Wealth and Natural Resources

Division of Labor presupposes Labor, and Labor consists in the transformation of available raw material. Thus, Division of Labor presupposes the availability of raw material. Likewise, therefore, Smith's proposition, that Division of Labor is the primary determinant of Wealth, suppresses the following: 1. Natural resources are the primary determinant of Wealth; 2. Labor is a secondary determinant of Wealth; 3 Technology is a tertiary determinant of Wealth; and 4. Division of Labor is a function of Technology. A clear and familiar example of #1 is any otherwise barren oil-abundant territory.