Question

According to Adam Smith, acting on self-interest benefits society as a whole. Explain his argument in your own words.

Answer 1

Answer: The invisible hand

Explanation: if individuals are allowed to pursue their own selfish interest, the world will be as if guided by invisible hand. Because it is not the benevolent of the baker to bake bread but knew that people will definitely demand for his product. If individual is allowed to act on their selfish interest, the society as a whole will benefit from it.

Answer 2

Self-interest, rightly understood, is a strong force for good in our society, as what benefits one person often benefits the entire community, or even society, at-large. ... This would include education, national defense and an internal national mechanism to protect people from others in society who might prey on them