Should I avoid talking about The Wealth Of Nations in my Econ PS

If you can give your own insight on the book compared to what lots of others might, then there's no reason why you shouldn't. But just be aware that lots of other people will also talk about it in their statements.

I have started just jotting down some ideas from my PS. Should I avoid mentioning this?

I assume you are applying for economics. If so, ask yourself what part of economics most interests you? It is such a broad topic and it would be nice to show interest in a relevant field. It would also show a sense of understanding that you get what economics is about. Economics is a lot more than some simplistic thoughts by Adam Smith.

Let us know what part interests you and we can give you more focussed ideas that stand out.

No problem, it's entirely up to you but I'd just pick the book that you're most genuinely interested in and can talk about the most, that's what I did. Out of curiosity, where are you thinking of applying?

I'm actually applying for Econ and Politics at LSE (I'm an international student and I'm just applying to LSE in the UK). What interests me the most is actually how political factors in itself ends up affecting economic policies. So in pure economics you could say it's government intervention that probably interests me the most. More specifically what actually ends up affecting how successful economic policies are?