.."the government takes a hand-off approach to industry."
Hope this helps? Maybe next time, post the possible answers as well to the question.
After the end of the Civil war, the Republican party was left unchallenged in its authority over the country. It then started the process of Reconstruction of the South. This was faced by vehement opposition from the majority in the South that had supported the Confederate course. Those that supported these reforms were those that had been marginalized in the slavery system in the South. Others that supported the reforms projected to benefit from economic opportunities created by carpetbaggers looking to assert their authority in the south.
Well the term theocracy means a system of government where priests rule in the name of god, so your answer would be the second. Priests were part of the ruling class.
