The term "Physiocratic" refers to an economic theory developed in the 18th century, primarily by the French economist François Quesnay. It emphasizes the importance of agriculture as the source of wealth and advocates that land is the primary factor of production. Physiocrats believed that natural resources and agricultural output should drive economic policy. Physiocracy posits that the economy operates best when it follows natural laws, suggesting that government intervention should be minimal. This school of thought laid the groundwork for later economic theories, influencing thinkers like Adam Smith and contributing to the development of classical economics.