This is misleading. Adam Smith presented this as a possible solution to an economic paradox at the time. But later philosophers came up with much better solutio

This is misleading. Adam Smith presented this as a possible solution to an economic paradox at the time. But later philosophers came up with much better solutions: https://en.wikipedia.org/wiki/Paradox_of_value https://en.wikipedia.org/wiki/Paradox_of_value There's no reason to believe that Smith wouldn't have latched onto the much better solution. So being hell-bent on the incomplete answer from the 1700s is a unique peculiarity of Marxist theory.