Question

Which phrase best illustrates the theory of

laissez-faire capitalism?
(1) businesses operating with little government
regulation
(2) the state establishing production quotas
(3) central planning committees setting prices on
goods
(4) decisions related to distribution being based
on community traditions

Answer 1

(1) business operating with little government regulation
laissez faire means hands off, meaning the government has no say in business
hope this helps!

Answer 2

Option 1.

Step-by-step explanation:

Businesses operating with little government regulation, is the right answer.

Laissez-faire is an economic arrangement in which deals between private companies are free from any kind intervention from the government side such as privileges, regulation, tariffs, imperialism and subsidies. At the same time, laissez-faire capitalism is a term that is used to describe an economy which has a little intervention from the government side.