Laissez-faire capitalism is an economic system in which transactions between private parties are free from government intervention such as regulations, privileges, tariffs, and subsidies.
Think of laissez-faire capitalism like a soccer game without a referee. The players (businesses) are free to play the game (market) however they want without any interference or rules set by a referee (government).
Free Market: An economic system in which prices are determined by unrestricted competition between privately owned businesses.
Supply and Demand: An economic model of price determination in a market. It postulates that in a competitive market, the unit price for a particular good will vary until it settles at a point where the quantity demanded equals the quantity supplied.
Deregulation: The process of removing or reducing state regulations typically in the economic sphere. It is the undoing or repeal of governmental regulation of the economy.
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