"Adam Smith shows how ethics and economics go hand in hand"

How can leaders, managers, and professionals make decisions guided by conscience? How can we encourage ethical behavior in business and the workplace? And how can we address the moral shortcomings we all have as humans? In his new book, 'Het feilbare geweten' (The fallible conscience, only available in Dutch), Prof. Dr. Edgar Karssing tackles these questions through an imagined conversation with Adam Smith. “We’ve come out of a time when companies were expected to focus solely on profits. But in his writings, Smith actually rejected the ‘greed is good’ mindset of neoliberalism.”

Philosopher and economist Adam Smith is best known for his classic work on economics, Wealth of Nations (1776). But he also wrote an important book on ethics, The Theory of Moral Sentiments (1759). Karssing explains, “Smith becomes really fascinating when you look at these two books together. You start to see how ethics and economics can work together in ways that benefit everyone. While philosophers often read his ethics book, it hasn’t made its way into boardrooms or everyday workplaces. That’s a shame because Smith has a lot to teach us.”

Imperfect people in an imperfect world

Using short dialogues, modern reflections, and musings, Karssing brings Smith’s ideas to life, making ethics more practical in a world where making money also matters. “Smith wrestled with a timeless question: How can we live peacefully, freely, and prosperously in an imperfect world filled with imperfect people? Humans aren’t angels, but we’re not devils either. A perfect world might be out of reach, but we can still take steps in the right direction. Smith can help guide us there.”

Timeless wisdom for today’s challenges

Karssing believes Smith’s ideas, even after 250 years, are still highly relevant—especially if we read his economic and ethical works together. “We’re emerging from an era, often called neoliberalism, where businesses were told to focus only on maximizing profits. People often point to Adam Smith as justification for that, calling him the father of capitalism. But if you actually read him, that’s completely wrong. For Smith, the purpose of the economy was to improve everyone’s quality of life, with special attention to the poorest among us.”

“Our ability to live in peace, safety, and prosperity is under pressure,” Karssing continues. Problems like climate change, the housing crisis, geopolitical conflicts, a healthcare system at its breaking point, and political polarization are too big for governments to handle alone. Businesses have to step up and do their part too. Smith believed a market society that benefits everyone only works if we all approach our work with a sense of responsibility and conscience.”

For Adam Smith, conscience is a conversation with yourself

Karssing chose to write his book in a dialogue format for a reason. “I enjoy writing dialogues—it’s a style that works well for philosophers. Plato was writing in dialogue form over 2,300 years ago. But more importantly, this format matches the content. Smith had a brilliant way of describing conscience: as a conversation you have with yourself.”

“The dialogue format makes the book easier to read and more engaging. Plus, it’s practical. It includes tips and small exercises you can do on your own or with others to strengthen your conscience. In the final chapter, I also explain how organizations and professional groups can promote and support ethical behavior.”