Which famous book did Adam Smith write that is considered a foundational work in economics?

• A. The General Theory of Employment, Interest and Money
• B. Principles of Economics
• C. Das Kapital
• D. The Wealth of Nations

Answer: (D)

Verified step by step guidance

1. Recognize that this question is about a foundational work in economics authored by Adam Smith.
2. Recall that Adam Smith is widely known as the 'father of economics' and wrote a seminal book that laid the groundwork for classical economics.
3. Identify the title of Adam Smith's famous book, which is 'The Wealth of Nations'. This book introduced key concepts such as the division of labor, the invisible hand, and free markets.
4. Understand that the other options listed are works by different economists: 'The General Theory of Employment, Interest and Money' by John Maynard Keynes, 'Principles of Economics' by Alfred Marshall, and 'Das Kapital' by Karl Marx.
5. Conclude that the correct answer is 'The Wealth of Nations' as it is the foundational economic text written by Adam Smith.