Question:

WHAT DOES THIS QUOTE MEAN TO YOU? : “The division of labor is limited by the extent of the market.”?

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IT IS FROM THE BOOK : The Wealth of Nations, Adam Smith

What light does this shed on the current movement toward globalization?

Are there dangers in having government facilitate it in any affirmative way?

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2 ANSWERS


  1. How big a market is dictates how many different occupations there are in such a market. An agrarian economy won't have many nuclear scientists but a lot of farmers.

    As more emerging markets become developed, there will be greater demand for industrial and post industrial occupations.

    When government is involved, often inefficiency results.  


  2. Labor is dictated by the market. how much labor there is is determined by how big the market is.

    with growing nations their market is expanding resulting in more labor

    their is danger when ever the government tries to control some thing

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