What strategy of modern manufacturing is Adam Smith referring to in this statement?To take an example, therefore, from a very trifling manufacture . . . the trade of the pin-maker. . . . One man draws out the wire, another straights it, a third cuts it, a fourth points it, a fifth grinds it at the top for receiving the head; to make the head requires two or three distinct operations; to put it on is a peculiar business, to whiten the pins is another; . . . the important business of making a pin is, in this manner, divided into about eighteen distinct operations.-Adam Smith, The Wealth of Nations

TECHNOLOGY

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Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]

What strategy of modern manufacturing is Adam Smith referring to in this statement?"To take an example, therefore, from a very trifling manufacture . . . the trade of the pin-maker. . . . One man draws out the wire, another straights it, a third cuts it, a fourth points it, a fifth grinds it at the top for receiving the head; to make the head requires two or three distinct operations; to put it on is a peculiar business, to whiten the pins is another; . . . the important business of making a pin is, in this manner, divided into about eighteen distinct operations."-Adam Smith, The Wealth of Nations

A	automation
B	innovation
C	specialization
D	industrialization

Explanation:

Detailed explanation-1: -By “the invisible hand, ” Adam Smith refers to the notion that desirable social goals are usually reached by individuals following only their own self-interest.

Detailed explanation-2: -Smith introduced the concept that free trade would benefit individuals and society as a whole. He believed that governments should not impose policies that interfered with free trade, domestically and abroad.

Detailed explanation-3: -Adam Smith was among the first philosophers of his time to declare that wealth is created through productive labor, and that self-interest motivates people to put their resources to the best use. He argued that profits flowed from capital investments, and that capital gets directed to where the most profit can be made.

Detailed explanation-4: -Smith’s most prominent ideas–the “invisible hand” and division of labor–are now foundational economic theories. His theories on economics continue to live on in the 21st century in modern economic theory.

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ECONOMICS (CBSE/UGC NET)

ECONOMICS

TECHNOLOGY