The political-economic theories of Adam Smith and Karl Marx – BusinessMirror
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Two titans, one eternal debate: Adam Smith's invisible hand vs. Marx's class struggle reveals why every economic system still fights the same war over who gets what and why.
Invisible HandHistorical MaterialismClass StrugglePolitical Economy
Theory Briefing
- Smith's 'invisible hand' argued free markets naturally allocate resources efficiently, making self-interest a public good.
- Marx's historical materialism predicted capitalism's class contradictions would inevitably collapse the system from within.
- Comparing both frameworks exposes the core tension in modern economics: voluntary exchange vs. structural exploitation.