Quote by Vernon L. Smith

“Samuel Gregg: Smith’s experiments have also provided considerable evidence that, as he wrote in a 1994 paper, “economic agents can achieve efficient outcomes which are not part of their intention.” Many will recognize this as one of the central claims of The Wealth of Nations, the book written by Smith’s famous namesake two and a half centuries ago. Interestingly, Adam Smith’s argument was not one that Vernon Smith had been inclined to accept before beginning his experimental research. As the latter went on to say in his 1994 paper, fey outside of the Austrian and Chicago traditions believed it, circa 1956. Certainly, I was not primed to believe it, having been raised by a socialist mother, and further handicapped (in this regard) by a Harvard education.” Given, however, what his experiments revealed about what he called “the error in my thinking,” Smith changed his mind. Truth was what mattered—not ego or preexisting ideological commitments.”

Quote by Vernon L. Smith