Invisible Hand
摘要
Adam Smith’s concept of the “invisible hand” is a foundational principle of liberal economics. This metaphor posits that individuals, unconsciously, contribute to the greater good while pursuing their self-interest. This entry explores the concept of the invisible hand through two of Smith’s major works, The Wealth of Nations and The Theory of Moral Sentiments, to elucidate the dynamics between self-interest and social harmony. The theological, moral, and economic dimensions of this concept are evaluated, and an examination of Smith’s tendency to perceive this mechanism as part of a divine order is conducted. The reflections of the invisible hand within the context of Islamic economics are also analyzed. The early Islamic scholars’ understanding of the market order, price mechanisms, and justice is associated with the invisible hand theory, and the distinctive market dynamics of Islamic economics are discussed. The analysis of Islamic practices in relation to market order is facilitated by the examination of the Medina Market, while the discussion of the relationship between the free-market mechanism and Islamic norms is undertaken. The entry’s findings indicate that, while the concept of the invisible hand is widely accepted as a fundamental principle of modern economic systems, significant points of divergence and compatibility exist between it and Islamic economics.