Laissez-faire refers to a free market economic policy where the government has no control over the economy. It is a French term which means to "let it be".
Capitalism in its pure form is a laissez-faire economic system. During the late 19th century, the US practiced laissez-faire capitalism. The government had no regulations on the economic system and employers were allowed to run their businesses as they wished. In a free system like this there are opportunities to become very wealthy but workers are often exploited.
