1) Discuss the manner in which Smith can be said to be writing in the "enlightenment" tradition. Compare Smiths theories to those of Newton. Be sure to discuss the invisible hand, the propensity to truck barter and exchange, and the notion of a "self correcting" market.

2) Summarize Ricardo's concepts of comparative and absolute advantage. Visually illustrate how gains from exchange come to exist in both scenarios. Give this, why might some countries still insist upon protectionist policies? In what ways might Ricardo be viewed as "formalizing" Smith's work?

3) Illustrate and explain the circular flow model. In this closed system, how is economic growth possible? What are the roles of government in such a system? Would Smith agree with the roles of government discussed in class?