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rewona [7]
2 years ago
15

List two factors that might explain why some economist support a laissez faire economic policy and other support economic interv

ention
History
1 answer:
Kitty [74]2 years ago
3 0

Answer:

Supporters of Laissez faire believe that this type of system promotes more incentives to trade and economic growth, in addition to encouraging freedom among companies.

Supporters of economic intervention, on the other hand, believe that the intervention promotes fairer and more equitable trade and allows new companies to become as influential as old companies, which will promote economic growth.

Explanation:

Economic intervention allows the government of a country to impose limits and interference in trade and the productive sector. These limitations prevent economically strong companies from dominating an entire productive sector, promoting more commercial fairness and allowing new companies to emerge in addition to allowing small companies to grow in the same sector as large companies.

Laissez Faire, on the other hand, discredits any government intervention in trade and this imposes freedom on companies and industries, which will allow full production and vast economic growth.

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