Conservatism - Neo-liberalism 1.2 Flashcards
summary in 4 points neo-liberalism
-minimal state
-self-reliant/rational individuals
-rejection of collectivism
-elimination of state intervention
what do conservative economist Milton Friedman and Freidrich Hayek believe
‘the free market is the only mechanism which can fulfill supply and demand and achieve prosperity’
what do neo-liberals believe state intervention does
creates these problems and makes them worse
what are the three main evils for neo-liberals
-inflation
-government
-monopolies
why are MONOPOLIES bad for neo-liberals
reduce economic competition
what is INFLATION bad for neo-liberals
reduces economic activity and investment ( only time the government can help in economics)
what is monetarism
inflation reduced by controlling spending through cutting public spending
what economics do neo-liberals adopt then?
-keynesianism
-‘supply side’
how can individual liberty and freedom be contained
opposing collectivism and rolling back of the state
what do neo-liberals critise the most
the welfare estate (created a dependency culture)
