Economic View of Adam Smith

1193 WordsFeb 20, 20185 Pages
Part A of this essay I will be defending Adam Smith and his view on the economy and how the government should not be involved in the market place. I will be using evidence John Stossel gives us through the video we watched. Before then I will give you a brief biography on Adam Smith. Adam Smith was born in 1723 in Scotland. Smith, a philosopher and economist who wrote the book “causes of the wealth of nations” written in 1776 which was one of the first books on political economy. Smith in this book analyzes the economy and its market place he implies that there should be a laissez-faire economy. Laissez-faire is a policy or attitude of letting things take their own course, without interfering Adam smith was directing this to the government. This means a free market in which there are no regulations set by the state. In a free market, entrepreneurs make and sell products for their own self-interest. The free market can operate without any central direction because all parties enter into a transaction voluntarily, it is not a zero sum game because both parties benefit. Smith believed that self-interest in a free economy will lead the nation to a prosperous economy in a free market economy the decision is between the buyer and the creator. Self-interest is when you act in a way that is most beneficial to yourself. Self-interest does not necessarily mean that you are being greedy it just means you want a better you. Adam Smith writes in his book the wealth of nations, that a
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