According to Smith the total production of any country is due to the hard work of labour. If the labour is skillful and have enough facilities then the annual supply of the country will increase. Especially after fall down of many traditional empires and thrive of industrialization labour play vital role in the economic growth of the countries. The organized and industrious labour produce more goods and services, as a result the consumption of that society also increases and so as the life standard of the people. Smith claims that to increase the efficiency and to improve the productivity of labour there should be a proper division of labour. He further says that, division of labour in manufactures increases the total outcome. Rich countries can get more benefits from division of labour than poor countries because of the modern technology and they can pour enough money to hire more employees for different jobs. On the other hand, in agricultural sector if climate, soil and other requirements for cultivation are favorable then poor and rich countries can get equal benefit from agricultural products. In agriculture one man can perform the tasks of multiple labours without acquiring any specific skills but it is time consuming. One of the advantages of division of labour is that when one person is responsible to perform a single work he/she is more likely to come up with easier ways to do that task quickly and comfortably; therefore, division of labour encourages workers to invent novel techniques in different fields. In addition to this, if one person is doing the same task again and again he/she becomes expert in that work which saves time and increases productivity.
Even, to make a very small tool or a product we need hundreds of skilled and unskilled workers. Division of labour helps to produce thing in a comfortable way and it also make things affordable for all. In other words, specialization in one task can be beneficial for all and a group of specialized people can perform a task quickly and effectively. He says that the extent of market allows a proper division of labour because a smaller market cannot have enough resources to provide more job opportunities. Most of the time market is extent in port areas where exchange of goods with others is easier with reasonable prices and gradually other parts of the country also get advantage from this trade. When countries start to trade with each other it elevates economic prosperity for all. Due to mass trade countries were able to savor all those goods and services which ones were not available for them.