Final answer:
Adam Smith influenced the early American economy by advocating for a laissez-faire economic system, which contributed to the foundation of capitalist practices and opposed mercantilist trade restrictions.
Step-by-step explanation:
Adam Smith's ideas influenced the development of the early American economy by advocating for a laissez-faire economic system. Smith's fundamental belief was that the economy works best when it is left to operate with minimal government interference. His focus on the importance of a free market and the 'invisible hand' that guides supply and demand highlighted the benefits of trade liberalization and competition. These ideas laid the groundwork for the capitalist economy and opposed the previous mercantilist model that promoted heavy government intervention in trade and commerce. Therefore, the answer to how Adam Smith's ideas influenced the development of the early American economy is c) Advocating for a laissez-faire economic system.