The first formulation of international trade theory, by Adam Smith, was motivated by political considerations.
Answer the following statement true (T) or false (F)
True
A profoundly influential early attempt to develop an international trade theory was actually politically motivated. Adam Smith, a Scottish philosopher and economist, was incensed by British government intervention and control over both domestic and foreign trade. In 1776, he published An Inquiry into the Nature and Causes of the Wealth of Nations, in which he attacked the mercantilist philosophy that prevailed at that time.
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