He is often called the “father of economics” for his ground breaking ideas on the role of government in the economy. Through his works, Smith argued in favor of minimizing the role of government in the economy through mechanisms of control such as taxation. Perhaps his most famous idea is the one of the “invisible hand”, which as Chirot and Montgomery point out, appears only 3 times in his writing (20), but is considered the center of his thought. The “invisible hand” of the market refers to the patterns of demand and supply that consumers create with their consumption. These ideas made people realize the power of their actions with things even as simple as buying goods for their home. Smith also believed individuals should have the right to make all decisions affecting their material and moral lives, and that this would create a more fulfilling life and benefit all of society, by making it more “efficient, prosperous and free”. (4). At the time that he released these ideas, the prevailing forms of authority were very much the opposite of what he was
He is often called the “father of economics” for his ground breaking ideas on the role of government in the economy. Through his works, Smith argued in favor of minimizing the role of government in the economy through mechanisms of control such as taxation. Perhaps his most famous idea is the one of the “invisible hand”, which as Chirot and Montgomery point out, appears only 3 times in his writing (20), but is considered the center of his thought. The “invisible hand” of the market refers to the patterns of demand and supply that consumers create with their consumption. These ideas made people realize the power of their actions with things even as simple as buying goods for their home. Smith also believed individuals should have the right to make all decisions affecting their material and moral lives, and that this would create a more fulfilling life and benefit all of society, by making it more “efficient, prosperous and free”. (4). At the time that he released these ideas, the prevailing forms of authority were very much the opposite of what he was