Economic Liberalism was first fully formulated by Adam Smith, who advocated minimal interference of government in a market economy, as opposed to Keynesian and centrally planned economic views which support taxing and deficit spending to control consumption.
In a free economy, certain players have larger ‘slices’ of pie than others since there is a clear and concise inequality of wealth.
They explain, then, that the optimal solution is to expand the size of the pie so that the share proportions remain the same but result in larger overall wealth.
This phrase supports a more liberal economic view in which savings and investments are encouraged rather than consumption and government spending to increase long term growth.
[4] This phrase receives criticism from like-minded classical liberal advocates who stress that it suggests there is an inherent level of wealth present in a society in which individuals are entitled.