... of even today. His first premise was that increase in economic growth would only occur with free trade, meaning the removal of all national and mercantile obstacles. Government, according to Smith, would be necessary only for defense, internal security, law-making, and judicial ruling. A smaller government was a better government economically, due to the fact that less regulation would mean more ... trade. In addition, Smith believed that the state was a harmful part of the economy if involved in innovation and enterprise, for only private concerns and the competition between each state...

• Word Count: 575
• Approx Pages: 2
• Grade Level: Graduate