Free Market Economy

Free Market

        A free market economy is one in which the prices of goods and services are determined by the open market and the consumers, without government intervention.


Image result for group of peopleThe people of the economy decide what is being produced. They can buy and sell whatever they would like. 



Image result for group of people products are made based what ever way the person would like to produce their products. Any way the producer would like to produce their products they are allowed to. 




        The sellers are producing for any person they desire. They can decide to produce for the people in the community, or they can only decide to produce for their family and friends. They don't have to sell to anybody they don't want to.

     Some advantages of free market economy is consumer sovereignty meaning that the price of the goods are determined by the people and what they purchase so it gives the consumer a voice in the economy. Also people to have the confidence to start their own business. They have don't have to worry about monopolies or the government taking over their whole business.
Image result for free market economyA disadvantage of this system is that there tends to be a lot of poor people and unemployment. There is enough houses and places yet some people don't have the human capital to start a business and end up homeless

Image result for no government sign

Due to the little government intervention the who, what, how and for whom, are answered by the  people in the society. 

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