Free Market

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Free Market

A system of economics that minimizes government intervention and maximizes the role of the market. According to the theory of the free market, rational economic actors acting in their own self interest deal with information and price goods and services the most efficiently. Government regulations, trade barriers, and labor laws are generally thought to distort the market. Proponents of the free market argue that it provides the most opportunities for both consumers and producers by creating more jobs and allowing competition to decide what businesses are successful. Critics maintain that an unfettered free market concentrates wealth in the hands of a few, which is unsustainable in the long term. In practice, no country or jurisdiction has a completely free market. See also: Deregulation, Classical economics, Keynesian economics, Marxism, Monetarism, Chicago School, Austrian School.
References in periodicals archive ?
Sarkozy, who espoused an American-style free-market capitalism, has long advocated rules to make it easier to fire employees.
The near collapse of free-market capitalism and, in particular, the opportunities it presents to the young, has created a generational sense of disillusionment.
Wynn said Perry's attacks on Romney's time at the helm of the private equity firm Bain Capital had crossed the line in a political party that values free-market capitalism.
Free-market capitalism was most significantly responsible for the growing economic inequality that split earners into the few haves and the many have-nots, which today has born bitter fruit in the "Occupy" demonstrations cropping up throughout the country.
Egypt shows what happens when a country adopts free-market capitalism without developing real rule of law and institutions.
Anyway, at best democracy is a liberal mirage, and unregulated free-market capitalism is a liberal illusion.
Communist China which had discovered the practical virtues of markets a decade earlier, accelerated its march toward free-market capitalism without, of course, ever acknowledging that that was what it was doing.
Indeed, he argues, certain safety-net programs are essential if free-market capitalism is to flourish.
20 (ANI): United States lawmaker Sarah Palin has stressed the importance of Indo- American ties, in a speech she gave on her visit to India, saying they are based on the shared values of freedom and free-market capitalism.
In his newest book, Ian Bremmer argues that state capitalism differs from free-market capitalism in that politics rather than profit is the main driver for decision-making.
She devotes full chapters to discuss at length the implicit policy of destroying economies to rebuild them in the muld of free-market capitalism and, in the process, allowing the politically connected firms to accumulate wealth.
Is free-market capitalism still a sound theory on which to base our economy?