Law and the Invisible Hand
A Theory of Adam Smith's Jurisprudence

A contemporary interpretation of Adam Smith's work on jurisprudence, revealing Smith's belief that progress emerges from cooperation and a commitment to justice.

Robin Paul Malloy (Author)

9781108812702, Cambridge University Press

Paperback / softback, published 18 November 2021

225 pages
22.8 x 15.2 x 1.2 cm, 0.31 kg

'… the book is, as a whole, both a rigorous study of the work of Adam Smith and an ambitious experiment to refect, in the thought of a master of the past, tensions and contradictions of the present.' Luca Arnaudo, History of Economic Ideas

A contemporary interpretation of Adam Smith's work on jurisprudence, revealing Smith's belief that progress emerges from cooperation and a commitment to justice. In Smith's theory, the tension between self–interest and the interests of others is mediated by law, so that the common interest of the community can be promoted. Moreover, Smith informs us that successful societies do at least three things well. They promote the common interest, advance justice through the rule of law, and they facilitate our natural desire to truck, barter, and exchange. In this process, law functions as an invisible force that holds society together and keeps it operating smoothly and productively. Law enhances social cooperation, facilitates trade, and extends the market. In these ways, law functions like Adam Smith's invisible hand, guiding and facilitating the progress of humankind.

1. Introduction: law's invisible hand
2. Setting the stage
3. Social organization in the informal realm
4. Social organization in the formal realm
5. Integrating the informal and formal in Smith's theory
6. The spectator view
7. Judgment and justice
8. The sentiment of common interest
9. The impartial spectator, homo-economicus and homo-identicus
10. Understanding the four stages of progress
11. Adam Smith in American law
12. Parting thoughts.

Subject Areas: Jurisprudence & general issues [LA], Economics, finance, business & management [K]