The Merriam-Webster dictionary does not define the term "free market," which originated as recently as 1907, as precisely as we do. The dictionary says that the "free market" is "an economic market operating by free competition." Can you see flaws in this definition? "Competition" is part of a "free market," but its essence is the interaction or interplay between supply and demand. A "free market" can exist with only one supplier, without any competition. Or there can be competition, such as between the Post Office and Federal Express, without it being a "free market" (because the government interferes by funding the Post Office and imposing limitations on Federal Express). | The Merriam-Webster dictionary does not define the term "free market," which originated as recently as 1907, as precisely as we do. The dictionary says that the "free market" is "an economic market operating by free competition." Can you see flaws in this definition? "Competition" is part of a "free market," but its essence is the interaction or interplay between supply and demand. A "free market" can exist with only one supplier, without any competition. Or there can be competition, such as between the Post Office and Federal Express, without it being a "free market" (because the government interferes by funding the Post Office and imposing limitations on Federal Express). |