What is a key difference between classical liberalism and modern liberalism?

A key difference between classical liberalism and modern liberalism lies in their approach to government involvement in the economy and society. Modern liberalism tends to advocate for greater government regulation and intervention, especially to address issues like economic inequality and social justice. This contrasts with classical liberalism, which champions minimal government interference, promoting individual freedoms primarily through free markets and limited state control.

In modern liberalism, the belief is that government has a role in ensuring fairness and providing for the welfare of citizens, which can include regulation of industries and social programs aimed at protecting vulnerable populations. This perspective stems from the recognition that unregulated markets may not always lead to equitable outcomes for society as a whole.

Classical liberalism, on the other hand, emphasizes individualism and personal responsibility, largely supporting the idea that free markets should operate with limited constraints. It views government involvement with skepticism, believing it can stifle innovation and personal freedoms.

Understanding this distinction helps clarify how different strands of liberal thought address the balance between individual freedoms and the role of the state in society.