Adam Smith and Karl Marx are both economic philosophers their economic theories were similar but differ in certain ways as well. Both have similarities in their ideology, "Both individuals sought to attain a stable economy and government and to reduce class tensions by ensuring a larger middle class. While Smith and Marx supported completely different approaches to achieve these ends, neither of their proposed systems proved to be completely infallible."
Adam Smith was a Scottish moral philosopher who became famous for his book, called, “The Wealth of Nations” it had an influence on economics and of individual freedom. Adam Smith believed that people are naturally selfish. They will do whatever they can to achieve more if they have personal positive influence. They dont care about other people but will benefit other people by their own contribution to the economy. Adam Smith came up with “The invisible hand”, he used this quote to show how someones own intrest can guide the most useful resources in a nation's economy. "Smith argued that state and personal efforts, to promote social good are ineffectual compared to unbridled market forces." However, Karl Marx was a German philosopher, political economist, historian, political theorist, sociologist, communist, and revolutionary, whose ideas played a role in the development of modern communism and socialism. Karl Marx differs because he is an idealist,he believed that people work for the greater good, have no incentives and prefer to have every part of their lives controlled by the state with guaranteed free housing, healthcare, and education. Marx argued that capitalism, would eventually produce internal tensions which would lead to its destruction. He also argued for a systemic understanding of socio economic change, and that the structural contradictions with capitalism is going its end, giving way to socialism. He stated that capitalism will end through the organized actions of an international working class "Communism is for us not a state of affairs which is to be established, an ideal to which reality will have to adjust itself. We call communism the real movement which abolishes the present state of things. The conditions of this movement result from the premises now in existence." Marx believed that a severe crises would ruin this cycle of growth and collapse. He also believed that in the long term this process would necessarily help the capitalist class. He believed that if the lower social class were to seize the means of production, they would encourage social relations that would benefit everyone equally. Marx ideas and the ideology of Marxism had a major influence on workers movements after his death. Politically, as you see they differ in many ways.
Works Cited- Smith Vs Marx http://www.bookrags.com/essay-2006/3/8/155715/3865
Adam Smith Philosopher- http://www.lucidcafe.com/library/96jun/smith.html
Karl Marx- http://www.en.wikipedia.org/wiki/Karl_Marx