summarize Adam Smiths theory in your own words. In particular, what role do self-interest and competition play in the proper functioning of markets? Secondly, I want to know whether you agree with the text or not. There is no particular right or wrong answer. I want to get your opinion on whether or not markets operate as Adam Smith said they did. Basically, does his theory make sense?
I am providing two resources to help you learn about Adam Smith and his theory. There is first is the short text (attached here). This is taken from a book titled The Worldly Philosophers by Professor Robert Heilbroner. Note: Focus only on the text that begins with the first full paragraph on page 1 (the sentence “Adam Smiths laws of the market are basically simple”) and ends with the paragraph break on page 3 (after the sentence “Although the world in which we live is not that of Adam Smith, the laws of the market can still be discerned if we study its operations”).
In addition, below you will find the link to a 6-minute podcast about Adam Smiths theories from the Federal Reserve Bank of St. Louis-
Criteria for the assignment-
Minimum of 300 words and a maximum of 600. This amounts to 1-2 pages double spaced.