The Wealth of Nations Wealth Quotes

How we cite our quotes: (Book.Chapter.Paragraph)

Quote #4

The value of any commodity, therefore, to the person who possesses it, and who means not to use or consume it himself, but to exchange it for other commodities, is equal to the quantity of labour which it enables him to purchase or command. (1.5.1)

We might think of things as having a price in terms of money. But when it comes to determining the actual value of something, Smith says that value is connected to how much labor or work we have to do to get something. So let's say you need to work two full days to get enough money for a new TV. For Smith, that means that the real value of the TV is two days' work.

Quote #5

Wealth, as Mr. Hobbes says, is power. But the person who either acquires, or succeeds to a great fortune, does not necessarily acquire or succeed to any political power, either civil or military. (1.5.3)

A lot of people will tell you that money is power. But Smith reminds us that this isn't necessarily the case. In a democratic country, any regular person can get elected to a political position. And even if that person is poor, they can still hold power over a rich person. Then again, having money sure doesn't hurt when someone wants to get elected as a politician.

Quote #6

But this original state of things, in which the labourer enjoyed the whole produce of his own labour, could not last beyond the first introduction of the appropriation of land and the accumulation of stock. (1.8.5)

There was once a situation where everyone worked on the land and kept everything they produced. But over time, people started to own private property and build up stockpiles of extra stuff. These people would become the rich folks, which means that poor people also started existing.