According to Adam​ Smith, which of the following is necessary for the proper functioning of the market​ system?
a. For markets to​ work, people should take into account how their decisions affect society as a whole.
b. For markets to​ work, the government should help citizens make the right decisions.
c. For markets to​ work, people must be free to pursue their​ self-interest.
d. For markets to​ work, people and the government need to coordinate their decisions.

Respuesta :

Answer:

The correct answer is the option C: For markets to work, people must be free to pursue their self-interest.

Explanation:

To begin with, Adam Smith was a Scottish economist, philosopher and author known as ''The Father os Economics'' and whose works established the basics of today's economics.

To continue, in Smith's most known classic work, ''An Inquiry into the Nature and Causes of the Wealth of Nations'', he established the concept called the ''invisible hand'' that states that in order to the economy to work properly, the people must be free to pursue their self-interest products without no restrictions from the government.