TC_Triple3
Member
- Mar 4, 2015
- 63
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Yes there is emotion in y our definition.Your definition is rife with emotion. The dictionary definition is better.they have a mixed economy moving rapidly toward more and more capitalism and more and more wealth for their citizens
So is China practicing laissez faire capitalism?
they have a mixed economy moving rapidly toward more and more capitalism and more and more wealth for their citizensIt's in the dictionary.So has anyone come up with a definition for a free market as yet?
free market: an economic market or system in which prices are based on competition among private businesses and not controlled by a government
The dictionary is no more useful in defining a 'free market' than it is for defining inflation or economic growth. Again, a free market is the private ownership of the means of production and the absence of government intervention. Government intervention includes regulation, prohibition, taxation, a monopoly of the money supply, or anything else the government does that alters the value choices of anyone that participates in the market.
There is no emotion in my definition.
Does the government 'set' prices in the auto industry? No.
Does government regulation in the auto industry affect price? Yes.
Does government regulation in the health care industry affect price? Yes.
Does government regulation in the education sector affect price? Yes.
Does an increase in the volume of money affect price? Yes
Does taxation affect price? Yes,
Does prohibition affect price? Yes.
Look at any industry sector where prices continually rise and I will show you abundant government intervention. Why do prices in the consumer electronics sector drop over time?
Does the government 'set' prices in the auto industry? Yes, by bailing out GM, and a few others, by installing czars they set in charge of profit margins bonus structures and such for said bailed out companies, by buying cars to destroy them, by mandating car insurance, registration fees, gas tax, .... all these things affect the cost of a car to the consumer. Put another way, government mandates the minimum floor cost to consumers/users of autos.
Price drop in consumer electronics is a mixed bag. Some fall others don't. The cost to manufacture the products has come down.
That's not setting the price. The government is not dictating the price of each and every model to the auto industry. You make my point for me, that's policy affecting the final sales price by increasing costs. And there is still no emotion, but stick with it if it floats your boat, but it doesn't refute what I said.