Ep 10. Adam Smith, Mercantilism, State Building

In episode 10 of An Economic History of the World Since 1400, we dive into the life and ideas of Adam Smith, the famous economist who wrote The Wealth of Nations. The episode explores Smith's background and the development of his economic theories in the context of the mercantilist society that he lived in.

Mercantilism was the dominant economic philosophy of the time, which held that a country's wealth and power depended on its accumulation of gold and silver. To achieve this, countries implemented trade policies that favored exports and discouraged imports, creating barriers to trade that limited economic growth and innovation. Smith, however, challenged these ideas in his book, arguing that countries could benefit from free trade and specialization.

The episode also takes a closer look at the role of the state in building economies during this time period. While mercantilists believed that the state should play a significant role in supporting and protecting domestic industries, Smith argued that the state's role should be limited to protecting property rights and promoting free markets. The episode explores these differing views on the state's role in economic development.

Overall, this episode provides a fascinating look into the development of economic ideas and their impact on society during this period. From the rise of mercantilism to the ideas of Adam Smith, viewers will gain a deeper understanding of how the world's economies were shaped in the centuries leading up to the modern era.