Question

How does adam smith describe a successful interaction between a buyer and a seller?

Answer 1

Adam Smith describes a successful interaction between a buyer and a seller by introducing the concept of the 'invisible hand', which refers to the self-interested behavior of individuals in a market system leading to positive social outcomes.

Step-by-step explanation:

Adam Smith, in his book The Wealth of Nations, describes a successful interaction between a buyer and a seller by introducing the concept of the 'invisible hand'. According to Smith, when buyers are looking for the best deals and businesses are motivated to provide goods and services that meet consumer needs, a market economy functions efficiently. The 'invisible hand' refers to the self-interested behavior of individuals in a market system leading to positive social outcomes, such as economic growth and improved standards of living.

Answer 2

As indicated by Smith, the aggregate wants of the apparent multitude of individual buyers and sellers in a free economy work normally to achieve:

Step-by-step explanation:

As indicated by Smith, the aggregate wants of the apparent multitude of individual buyers and sellers in a free economy work normally to achieve: Production of the most wanted and helpful merchandise in the most proficient way conceivable, since the seller who most effectively does this picks up the best piece of the pie and incomes.