Classical liberal economic system

The economic system is a classical liberal economics and political philosophy. At first discovered in a tradition of lighting or waivers that are limiting the boundaries of power and political power, which describes the sustaining freedom individu.Theory also be freeing the individual to act as they pleased according to their self-interest and allow all individuals to do the job without restrictions that will be required to produce the best results, which cateris paribus, or in other words, presents an object with a minimum limit can be attractive and liked by the public (consumers).
Sensible line of liberal economics has never been practiced by the schools in Austria with the form of an open democratic society. Understand liberali mostly used by countries in continental Europe and America. Just as in the UNITED STATES, recognizable liberal leftism as mild estabilished.
About the liberal economic
Liberal economic characteristics

    * All sources of production are owned by individual communities.
    * Society has given freedom in production resources.
    * The government does not intervene directly in economic activities.
    * Community is divided into two groups, namely group owner of productive resources and community workers (laborers).
    * Incurred competition in society, especially in making profit.
    * Activities are always considering the market situation.
    * The market economy is the basis for any action.
    * Usually the goods produced high-quality production.
Advantages and disadvantages of a liberal economy
Profit
There are several advantages of a liberal economic system, namely:

    * Grow initiative and the creation of society in regulating economic activity, because people no longer need to wait for a command / command from the government.
    * Each individual has free resources for production, which will encourage community participation in the economy.
    * Incurred competition to get ahead of community spirit.
    * Produce high-quality goods, because of the spirit of competition between communities.
    * Efficiency and effectiveness is high, because every action is based economy motive for profit.
Weakness
In addition there are advantages, there are also some weaknesses rather than a liberal economic system, are:

    * The occurrence of free competition that is not healthy.
    * Community-rich getting richer, the poor poorer.
    * Many of the public monopoly.
    * A lot of upheaval in the economy due to misallocation of resources by individuals.
    * Equity income is difficult, because the competition is free.
Application of liberal economics
America
Countries that embrace liberal in the American continent is the United States, Argentina, Bolivia, Brazil, Chile, Cuba, Colombia, Ecuador, Honduras, Canada, Mexico, Nicaragua, Panama, and Venezuela Paraguay.Uruguay. Today, less than liberalism also danut by country Aruba, Dominican Republic, Greenland, Grenada, Costa Rica, and Suriname
United States
Liberal in the United States (U.S.) called modern liberalism or the new liberalism. Now the political in the U.S. to admit, that the understanding of classical liberalism is related to a broad range of individual freedom. But they reject the laissez faire economic nature or classical liberalism that led to the unification of government interventionism in the form of social and economic equality. Generally, it was agreed during the first decade of the 20th century that the goal of achieving a political hegemony in negeri.Tapi, success begins to degenerate and disappear in about tahun1970's. At that time the liberal consensus has been faced with a death-blow or a form of collapse of the Bretton Woods system of government is due to Ronald Reagan's victory in the presidential election of 1980, which makes liberalism a strong current in U.S. politics in that year.
U.S. liberalism began to rise at the beginning of the 20th century as an alternative to real politics, which is the dominant interaction imternasional at that time. President Franklin Roosevelt who at the time was a sensible self-proclaimed liberal, offers the nation toward a new success by building a collaborative institution that berpendukungan American people themselves and promised to pull the U.S. out of the huge pressure. To anticipate the end of World War II, Roosevelt designed the (UN) as an instrument of hope for mutual cooperation rather than making war threats and the use of force to solve international political problems. Roosevelt also used the agency (UN) to enter the African people who live in America into the U.S. military as well as make the agency the right support and the truth of the women, as the emphasis on individual freedom which in turn followed by President John F. Kennedy to the construction of the statue Liberty (1964) as a symbol of individual freedom to live.
Statue of Liberty in New York, as a symbol of individual freedom
Actually, liberalism adopted by the United States, as emphasized by Wilson and Roosevelt is by emphasizing cooperation and mutual collaboration and individual effort, not by making threats and coercion as to solving political problems both inside and outside, apparently embraced by the current U.S. president This, George w Bush. A liberal in the U.S. it might be like political institutions and procedures that encourage economic freedom, protecting the weak from aggression by the powerful, and freedom from social norms are limiting. Because since World War II, liberalism in the U.S. have been associated with modern liberalism, classical liberalism ideology substitutes understand.
Europe
As action and reaction of the opposition of communism, Europe make a political understanding which berterminologi (including "socialism" and "social democracy"). But, they can not choose the United States with pahamnya it, because at that time Europe has not so familiar with liberalism adopted by the U.S.. But several years later before Europe realizes that liberalism embraced by the U.S.. That prompted Europe to a separate individual freedom that ultimately improve their own economic circumstances. Liberalism in Europe has a strong tradition. In European countries, liberals tend to call themselves as liberals, or as a democratic radical centrists.
Saxon countries such as liberal namely Albania, Armenia, Austria, Belgium, Bilgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, and others.
Asia
Countries that embrace liberal in Asia include India, Iran, Israel, Japan, South Korea, Philippines, Thailand and Turkey. Today many countries in Asia that began sensible liberal, include Hong Kong and Singapore.Kepulanan Oceania
State adopts liberal in the islands of Oceania is Australia and New Zealand.
Africa
Liberal economic system is still relatively new in Africa. Basically, liberalism only embraced by those who lived in Egypt, Senegal and South Africa.

People of liberal inventor

Niccolò Machiavelli
Niccolò Machiavelli (Florence, 1469-1527), is a character best known for its liberal views, Il Principe. He is the founder of realist political philosophy that supports the government of the Republic, the state army, division of power, protection of personal property, and restraining government spending as the freedom of a republic. He wrote extensively on the needs of individuals as an important characteristic as a stable government. He argued that the best individual freedom still needs to be protected by the government. And that people who can lead the law correctly only people who are all ambition and selfishness can be eliminated in maintaining the freedom of its own. He argues that realism is the central idea of the political class and give priority to freedom of the republic (individuals) under the principle.

Anti-static liberals see the main messages of Machiavelli's say that he was speaking on behalf of a strong state under a strong leader, who uses any intention to establish its position, while liberalism is an ideology of individual freedom and voluntary choices or optional. Some of her work is Il Principe and the Discorsi Sopra la -1513 Prima Deca di Tito Livio, 1512-1517.

Desiderius Erasmus
Desiderius Erasmus (Dutch, 1466-1536) was a prominent liberal who is known as being inhumane. He said that the community Erasmusian across Europe to some extent in response to the upheavals of reform. He is dealing with freedom of wills. In his De Libero Arbitrio Collatio Diatribe Sive (1524), he studied with the ingenuity and genius to remove the limitations of life as a statement of human freedom. Some of her work LOF d Zotheid, 1509 and De Libero Arbitrio Collatio Diatribe Sive, 1524.