adam smith?

Question

what did adam smith think about bussiness and corporations?

Answer 1

Laissez-faire, laissez-passer was his belief. He believed that government intervention was bad for the market, and the market had a self-regulatory mechanism, i.e. the invisible hand, so in the long-run everything would find its equilibrium.
Businesses and corporations are to be left alone, competition among them will lead them to the correct path.

Answer 2

Adam Smith wa a Scottish philosopher who argued against Mercantilism, the economic theory in vogue in the mid 1600's to the late 1700's.

Mercantilism argued that a country's welath was dependent on its holdings of gold and that the global volume of trade was unchangeable. Thus, you had to try to buy as few things as you could from other countries (so you spend as little of your gold as you can) while selling to other countries as much of your products as you could (to get as much of their gold as you could).
Adam Smith actually argued that these mercantilist policies created poverty. He argued that under the mercantilist proposal you could be producing goods that were too expensive for you to produce instead of buying them from other countries. Let's say your country produces 1 rifle at 10 dollars and 1 lb of butter at 10 dollars. Mercantilist argued you should produce both and sell them to foreign countries so you could get their gold 8assuming you could find a country to buy your products at those prices). Adam Smith argued that specialization of labor in different industries in different countries made some more efficient at producing certain things. So, if you found a country that produced 1 lb of butter at 8 dollars, you buy the butter from them, and you save yourself 2 dollars and concentrate on rifle production which you are good at.
He was a liberal economist, in the sense that he believed the market was the most efficient way of allocating resources (through what he called an "invisible hand") and strongly supported the specialization of labor, which later resulted in Taylorism.
His views are the foundations on which modern economic theory is based, but, they were incomplete. The industrial revolution and Taylorism, demonstrated that you couldn't specialize labor too much, otherwise you would make the job too boring. Also, there were certain things that you couldn't let the market regulate, like working hours or retirement pensions.
If you want to see what happens when you follow Adam Smith's views (and Taylor's views), watch Modern Times by Charlie Chaplin.It is a view of what happen when you take the market to extremes.

Answer 3

He had the free-market, capitalist attitude toward business...much like Conservatives (Republicans) have today. He thought that businesses and corporation should be privately owned, and that competition between such corporations would drive up production and quality of goods/service. ''The Wealth of Nations'' by Adam Smith, is the ultimate guidebook for the capitalist belief.

Answer 4

Laissez-faire, laissez-passer was his belief. He believed that government intervention was bad for the market, and the market had a self-regulatory mechanism, i.e. the invisible hand, so in the long-run everything would find its equilibrium.
Businesses and corporations are to be left alone, competition among them will lead them to the correct path.

Answer 5

He recognized that businesses could be very efficient, due to incentives by owners to drive down costs.

He was also pro-union, so that cost of labor was relatively standardized in an economy.

Answer 6

He also foretold of increasing productivity corresponding with increasing specialization of the labor force.

Answer 7

You better refer to John Nash ideas.

Answer 8

Read "The Wealth of Nations"