A free market is a market where the price of a good or service is, in theory, determined by supply and demand, rather than by governmental regulation. A free market contrasts with a controlled market or regulated market, where price, supply or demand are subject to regulation or direct control by government. An economy composed entirely of free markets is referred to as a free-market economy.
Although in contemporary usage free markets are commonly associated with capitalism, free markets have been advocated by socialists and have been included in various different proposals for market socialism.
Read more about Free Market: Overview, Studies, Misconceptions, Criticisms
Famous quotes containing the words free and/or market:
“For myself I found that the occupation of a day-laborer was the most independent of any, especially as it required only thirty or forty days in a year to support one. The laborer’s day ends with the going down of the sun, and he is then free to devote himself to his chosen pursuit, independent of his labor; but his employer, who speculates from month to month, has no respite from one end of the year to the other.”
—Henry David Thoreau (1817–1862)
“Writing ought either to be the manufacture of stories for which there is a market demand—a business as safe and commendable as making soap or breakfast foods—or it should be an art, which is always a search for something for which there is no market demand, something new and untried, where the values are intrinsic and have nothing to do with standardized values.”
—Willa Cather (1876–1947)