History: Smith’s and Marx’s views on free-market capitalism

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Based on Smith’s and Marx’s views on free-market capitalism, Smith’s argument is more convincing since it reveals that individuals need the freedom to conduct their economic activities. Smith argues that individuals work so that they can gain and to achieve their self-interests (1). If everyone is given freedom so that they can exchange and produce goods, like in free trade, then their self-interests will also lead to the greater good of the larger society.
Government regulations can be very restrictive, and this would limit a person from achieving their goals. Generally, a person does not work to promote the public interest. Instead, this occurs unknowingly. The need to pursue self-interests is vital to attain a prosperous society since it means everyone works for the greater good of society. The invisible hand it a concept that means forces in the free market such as distribution approaches and automatic pricing of goods and services. This arises when individuals take part in economic activities without any external influence or regulations (Smith 2). The invisible hand entails macroeconomic forces that change with the market, such as loss and profits, selling, and buying, demand, and supply, which occur automatically.
These market forces influence how a person acts in a specific manner. Smith also reveals that no person would be willing to take part in economic activities for the public good. People are also free to conduct their economic activities without external influence, as long as they do not commit any crimes or break laws (Smith 1). If the government or an individual is...