Neoliberalism Vs Liberalism

The word ‘neoliberalism’ itself would suggest that the neoliberal ideology contains some particular account of the development of the liberal ideology, or at least that they come from the same family tree. Thorsen and Lie (2009) suggests that liberalism grew to be an influential political ideology from when it began but at some point it lost its significance, only to re-emerge in the twenty-first century in a new form. When Liberalism first emerged around the time of Adam Smith and his book ‘The Wealth of Nations’ in 1776, liberalism appeared to be revolutionary but the charm soon faded so much that the term neoliberalism had to be coined, according to Thorsen and Lie (2009).

There are comparisons to be made with the ideals of both liberalism
and neoliberalism. Liberalism advocates minimum regulations from government. Neoliberalism also abides by this idea by advocating for the abolition of government control and interventions (this is not of primary concern for neoliberals but it is a part of their ethos). The liberal and neoliberal opinion of the markets is another ideal they have in common. Liberals trust the ‘free hand’ of the market and few interventions from the government in market economies. Neoliberals and their concept of economics also propose free markets and allow the rule of markets to dictate the development of economies (Shaikh, 2004).