 As regards judgments of merit and demerit, Smith sets up a model of three people, but the three differ in respect of the weight that has to be given to their work, for the recipient does almost nothing. He is acted on by the agent, but apart from that he is no more than a place holder for the spectator who will imaginatively occupy his shoes and make a judgment concerning merit or demerit on the basis solely of his conception of how he would respond to the agent if he were in the place of the recipient. He does not judge on the basis of the actual reaction of the recipient, who might approve of the agent’s act or disapprove or have no feelings about it one way or the other.