Economic liberalism vs. laissez faire capitalism

[politicus]

I recently saw an article attempting to divide economic liberalism and laissez faire capitalism. It is different from how we usually use those terms, but sort of fits the US model with the Republicans as laissez faire capitalists and at least the more principled people in the Democratic party as economic liberals. Do you agree with the definition of economic liberalism below?

Laissez faire capitalism: Private actors should be allowed as huge profit as possible through market transactions with other private actors. State interference in the market is an absolute evil.

Economic liberalism: Wants a free market, which is not characterized by as little government interference as possible, but by free competition.
Ensuring free competition may in practice mean a great deal to government regulation, for example to fight monopolies. A free market requires three factors:

1) All businesses have a relatively small market share, so they aren't able to fix the price of their products, but are forced to accept the market price.

2) All industries are genuinely open to new entrepreneurs.

3) Customers have complete information about a product and its price.

Even if a perfect free market is practically impossible Liberals fight for market conditions that come as close to this ideal as possible.

Creation and maintenance of a free market implies strict antitrust laws targeting not only monopolies but any kind of market dominance; high taxes on inheritance tax (and other family transfers) and combating the current marketing culture where branding and advertising campaigns seem to have undermined the ideal of real product information. So:

a) The government should implement strict anti-trust legislation and enforce it diligently.

b) The requirement that all industries should be open to new contractors fits well with another liberal core value, namely the idea of equal opportunities. A well-functioning market is driven by talent and industriousness. So it should be secured through taxation of inheritance etc. that it is not ones families financial circumstances that determine one's potential for commercial success.

c) Full information about price and product is one of the pillars of a free market, because it is a necessary condition for competition. Access to full information about the product and price should also be a liberal cause. It is far from the case today where the market is driven by manipulative marketing. This can be met by either a general restriction of the possibility to market products or  tightening of marketing regulations.

d) In a free (ideal) market corporate profits are close to zero because of stiff competition. High profits should be regarded as signs of illness in the market and the government should scrutinize the industry said company operates in for possible market failures.

[🐒Gods of Prosperity🔱🐲💸]

Neither party in the US can be said to support either of these if you look at the current state of affairs.  Subsidies rig the market, and laws support cartel regulations in many industries that mean the idea that they are open to new entries is very far from the truth.

The large inheritance tax is at cross purposes to opposing monopolies, since you are taking away the family businesses and leaving public companies alone.

Why would a truly competitive market mean profits are close to zero?

[politicus]

Neither party in the US can be said to support either of these if you look at the current state of affairs.  Subsidies rig the market, and laws support cartel regulations in many industries that mean the idea that they are open to new entries is very far from the truth.

The large inheritance tax is at cross purposes to opposing monopolies, since you are taking away the family businesses and leaving public companies alone.

Why would a truly competitive market mean profits are close to zero?

Nah, it only fits a very theoretical model of what the US parties stand for in principle, or what they claim to stand for.

The second point would assume the existence of public companies outside of natural monopolies, where competition could not function anyway.

Regarding the third point they are presumably referring to this:

http://en.wikipedia.org/wiki/Perfect_competition#Profit