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Which among the following is an incorrect statement ?

  • A.Negative liberty is the absence of obstacles
  • B.Classical liberal state makes a claim for private property
  • C.Modern liberal state advocates Laissez-faire economy
  • D.Maximum government is main feature of welfare state

Answer: C

The incorrect statement is that the modern liberal state advocates a laissez-faire economy.

Laissez-faire, the minimal state that leaves the economy to the market, was the creed of classical liberalism. Modern (welfare or social) liberalism, from T. H. Green and L. T. Hobhouse to Keynes, accepts state intervention to regulate the economy and provide welfare, so it rejects laissez-faire.

The other statements are correct: negative liberty is the absence of obstacles or constraints; classical liberalism upholds the right to private property; and the welfare state is a 'maximum' government compared with the classical minimal state.

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