What is the greatest misunderstanding about economics and business in general? For me, it’s the commonly perpetuated view that “for-profit” and “for the public” are necessarily divergent and opposite viewpoints. Or it put it another way, that self-interest can’t lead to a common good.
That Smith’s central message, 200 years later, is still poorly misunderstood is rather astonishing if you think about it. What if we were as equally ignorant of scientific advances from 200 years ago?
And who is to blame? The public? The educators? Doesn’t anyone (apart from economists) think that in todays world, where issues of public good and interest, such as global warming, are high profile, think Smith’s insight is aplicable or relevant to these issues?
You have have guessed that I’ve jsut returned from holiday and the ensuing mild depression contributed to the above post/rant. But it is depressing that we’ve been having the same debate, without resolution or understanding, for 200 years.
Just think about it again.
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