Neoliberalism is an economic and political philosophy that emphasizes the importance of free markets, individual entrepreneurship, and limited government intervention in the economy. It advocates for deregulation, privatization of state-owned enterprises, and reducing public spending to promote economic growth and efficiency. This approach gained prominence in the late 20th century, particularly during the leadership of figures like Margaret Thatcher in the United Kingdom and Ronald Reagan in the United States. Proponents argue that neoliberal policies lead to increased competition and innovation, while critics contend that they can exacerbate inequality and undermine public services.