Capitalism and Technology

Given Smith's recognition of the Economic impact of Industrialization, it is difficult to understand why he arrived at the proposition that the Division of Labor, rather than Technology, is the decisive factor in the generation of Wealth. Analyses of some of his fundamental concepts only support the ample empirical evidence. For, the basic unit of Technology is the Tool, and the primary influence of the Tool on Labor is to accelerate it, and, hence, to increase productivity. Furthermore, as complex machinery illustrates, a division of labor is determined by the diversity of functions of the available technology. Also, Money can be understood as a tool of Communication that facilitates the bartering process. So, for example, if Technology is the motor, literally, of Capitalism, then the Individualism that some attribute to the system as inherent in it, is only a reflection of the simplicity of tools, and, hence, is only a contingent characteristic of it.