Economy

Question 1

What is the term for capitalism that emerged in Europe in the seventeenth century?

Answer 1

liberalism

Liberalism is characterized by its emphasis on private property and individual rights.

Question 2

What are the two key aspects of liberalism?

Answer 2

1. Private property as a natural right
2. Economic liberalism through capitalism

These aspects shape liberal ideology and its approach to society and the economy.

Question 3

What does individualism mean in the context of liberal ideology?

Answer 3

Individual needs should be at the heart of political thought, economic life, and social organization

Individualism emphasizes the importance of diverse, individual lives.

Question 4

What are the three goals liberal politicians seek to maximize related to individualism?

Answer 4

• Self-determination
• Self-realisation
• Self-fulfilment

These goals reflect the liberal commitment to improving individual lives.

Question 5

How does liberalism view private property?

Answer 5

As a natural right

This belief underpins liberalism’s support for capitalism.

Question 6

Who is the liberal economist associated with the theory of markets?

Answer 6

Adam Smith

Adam Smith’s seminal work is ‘The Wealth of Nations’ published in 1776.

Question 7

What economic system do liberals support due to their belief in private property?

Answer 7

Capitalism

This support for capitalism distinguishes liberalism from many forms of socialism.

Question 8

True or False: Liberals and socialists share many assumptions and objectives.

Answer 8

True

Despite their shared criticisms, liberals defend a market-based economy.

Question 9

Fill in the blank: Economic liberalism is often described as _______.

Answer 9

capitalism

This highlights the connection between liberalism and market economies.