Explain the concept of laissez-faire in capitalism.

Economics Capitalism Questions



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Explain the concept of laissez-faire in capitalism.

Laissez-faire is a concept in capitalism that advocates for minimal government intervention in the economy. It promotes the idea that the economy should be left to operate freely without government regulations or interference. According to laissez-faire, individuals and businesses should have the freedom to make their own economic decisions, pursue their own self-interests, and engage in voluntary transactions without government intervention. The belief is that this hands-off approach will lead to economic efficiency, innovation, and overall prosperity.