circa 5000 BC. In fact the word cast system misnomer while correct ssnskrit word for it is 'naipunya' which means specialised skill.
Is he talking about assembly line work? Yeah, you need to delve into that a bit more! Nobody likes assembly line work! He did say specialty in a small area of focus. That is assembly line work! Not entrepreneurial. This needs to be better explained, which he could have done but chose not to - suspicious agenda. Lacked clarity.
@evilsoda00 Smith talked about a lot of things libertarians don't talk about. Another interesting thing that Smith talked about was how government needed to regulate the economy even with the invisible hand. I guess LL doesn't really want to talk about those little tidbits of info, they're inconvenient to their agenda.
Smith said himslef and i quote "It is due to the rapid improvement of production and technology which has led to the rapid advancement of Capitalism".
Empty seats in the background? Aesthetically pleasing, but why aren't the seats filled? What message are you attempting to convey with an emplty auditorium? In Freedmans videos from the 70's they simply showed lectures with student interactions. Seems like learn liberty should give these profs their own recording equipment and record what they ALREADY teach. Then LL could edit the footage however they wanted.
How would some societies ban the division of labor? By law?
Also, the point of talking about how Japan invaded other nations was for me to demonstrate the successes that allowed Japan to do that.
thnx so much! really helps me with studying for grade 12 SS diploma! (=
@xRA1D32x The lesson of the Industrial Revolution. It is a counterexample to your statement that innovation comes from countries with large social programs. You seem to dismiss that example because it wasn't "modern times".
markets through high tariffs and Japans policy of seclusion at the time. In the 1800's, United states sent Commodore (forgot his name) to invade Japan. It opened some port, which allowed trade to begin. As a result, Japans policy of seclusion was abolished, and allowed Japan to grow economically and militarily. We've seen the effects that has had in the 20th century with Japan invading many Asian nations. Basically, higher free trade means the invisible hand of supply and demand can work at it
jonathan bardos
- Perry.
Thank you.. it was nice and clear !!
Better to read Smith yourself and see what he really says.
What Adam Smith failed to realize is that the Invisible Hand never gives you the reacharound.
Yup, the scope of going into a sweat shop and doing the same simple thing a million times for 12 hours straight with few breaks and then having your 8 year old son start working and doing the same thing. That allowed for a great deal of ingenuity? Sorry, that explanation is not satisfactory for me. Didn't Smith comment on how immoral division of labor was in the same book???
The one phrase I heard was fiat, actually. I often tend to think of fiat as a sort of whip, a tool myopic morons rarely have to "spend" much genuine effort cracking, often not really burdened with directly witnessing short and long term pains or joys created by use of it. "It" being human. If such power wasn't abused so extensively, or even bound to fates of rewards for fair, productive and/or heroic efforts... Lasting "value?" Security? Hope? Trust? Or anger, sadness, fear, tyranny, angst...
@JackGriffin2 What lessons would those be? Did you even follow the link and watch the video?
A response to his anwser to the question "Why are some countries wealthy while other nations are poor?" ..... China.
wow make me wanna promote my music even more -kush evans
My good sir,. i believe the commodore's name was Matthew C. Perry.
Division of Labor...
@JackGriffin2 Yes, but that is only the state of affairs as is today, and that is because of historical reasons, colonisations, world wars...there was a huge shift in wealth from one place to another. This is only temporary, you can see the balance setting back...its happening.
@xRA1D32x Are you referring all the large social programs Britain had when it started the Industrial Revolution?
WillisFamily - "Large social programs Britain had when it started the Industrial Revolution?
" I presume you are making big joke, yes?
more funds to human needs
@rao76 How do you explain Japan? Where are their natural resources? With an advanced society you don't need natural resources. You can trade.
WillisFamily - And what did Japan do before it became an advanced society - well it did what every other advanced country did to become advanced - it went an plundered other countries. You should look into who wins when an industrialised country trades for the necessary natural resources and what the consequences are.
But what gives a people the ability to focus on these things? Obviously if you live in a god-forasken desert you don't have the time for such endeavors (you're just going to spend 24/7 scrounging around for food). It seems rather naive to utterly disconnect a society's natural setting from the equation...
@newguy33X Yes, I agree with you! it's a warning.. A warning which I do not hear repeated by free-market advocates who use his name to bolster their credibility.
The division of labour? According to Adam Smith it makes those involved "as stupid and ignorant as it is possible for a human creature to become."
@gardener ben - Adam Smith was talking about the division of labour in industry, not in agriculture.
@gardener ben - I doubt if you have ever read the relevant passages in Wealth of Nations, you certainly don't understand what Smith means by the division of labour.
Take your mechanic for example (automobile mech.) A competent mechanic could build a complete auto from all the mechanical parts But under the division of Labour it would be considered much more efficient, and hence profitable, to break the job down into a series of simple tasks. The chassis would be placed on an assembly line and as it moved down the line an individual would attach one particular component to the chassis - and he would fit that same component to each chassis as it came along the line. His neighbour would fit another component and so on until at the end of the line a finished vehicle would come off. Each person involved would perform the same task all day, day after day and he would be able to do it blindfolded and without thinking. This is why his mind would become dull and he would tend to become as "stupid as it was possible for a human being to become." Nowadays the same job is done by robots.
People should look up and thumbs up @xRA1D32x 's comment so others can se the actual truth.
@bryanlopez1084
When Adam wrote that I think his invisible hand meant the hand of god.
@StateExempt
Not at all. Just someone that lives in the real world and sees it as it is. Who are U? What do U think about each day when U wake??
I see our planet as it is today, how do U see it today???? I do not look into yesterday or the future because none of that can be.
I see what it is today.
@xRA1D32x - Austrian economist are some of the most informed. As the likes of Peter Schiff have made rather apparent to those willing to pay attention.
i...do not agree totally. what about imperialism, colonialism, external controls of the market through selective buy and sell, economic methods of suppression and coercion. there's many more reasons why some nations are poor and others are rich.
@xRA1D32x - The latter might actually apply to Paul Krugman.
@rao76 Natural resources may help but are not sufficient or even necessary for a country to be wealthy. And the natural resources do not even help if the country is not sufficiently advanced. Their are plenty of poor economies with money gushing from the ground and plenty of wealthy economies with few natural resources.
@xRA1D32x Evidence? I'm not willing to discount the lessons of history because we live in "modern times".
So have any of U read the book, The Wheels of Commerce? Volume 1 and 2.
U must have if you buy this BS.
These books and people that wrote them could never have imagined the technology we have today.
It was not possible in their minds.
too bad they will not let me focus !
@xRA1D32x - But not Austrian.
OMG, Self-sabotage!
Keep em' coming, XD
@CosmosPrivateer - Another Venus Project fanboy?
@StateExempt austrian economists are some of the most deluded.