Question

Free Markets are a way of connecting people who may mutually benefit by exchanging goods and services through a process of buying and selling.

a) Identify a local/global problem that might be caused by an economic policy that is based on the belief that free markets deliver the best economic and social outcome for society.

Your answer needs to provide at least two paragraphs.
The first paragraph discusses the local/global problem.
The second paragraph explains how unregulated/free markets are causing the problem.

Answer all the questions in well developed paragraphs. The paragraphs should be at least five or six sentences long, and they should clearly include a topic sentence.

Answer 1

free markets can be defined as the way in which the prices of the commodoties and rules and regulations which involved are determined by the consumers themselves.Since the involvement of government is verly less in free market investment and transferring of goods are easy whem compred to other markets.the major advantages with free markets is it helps the economic growth and also transparency where the consumers can have their say in everything.Simultaneously, there are also disadvantages with free market such as poor quality, as it is handled by few indivuduals or firms which are not monitored the quality can be compromised.It is a market where every indivudual have the right to produce or invent the product on their own terms which is not good at all times.

In recent times, the concerns regarding the unregulated/free markets are getting increased as since there will be no reulation and no intervention of government where profit maximation is the prime motto, the products which comes from rural/backward areas might suffer as a lack of transportation and other facilities.the large firms which have huge resources and production will continues to dominate and the smaller firms will struggle to survive.Another aspect which shows that the unregulated/free markets are not all good is the increase of unemployment and inequality as certain sections of the socety may not able to feed as their skills are not required in such a market.Therefore, they will be drained into poverty.