It is worth noting that Smith was a professor of Moral Philosophy and he described his work as political economy.

This sort of ripping phrases out of context for some political agaenda happens all the time. I'm sure John Winthrop is rolling over in his grave over how Reagan misused his "City on a Hill" speech. Winthrop was very much a communitarian, as were all the early Puritans, and would abhor Reagan's right-wing view of 'freedom.'