Tag Archives: Invisible Hand

Happy Birthday, Adam Smith!

Who on earth is Adam Smith? He was an economist and he wrote, by far, the best book about economics, The Wealth of  Nations. A simple but focused book about the mechanisms and interrelations between money/wealth and people.
Incidentally we share the same birthday, just incidentally :).
I read economics books for the same pleasure that fairy tales give me..They are both realistic.
Fairy tales because the stories are the same with everyday life, you make a mistake, you pay and have to travel all over kingdoms to find the lost love of the prince (aren’t we all trying to find our love?)…or the prince gives a piece of his calf (part of the leg) as payment for the Ogre (Witch, Bird) to be crossed over to the other realm..we sacrifice a lot for our desires and we deeply yearn for the other “realm”and….. the simplest metaphor of love, if you kiss a frog it becomes a prince, your prince.
In economics there is a magic place where the Offer meets the Demand  which gives the price of it. “There is a price for everything”.
Adam Smith spoke of the Invisible Hand, metaphor or not, that is self regulation of the markets, without the intervention of the (sur)realistic State.
Utopian, but 90% realistic because we must admit we are but at a far cry (far away) from the first Utopia ever mention in fiction, the island of the Phaeacians (Ulysses).
Many Happy Returns of the Day, Adam Smith!