Free Markets: Ain’t No Such Thing

Date: 6 April 2016
Publisher: Mother Jones
Byline: Kevin Drum
Headline: Free Markets: Ain’t No Such Thing

Republicans and conservatives chortle endlessly about the benefits of free markets.  With the exception of a few farmers’ markets, free markets just don’t exist.

There are two fundamental conditions for free markets: competition and transparency.

Adam Smith, the patron saint of capitalism, said:

People of the same trade seldom meet together, even for merriment and diversion, but the conversation ends in a conspiracy against the public, or in some contrivance to raise prices

Smith is saying that you can free markets, or you can have regulated markets, but you can’t have both.