Individualism, property rights, rationality, selfishness, and economic competition have been identified as the key char acteristics of the market economy concept. The general theme of the concept is that whatever individuals want to do in an economy should not be interfered with by government, so long as the rights of others are not harmed in the process.
The market economy concept holds that economic welfare will be generated through the selfishness, or greediness, of the members of the economy. Selfishness, according to this line of thought, motivates individuals to promote their own economic well being, and, in the process, create economic benefits for the society as a whole. The claim is that the greater economic efficiency provided by the market economy con cept will increase output over that which would occur in a system where non market institutions prevailed.
Within such an environment where greed is the motivator, the market economy concept holds that economic injustice will be precluded by competition within the economy. Through such arguments as the "invisible hand," proponents of the market economy concept contend that application of the concept will provide a distribution of economic benefits almost equal in equity to that which would be provided under ideal conditions.
Critics of the market economy concept contend that indivi dualism and selfishness are not necessarily attributes which
are desirable in a society, even if they do contribute to the development of a more efficient economy. Additionally, thesecritics point out that the market economy concept neither (1) provides equity in economic distribution, nor (2) eliminates economic injustice in many situations, regardless of the com petitive check. Unrestricted free market advocates want no minimum wage, no employment guarantees or assistance, and no equal opportunity laws. It is contended by these advocates that market economy principles will ...