Select the theory of economics which states that government should not play a role in business and supports the laissez-faire principle of "free to do."
a. communism
b. capitalism
c. mercantilism
d. socialism
The answer is B. It's capitalism. It's an economic system wherein the government of a country has no control over business. The one who has control over the country's trade and industry are the private business owners. Capitalism is also known as "free market economy"