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The notion of the invisible hand has been employed in economics and other social sciences to explain the division of labour, the emergence of a medium of exchange, the growth of wealth, the patterns (such as price levels) manifest in market competition, and the institutions and rules of society. The invisible hand is a key principle in understanding how a market system can efficiently allocate resources and coordinate economic activity without the need for central planning. The invisible hand in economics refers to the unseen forces that drive the free market economy
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Adam smith introduced the concept in his book “the wealth of nations.” It was first coined by the economist adam smith. The invisible hand of the market, a phrase invented by adam smith, is a common argument against government regulation
