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Natural Progress of Improvement

Definition

The inherent tendency of societies to accumulate capital and improve through individual efforts to better their condition, protected by law and allowed by liberty. This principle frequently restores health to the economic constitution despite government extravagance and administrative errors.

Source Chapter

Book II, Chapter 3

Context

Smith's optimistic conclusion that individual self-interest and frugality generally overcome government interference, allowing England's progress toward opulence despite public prodigality.

Economic Domain

General Theory