840 B
840 B
Agricultural Spatial Inequality
Definition
The economic disparities between regions created by differences in natural advantages, institutional arrangements, and market access that determine agricultural productivity and prosperity, which Smith argues were exacerbated rather than mitigated by medieval regulations.
Source Chapter
Book III, Chapter 2
Context
Smith shows how medieval institutions created and perpetuated agricultural inequalities between regions, with naturally advantaged areas prevented from exploiting their advantages while disadvantaged areas lacked the institutional framework to overcome their limitations through trade and specialization.
Economic Domain
Exchange