Smith's Hidden Hand
Neo-classical economics holds that, left to themselves, markets will balance supply and demand relatively quickly. If equilibrium does not exist, it will exist in the future, provided obstacles to market functioning are cleared away. But this idea goes right back to the classical political economy of Adam Smith (and even earlier theorists).
Read more about this topic: Law Of Value
Famous quotes containing the words smith, hidden and/or hand:
“To found a great empire for the sole purpose of raising up a people of customers, may at first sight appear a project fit only for a nation of shopkeepers. It is, however, a project altogether unfit for a nation of shopkeepers, but extremely fit for a nation that is governed by shopkeepers.”
—Adam Smith (1723–1790)
“Impenetrable in their dissimulation, cruel in their vengeance, tenacious in their purposes, unscrupulous as to their methods, animated by profound and hidden hatred for the tyranny of man—it is as though there exists among them an ever-present conspiracy toward domination, a sort of alliance like that subsisting among the priests of every country.”
—Denis Diderot (1713–1784)
“If in madness of delusion, anyone shall lift his parricidal hand against this blessed union ... the arms of thousands will be raised to save it, and the curse of millions will fall upon the head which may have plotted its destruction.”
—Andrew Jackson (1767–1845)