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Thank you We sneak and here's your shmoop use your

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brought to you by lazy fare a carnival for the

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faint of heart all of the following her true about

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laissez faire economic theory Except what all rights Contrary to

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emphasize that smith All right we know we know this

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is a p u s government Why are we asking

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questions about economic theory Well ever noticed that the president's

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approval ratings tend to go up is the economy improves

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huh And that they tanked when the economy is running

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on empty Well that's because surprise surprise people tend to

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care about their financial situation And when things aren't going

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so well they turned the blame squarely at the oval

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office Now people tend to have a whole bunch of

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thoughts on what kind of action the government should be

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taking when dealing with the economy So let's See what

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followers of laissez faire would bring to the party is

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less a fat economic theory be contrary to the principles

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of the new deal we'll face with the great depression

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President roosevelt decided that government spending on new work and

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welfare programs might help turn things around laissez faire economists

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However believe that the government should do virtually nothing to

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affect the course of the economy so they would have

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preferred no deal to the new deal was let's say

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fast central to de the government's approach to the economy

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during the nineteenth century Absolutely laissez faire economics was developed

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in part by economist adam smith author of the wealth

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of nations and was quite popular in the nineteenth century

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Laissez faire eventually lost fair ball to kinsey in economics

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developed by john maynard keens who believe that the government

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should run deficits in bad times The pump money into

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the struggling economy sound familiar well that's because cane's ian

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thought had a visible hand in influencing fdr new deal

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programs which means that laissez faire is not a contrary

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to the principles of modern fiscal policy Modern conservative economists

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disagree with king's ian's on the amount of government spending

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needed in recessions but virtually no politicians think the government

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should do nothing about the economy in bad times So

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is the correct answer Just because politicians agree they should

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do something however doesn't mean they agree on what that 00:02:19.168 --> [endTime] something should be Their elected officials know not magicians

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