Political Economic Systems

Unsurprisingly, I mostly agree with liberalism as the best form of an economic system. I believe people should be able to spend and earn money freely, without many restrictions. I believe people should be responsible for their own economic behavior and well-being, and the government should not interfere too much with this freedom. However, I do believe there should be a good balance between how much freedom the people have and how many restrictions the government sets. Finding this balance may be tricky, but if found, it will lead to, in my opinion, a very successful, economically strong nation. Acting freely with money (earning or spending) will lead to competition, which leads to innovation, which produces capitalism, or the system of production that is based on private ownership and free markets. Capitalism, in my opinion, with that right balance, is the key to a healthy economy. Taxation is an area where I'm conflicted. Liberalism states that taxation should be kept to a minimum, but I feel that things are never as simple as that. Now, I don't think people should be taxed everywhere, right and left, but certain taxes are important and helpful. This is an area, again, that needs a careful balance in order to produce success.

I agree that, as the book said, the government should act like a "watchman," overlooking the activities of the economy, making sure they don't get out of hand, but not interfering unless absolutely necessary.