Adam Smith's system rests of some form of moral and religious doctrine and in essence is guided by the idea that people would behave morally and that the invisible hand of the market would steer everything in the right direction. Unfortunately, people are not perfect and they would also pursue their interests by not so moral ways. They did not strive to advance the economy through new and better and cheaper products but sometimes they would do this through shady tactics. Therefore an fully unregulated market can increase the woes of mankind such as poverty.