Classical and Modern Liberalism

Liberalism can be defined as a way of maintaining human dignity. The source believes that this will be achieve through little government regulation and a market economy. Although concepts of individualism are necessary to achieve this desired dignity, too little regulation is unreliable and can be dangerous to an economy as seen in many events of the past. On the other hand, too much government control can be detrimental to an individuals pride, as it renounces principles of freedom. Keynesian economic principles contradicts those of Milton Friedman, as he believes that in times of inflation or recession, intervention is necessary to preserve stability within society.. Balance is necessary in a economy to avoid fluctuations and increase the prospect of sustainability. Therefore, in order to maintain a sustainable economy while promoting human dignity, we must diminish unstable classical liberalism, while establishing social programs, and embracing progressive ideas of modern liberalism or a welfare state.

Classical Liberalism is about freedom, individualism and self-interest. In theory, this concept sounds liberating, however as seen in past events, in practice, is unreliable and dangerous. During the time of the Industrial Revolution, the Nouveau Riche exploited their workers in order to maintain efficiency and utilize profits. They saw these goals as much more necessary than contentment amongst their workers. People were unhappy with this form of classical liberalism, as it diminished their human dignity rather than preserving it. Thus, the workers demanded equality and descent wages, along with better working conditions and non monetary rewards; also known as modern liberalism or a welfare state. However, many people still support classical liberalism, such as american economist, Milton Friedman. In his writings, he supported and created philosophies of monetarism, or supply-side economics. As an advocate of classical liberalism, his supporters believe in