847 B
847 B
Agricultural Improvement Foundation
Definition
The principle that agricultural development must precede all other forms of economic progress because it provides the subsistence necessary to support non-agricultural populations. This foundation creates the surplus production that enables urban development, manufacturing specialization, and ultimately foreign trade.
Source Chapter
Book III, Chapter 1
Context
Smith establishes this as the fundamental basis for economic development, explaining why no society can progress beyond subsistence agriculture without first achieving sufficient agricultural surplus to support urban populations and specialized manufacturing.
Economic Domain
Production