866 B
866 B
Unproductive Labourers
Definition
Workers whose labour does not fix or realize itself in any vendible commodity, but is instead immediately consumed in the service provided. Unproductive labourers include servants, public officials, military personnel, and others whose work produces services rather than tangible goods that can be accumulated as capital.
Source Chapter
Book II, Chapter 5
Context
Smith introduces this concept to distinguish between labour that creates exchangeable value and labour that provides immediate services. He argues that while both types of labour are necessary for society, only productive labour contributes to capital accumulation and economic growth.
Economic Domain
General Theory