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To What Extent Has Modern Liberalism Departed from the Ideas of Classical Liberalism?

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To what extent has modern liberalism departed from the ideas of classical liberalism?
The further development of industrialisation led to social and economic inequality. This led to a revision of classical liberal ideas to prevent the spread of ignorance and poverty. It is suggested that modern liberals have betrayed classical liberal ideas as they embrace collectivism and diverge from classical liberalism on issues such as freedom. However, it can be argued that modern liberals have simply built on classical liberal ideas such as its commitment to the individual.
One area in which it is suggested that modern liberalism has departed from classical liberalism is individualism. Classical liberals believe in egoism, that individuals are rational self-interested creatures who have a pronounced capacity for self-reliance. Thus, they are influenced by Jeremy Bentham and utilitarianism which is the idea that individuals take decisions and moral action based on self-interest; that which maximises the individuals pleasure and minimises pain. He argued that ‘it is the greatest happiness of the greatest number that is the measure of right and wrong’. They view society as atomistic, the idea that it is simply a composition of largely self-sufficient individuals. Thus, they disagree with paternalistic conservatism strongly as each individual can perceive their interests and its consequence. In practise, Classical liberals have supported a free market with minimum government intervention as advocated by Libertarian Adam Smith and Hayek to promote choice for employees, employers and consumers and self-reliance. This approach rejects the use of protectionism and government policies to ‘manage’ the economy.
Modern Liberals however believe in individuality. This means to achieve self-fulfilment through the realisation of one’s potential and unique abilities. They believe that

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