▁settings ▁to ▁explain ▁the ▁ir r ational ity ▁of ▁past ▁economic ▁events . ▁ ▁S ism ond i ▁also ▁contributed ▁a ▁great ▁deal ▁to ▁econom ics ▁with ▁his ▁thoughts ▁on ▁aggregate ▁demand . ▁Ob ser ving ▁the ▁capital ist ▁industrial ▁system ▁in ▁England , ▁S ism ond i ▁saw ▁that ▁un checked ▁competition ▁both ▁resulted ▁in ▁produ cers ▁all ▁increasing ▁individual ▁production ▁( because ▁of ▁lack ▁of ▁knowledge ▁of ▁other ▁produ cers ' ▁production ) ▁this ▁was ▁then ▁seen ▁as ▁forcing ▁employ ers ▁to ▁cut ▁prices , ▁which ▁they ▁did ▁by ▁sacrific ing ▁workers ' ▁w ages . ▁This ▁yield ed ▁over production ▁and ▁under consum ption ; ▁with ▁most ▁of ▁England ' s ▁work force ▁suffering ▁from ▁de pressed ▁w ages , ▁workers ▁were ▁then ▁unable ▁to ▁afford ▁the ▁goods ▁they ▁had ▁produced , ▁and ▁under consum ption ▁of ▁goods ▁then ▁followed . ▁S ism ond i ▁believed ▁that ▁by ▁increasing ▁the ▁w ages ▁of ▁labor ers ▁they ▁would ▁have ▁more ▁bu ying ▁power , ▁be ▁able ▁to ▁buy ▁the ▁national ▁output ▁and ▁thus ▁increase ▁demand . ▁ ▁In ▁his ▁book ▁On ▁Class ical ▁Econom ics , ▁Thomas ▁S ow ell ▁dev otes ▁a ▁chapter ▁to ▁S ism ond i , ▁arg uing ▁that ▁he ▁was ▁a ▁neglect ed ▁pione er . ▁ ▁Italian ▁history ▁Meanwhile , ▁he ▁began ▁to ▁compile ▁his ▁great ▁Histoire ▁des ▁ré pub li ques ▁italien nes ▁du ▁Mo yen ▁ Â ge , ▁and ▁was ▁introduced ▁to ▁Madame ▁de ▁Sta ël . ▁He ▁became ▁part ▁of ▁her