In what situation does Adam Smith's 'invisible hand' not work?

The “invisible hand” was Adam Smith's metaphor for the ability of competition among self-interested producers to guide their efforts toward satisfying the needs of consumers and promoting national prosperity more generally. read more

The “invisible hand” was Adam Smith’s metaphor for the ability of competition among self-interested producers to guide their efforts toward satisfying the needs of consumers and promoting national prosperity more generally. read more

Adam Smith suggested the invisible hand in an otherwise obscure passage in his Inquiry Into the Nature and Causes of the Wealth of Nations in 1776. He mentioned it only once in the book, while he repeatedly noted situations where “natural liberty” does not work. read more

Invisible hand theory of Adam Smith. One of the greatest contributions of Adam Smith was the invisible hand theory. He said that if the government doesn’t do anything, there’s a controlling factor of people themselves who can guide markets. read more