A policy that first appeared during as a retaliation to mercantilism. It is a belief that states that the government shouldn't interfere in industrial monetary affairs. It favors capitalist self-interest, competition, and customer preference.
The doctrine or system of government non-interference in the economy except as necessary to maintain economic freedom. Ronald Reagan and Margaret Thatcher were great believers in laissez-faire economics.
The term "laissez-faire" is used to describe an economic system where the government intervene as little as possible and leave the private sector to organise most economic activity through markets. Classical economists were great advocates of a laissez-faire system with minimal government intervention. They believed free markets were the best organisers of economic activity.
Laissez-faire means literally "to let alone." The phrase is commonly used to refer to a policy of no governmental interference in the economy or one's personal pursuit of material wealth. In practice, it opposes governmental regulation, but has no quarrel with government promotion of, or aid to, economic development.
Laissez-faire or laisser-faire is short for laissez faire, laissez aller, laissez passer, a French phrase meaning "let do, let go, let pass." From the French diction first used by the eighteenth century physiocrats as an injunction against government interference with trade, it became used as a synonym for strict free market economics during the early and mid-19th century. It is generally understood to be a doctrine that maintains that private initiative and production are best to roam free, opposing economic interventionism and taxation by the state beyond that which is perceived to be necessary to maintain peace, security, and property rights.