ECON 460 Lecture Notes - Lecture 8: Corn Laws, Physiocracy, Aria
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Probably will get results from midterm back next week. Smith thinks that the people who know what they are doing on the people on the ground investing in local projects= have local knowledge= could be wrong but they were using the best information possible. Ad(cid:448)isors i(cid:374) go(cid:448) de(cid:272)idi(cid:374)g i(cid:374)(cid:448)est(cid:373)e(cid:374)t priorities do(cid:374)(cid:859)t k(cid:374)o(cid:449) (cid:449)hat they(cid:859)re doi(cid:374)g a(cid:272)(cid:272)ordi(cid:374)g to s(cid:373)ith. Gov worried that taxing the citizens of a country too much (creating a competitive disadvantage), so gov taxes them some more by taxing imports= smith disagrees with this. S(cid:373)ith agrees that you should(cid:374)(cid:859)t re(cid:373)o(cid:448)e (cid:271)arriers o(cid:448)er(cid:374)ight as u(cid:374)e(cid:373)ploy(cid:373)e(cid:374)t i(cid:374) (cid:272)ertai(cid:374) i(cid:374)dustries will shoot up dramatically= if you do it over time, the labour market will absorb people over time. Country gentlemen and farmers rarely get monopoly power= manufacturers do. I(cid:374) 1(cid:1011)(cid:1011)(cid:1010), s(cid:373)ith thi(cid:374)ks it is utopia(cid:374) to thi(cid:374)k of a (cid:858)free trade(cid:859) britai(cid:374)