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The Three Functions of Government – Milton Friedman on State Role and Freedom

„Government has three primary functions. It should provide for military defense of the nation. It should enforce contracts between individuals. It should protect citizens from crimes against themselves or their property. When government-- in pursuit of good intentions tries to rearrange the economy, legislate morality, or help special interests, the cost come in inefficiency, lack of motivation, and loss of freedom. Government should be a referee, not an active player.“

Milton FriedmanMilton Friedman's analysis of government's three primary functions and warning against excessive state regulation of economy and morality.
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Milton Friedman was an American economist and a leading figure in the field of monetarism.

Friedman's statement reflects his classical liberal conception of government's role. It emphasizes the limits of state intervention and warns against unintended consequences of economic and moral regulation.


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Milton Friedman quote image about the three primary functions of government, freedom, and the role of the state

Milton Friedman (1912–2006) was an American economist and Nobel laureate, renowned for his contributions to microeconomics, monetarism, and his advocacy of free-market policies. He influenced economic policy in the US and worldwide.

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