Adam Smith

Those purporting to be conservative and in to favor of free trade as we have it now, might take another look at Adam Smith’s Wealth of Nations. Look at the 5th paragraph Chapter VIII “Conclusion of the Mercantile System.” Referring to the textile industry, Smith observes the exploitation of foreign labor at the expense of local spinners of yarn, women working alone unprotected etc.

Early English parliaments and kings wrote the laws of Mercantilism for protection. However, influential and wealthy manufacturers obtained exemptions to the protective laws, favoring only the rich and extending monopoly. Adam Smith voiced his objection to this system observing that the results turned out opposite to the original intent of the law. Smith favored free trade and thought that the regulations of Mercantilism resulted in inequities and los of efficiency in the economy.

Free trade as we have it now may produce some economic efficiency, but it produces the same loss of local jobs to the exploitation of cheep foreign labor as in England under the misguided exemptions to the mercantile laws. Something is amiss.

So-called conservatives today --- contrary to some of our fossilized economists preaching laissez-faire under the guise of Adam Smith economics and free trade -- might reconsider and look more thoughtfully at the compassionate writings of the man. I doubt that Adam Smith would condone our loss of jobs and loss of local productivity.

Manipulation of the laws to gain personal advantage, monopoly or extra profit at the expense of the common good is not nice.