Adam Smith (1723-1790) discussed the issue of free competition between the participants of an economy in his

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Adam Smith (1723-1790) discussed the issue of free competition between the participants of an economy in his book Wealth of Nations. It may be said that Smith employed social feedback mechanisms to explain his theories [41]. Smith suggests that (1) the available workers as a whole compare the various possible employments and enter that one offering the greatest rewards, and (2) in any employment the rewards diminish as the number of competing workers rises. Let r = total of rewards averaged over all trades, c = total of rewards in a particular trade, and q = influx of workers into the specific trade. Sketch a feedback system to represent this system.
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Modern Control Systems

ISBN: 978-0136024583

12th edition

Authors: Richard C. Dorf, Robert H. Bishop

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