1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
VladimirAG [237]
2 years ago
12

Think about Laissez-Faire policies. Do you think the owners of these factories would like them? Why or why not?

History
1 answer:
julsineya [31]2 years ago
5 0

As I understand it, Laissez-faire ideology maintains that the "free market" is the best way to determine what businesses can and should do. This means that businesses, in competition with one another, should be free to determine their paths free from any government rules or regulations. The belief is that the competition among various businesses will ultimately result in the best outcomes for society in general - Adam Smith's "invisible hand". As part of this philosophy, workers should also be free to compete with each other and choose to work wherever they wish and this process will also result in the best results for the workers as well.

However, isn't there a huge assumption in this philosophy? Doesn't the whole justification of this belief depends on the condition that there is perfect competition and that any company and any worker have the equal ability to compete with one another?

What if there is no perfect competition? What if some companies have advantages - due to any of a whole array of reasons - that place them in a non-competitive position vis a vis their competitors? Without perfect competition then other companies are not necessarily able to compete with other companies that have certain advantages. If such a situation exists, then advantaged companies may have the ability to pursue a course that results in their private benefit, but not necessarily to the benefit of society as a whole. The same would apply to workers in that reduced competition among companies would result in decreased leverage for potential employees.

To recap, if the Laissez-faire ideology maintains the best economic policy for society as a whole, and it depends on there being perfect competition on an ongoing basis with minimal government intervention, doesn't it fall apart if there is less than the perfect competition?

You might be interested in
Why do you think Caesar did what he did that caused the Senators to become so angry?
Butoxors [25]
Caesar had been recently named “dictator in perpetuity” of the Roman Republic. Ongoing tensions between Caesar and the Senate, amid fears that he also planned to claim the title of king, overthrow the Senate and rule as a tyrant, were the principal motives for his assassination. Personal jealousies also came into play
4 0
3 years ago
The table shows data by country from the 2011 Human Development Index.
AURORKA [14]
Can you show the data please
8 0
3 years ago
Read 2 more answers
Which country performed its last execution by guillotine in 1977?
NeX [460]
Answer:

France

Explain:
6 0
3 years ago
The Jamestown Colony was saved by the leadership of John White John Smith Sir Walter Reliegh
EleoNora [17]

the answer is: John Smith :)

3 0
3 years ago
Read 2 more answers
Women after World War I did all of the following EXCEPT:
igor_vitrenko [27]
C.manage the household
7 0
2 years ago
Other questions:
  • To determine whether a piece of historical evidence is reliable, historians
    8·2 answers
  • Which period is characterized by a renewed curiosity in the arts, sciences, and in philosophy?
    7·2 answers
  • How did nationalism play a part in Europes competition to colonize Africa and Asia
    10·1 answer
  • Read the summary.
    8·1 answer
  • Confederate ships that broke through the North's line of defense were called a. schooners. c. clippers. b. ironsides. d. blockad
    6·2 answers
  • What is a corporation?
    11·1 answer
  • Please I need help I need to pass
    14·2 answers
  • take on the role of George Washington to formulate a written response to the battle of Great Meadows. This response needs to be
    5·1 answer
  • Why was Phillis Wheatley able to share her talents with the world?
    10·1 answer
  • Did taiwan sign the comprehensive test ban treaty?
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!