Political Science · Political Theory
Read the assertion and reason and select the correct answer from the codes given below:
Assertion (A): F.A. Hayek portrayed state intervention and collectivism, even in their moderate forms, as inevitably leading to an erosion of liberty.
Reason (R): He is a supporter of laissez-faire and an opponent of Keynesian economics and the welfare state.
ABoth (A) and (R) are true and (R) is the correct explanation of (A) ✓ Correct
BBoth (A) and (R) are true, but (R) is not the correct explanation of (A)
C(A) is true, but (R) is false
D(A) is false, but (R) is true
Correct answer: (A) Both (A) and (R) are true and (R) is the correct explanation of (A) — Both statements are true and the reason correctly explains the assertion.
Explanation
★Both statements are true and the reason correctly explains the assertion.
★Hayek argued in The Road to Serfdom that even moderate state planning slides towards the loss of liberty.
★He held that central control over the economy hands government dangerous power over individual lives.
★This warning follows directly from his commitment to laissez-faire and free markets.
★Because he opposed Keynesian demand management and the welfare state, he distrusted state intervention as such.
★So the reason, his market faith, is exactly why he saw collectivism as a threat to freedom.
★Hayek therefore tied liberty closely to the rule of law and a limited, non-interventionist state.
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