INVISIBLE HAND
A term coined by Adam Smith, a Scottish moral philosopher and pioneer of political economy. His 1776 book, An Inquiry into the Nature and Causes of the Wealth of Nations, invisible hand refers to the natural phenomenon that guides free market capitalism via competition for insufficient resources.
According to Smith, every participant in a free market will attempt to maximize self-interest. Market participants’ interaction, resulting to exchanging goods and services, allows each participant to become better than merely producing for himself/herself. He added in a free market, regulation is not needed to make sure the mutually beneficial exchange of goods and services occur. The invisible hand would guide individuals to trade in the best mutually beneficial manner.
POPULAR TERMS
Commodity Futures Trading Commission - CFTC
Accelerated Amortization
SFC
Raider
Net Sales
POPULAR ARTICLE
SEE FOREX TUTORIAL
Principles of Trading: Introduction
Buying a Home: Closing the Deal
Income Sources for Creating Retirement Fund
An Introduction to Forex Currencies
Introduction to Ethical Investing
ECONOMIC CALENDAR
| Time | Country | Indices | Period |
|---|---|---|---|
| 07:00 | Leading Indicators | May | |
| 10:00 | Ifo Business Climate Index | Jul | |
| 10:00 | Ifo Current Assessment | Jul | |
| 10:00 | IFO - Expectations | Jul | |
| 10:00 | Private Sector Credit | Jun | |
| 10:00 | M3 Money Supply | Jun | |
| 12:00 | CBI retail sales volume balance | Jul | |
| 14:30 | Durable Goods Orders | Jun | |
| 01:01 | BRC Shop Price Index | Jul |
