Free Market Theory
From Critiques Of Libertarianism
Free markets cannot exist: they are an ideal model in microeconomic theory. While almost everybody accepts free market theory, the real world diverges from its assumptions very strongly. (See Free Market for the propaganda term.)
- Corporate Destruction of Free Markets Rules Us [More...]
- "Corporatism makes massive exceptions that rig markets and tilt the seller-buyer balance heavily in favor of the former who become bigger and bigger global corporations." Several good points about how corporatists have rigged markets so they do not fit the free market model.
- Does free market theory support free markets? [More...]
- "Free market theory demonstrates that in a free market economy, economic agents should adopt monopolistic and manipulative strategies that go against global economic efficiency. This is the part of free market theory that has empirical support."
- Economics 101 (52 links)
- Also known as neoclassical economics and economism. Libertarians are fond of applying standard Economics 101 microeconomics principles to bash the state. They forget the many concealed ideological biases of Economics 101, they forget that the real world doesn't often match simple models, they forget market failures and they forget that microeconomics is not enough: you need macroeconomics too.
- Fallacies of Free Markets [More...]
- "Perfect competition is the ideal state in classical and neoclassical economics, and functions properly only when held to certain assumptions."
- How Neoliberals weaponise the concept of an ideal market
- "[N]eoliberalism is a political strategy promoting the interests of big money that utilises the economist’s ideal of a free market to promote and extend market activity and remove all ‘interference’ in the market that conflicts with these interests."
- The Fantasy of a Pure Market [More...]
- The distinction between markets and government is blurred because property and contract rights are not obvious, and whatever their definitions end up as, they make the market not "pure".
- Theory vs. Reality: Why Market Absolutism Fails [More...]
- Lists six basic assumptions of Free Market Theory that simply do not hold in the real world, actually existing market system.
[N]eoliberalism is a political strategy promoting the interests of big money that utilises the economist’s ideal of a free market to promote and extend market activity and remove all ‘interference’ in the market that conflicts with these interests.
Simon Wren-Lewis, "How Neoliberals weaponise the concept of an ideal market"