Classical liberalism is a political ideology and a branch of liberalism that advocates free market, civil liberties under the rule of law with an emphasis on minarchism, economic freedom and cultural liberalism. It was developed in the early 19th century, building on ideas from the previous century as a response to urbanization and to the Industrial Revolution in Europe and North America.

Notable liberal individuals whose ideas contributed to classical liberalism include John Locke, Jean-Baptiste Say, Thomas Robert Malthus and David Ricardo. It drew on classical economics, especially the economic ideas as espoused by Adam Smith in Book One of The Wealth of Nations and on a belief in natural law, progress and utilitarianism.

Until the Great Depression and the rise of Social Liberalism, it was used under the name of economic liberalism. As a term, classical liberalism was applied in retrospect to distinguish earlier 19th-century liberalism from social liberalism.

 

Note:   The above text is excerpted from the Wikipedia article Classical liberalism, which has been released under the GNU Free Documentation License.