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markitect-main/examples/infospace-with-history/output/entities/natural-liberty-in-banking.md
tegwick 05711e541d infospace: process book-2-chapter-02
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<!-- generated: provider=openrouter model=arcee-ai/trinity-large-preview:free date=2026-02-19 source=book-2-chapter-02 -->
# Natural Liberty in Banking
## Definition
The principle that banking should be free from excessive regulation, allowing individuals to engage in banking activities as they choose, provided basic safeguards are maintained. Smith argues this freedom promotes efficiency and security.
## Source Chapter
Book II, Chapter 2
## Context
Smith defends the freedom of banking from excessive regulation, arguing that natural liberty in this sphere promotes both efficiency and security. He compares banking regulation to building regulations that prevent fire spread.
## Economic Domain
Regulation
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