Question -
Answer -
Adam Smith and other thinkers developed the ideas of modem economics. It is based on the idea that the economy can be studied as a separate part of society that operates according to its own laws, leaving out the larger social or political context in which market functions. On the other hand, sociologists have tried to develop an alternative way of studying economic institutions and processes within the larger social frameworks. Sociologists view markets as social institutions that are constructed in culturally specific ways. For example, markets are often controlled or organised by particular social groups or classes, and have specific connections to other institutions, social processes and structures.
Sociologists often express this idea by saying that economies are socially ‘embedded’.