22 lines
854 B
Markdown
22 lines
854 B
Markdown
<!-- generated: provider=openrouter model=arcee-ai/trinity-large-preview:free date=2026-02-19 source=book-4-chapter-02 -->
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# Natural Employment of Capital
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## Definition
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The allocation of financial resources to economic activities that would occur without artificial intervention, based on comparative advantage and market forces. This represents the most efficient use of capital as determined by natural market conditions rather than government regulation.
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## Source Chapter
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Book IV, Chapter 2
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## Context
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Smith argues that capital naturally flows to its most advantageous employment, and that government regulations attempting to direct capital often result in less efficient outcomes. He emphasizes that individuals seeking their own advantage naturally promote the most efficient allocation of resources.
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## Economic Domain
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Accumulation
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---
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