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Economic Philosophy
Laissez-Faire Economics: This was an economic philosophy begun by Adam Smith in his book, Wealth of Nations, that stated that business and the economy would run best with no interference from the government.  This economic system dominated most of the Industrial Revolution, and resulted in the government taking a more active role in U.S. Business and the economy.

Government Reform
In the late 1800's the government decided to take a more active role in business and the economy.  The U.S. slowly moved away from the policy of laissez-faire, and more toward a mixed economy where the free market and the government shared power over the economy.