Final answer:
The term that reflected the belief in minimal government involvement in business is 'laissez-faire economics.' This was challenged in the early 20th century as government intervention increased to regulate growing corporate power and protect consumers and workers.
Step-by-step explanation:
The term that reflected the belief that the government should play a very limited role in business is laissez-faire economics. This approach, popularized in the United States during the late 1800s, advocates for minimal government interference in economic affairs, under the premise that private markets operate more efficiently on their own. Proponents of laissez-faire opposed government-established quality controls and believed economic cycles should run their course without government intervention.
The concept of laissez-faire was challenged in the early 20th century as growing corporate power led to diminished competition and public outcry. This led to a shift, with figures like President Theodore Roosevelt advocating for increased government regulation to prevent monopolies and protect workers and consumers. By the time of the New Deal in the 1930s, there was considerable increase in government involvement in economic matters, moving away from strict laissez-faire principles.