ABSTRACT
The fundamental economic ideas of Classical Liberalism derive, for the most part, from the work of Adam Smith. Smith's description of free trade as the "system of perfect liberty" highlights the close connection between the political and economic ideas of Classical Liberalism. Like liberal political ideas, Smith's preferred economic policies are designed to set the individual free to achieve what he can in life, unencumbered by unnecessary government supervision or regulation. With the success of the American and French Revolutions, the political ideas of Classical Liberalism came to be more and more widely discussed by educated Europeans. The French political thinkers Baron de Montesquieu and Alexis de Tocqueville further developed these ideas of liberty and representative government. Contemporary progressive liberals also, unlike socialists, still favor the free enterprise system and the operation of the market as the best basis of a prosperous society.
