Laissez-faire capitalism is best described as which statement?

• A. A system where only the public sector operates.
• B. A system with private ownership and minimal government interference.
• C. A system with heavy government planning.
• D. Government owns means of production with heavy regulation.

Answer: (B)

Laissez-faire capitalism centers on private ownership of resources and very limited government involvement in economic decisions. Markets allocate goods and services through voluntary exchange and competition, with the state mainly protecting rights and enforcing contracts rather than directing production.

That makes the description of private ownership with minimal government interference the best fit. The other statements imply public ownership, heavy state planning, or extensive government control, which contrast with laissez-faire principles.