<!-- generated: provider=openrouter model=arcee-ai/trinity-large-preview:free date=2026-02-19 source=book-4-chapter-05 -->

# Economic Identity

# Definition

The distinctive character and purpose of an economic system, shaped by its
core values, institutional arrangements, and the philosophical principles
that guide its development and operation.

## Source Chapter

Book IV, Chapter 5

## Context

Smith contrasts the economic identity of free market systems with that of
mercantilist systems, arguing that the former better serves the genuine
interests of society while the latter serves narrow commercial interests.

## Economic Domain

General Theory

---
