Does the Market Exclude Equality?
Bulletin of the Georgian National Academy of Sciences, Vol. 175, No. 1, 2007
6 Pages Posted: 2 Dec 2012
Date Written: 2007
The market, as the economic foundation of capitalism, is often recognized as the basis of inequality. In fact the free market model implicitly posits complete equality of opportunity for the agents participating in it. In order to minimize inequalities due to externalities, the government interferes in the market because the market is incapable of solving this problem on its own. Economic policies in support of market equality are therefore based on libertarianism. Optimal economic policies should therefore combine elements of libertarianism and liberalism, provided that the former dominates.
Keywords: real-Market model, public choice, economic policy, equality, free-market model, pseudoreal-Market Model
JEL Classification: A10, O20, P16, P26
Suggested Citation: Suggested Citation