1. Explain the meaning of wage labor in capitalism. How is it different from serf and slave? Why is wage labor completely incompatible with feudalism? 2. From Chapter 1 Of the Division of Labor in the Wealth of Nations, Adam Smith argues that there are three reasons why labor productivity increases due to a division of labor. For each reason, explain it briefly AND provide one example from the contemporary world. 3. Explain Adam Smith's growth model or the source of the wealth of nations. How does a division of labor and manufacturing play their roles here? How is this related to the hockey stick curve? 4. Explain Smith's market mechanism (unintended consequences) that aligns the self (private) interest or profit motive with social interest. How is it different from the pre- market society? Provide the concrete example too. 5. Explain what are the private gains, public interest, and how those two can coincide based on market mechanism for these situations - Gloves and shoes production (from WP) - Masks and vaccines during the pandemic 6. When Adam Smith used the term invisible hand in The Wealth of Nations, what did he specifically mean? What was the assumption that he used to make sure that private gains (maximum profit) coincide with public interests (maximum domestic employment). How might his assumption be problematic today? 7. What are the similarities and differences between the ideas of Smith and the mercantilists? 8. What are the similarities and differences between the ideas of Smith and the physiocrats