Abstract
Purpose – This chapter makes a case for Adam Smith’s description of the market as a moral exemplar. More specifically, it argues that the behavior of the individual agents who inhabit Smith’s market is indeed morally exemplary. Methodology/approach – The basis for this argument is that economic self-interest drives market participants to look beyond any inherent prejudice or tendency to discriminate on the basis of preconceived opinions or beliefs. Some historical context is provided that illustrates conservative opposition to this perspective from unlikely sources. A simple moral framework is created to provide one possible representation of Smith’s interpretation of the market. In this framework self-interest is characterized as a ‘‘trump’’ that overcomes potential prejudices. It is further argued that this framework can be considered a moral exemplar, and that it is also important in facilitating exchange between participants. Findings – The central argument is tested when the self-interest criterion is exposed to competition from the alternative moral value of altruism. The moral framework presented, and the principle of economic self-interest in particular, is resilient against this moral challenge. Social implications – The social implications of this argument relate directly to our normative understanding of how individuals should behave in a market context. The chapter establishes a link between this moral framework and the functioning of the market.
Original language | English |
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Title of host publication | Moral Saints and Moral Exemplars |
Editors | Michael Schwartz, Howard Harris |
Place of Publication | U.K. |
Publisher | Emerald |
Pages | 5-25 |
Number of pages | 21 |
ISBN (Print) | 9781783500741 |
DOIs | |
Publication status | Published - 2013 |