Notes:
Market Capitalism model
Bulk of economic activity is carried out by private enterprise operating in a competitive environment
Efficient operation based on a number of assumptions
- Government interference in economic life will be held to a minimum
- Market performance is the only acceptable measure of performance
- It is the function of government not free enterprise to minister to social problems
- The primary contribution to society made by business is to create jobs and wealth through jobs
- Individuals have perfect knowledge
- Markets clear
- Individuals are rational
Does this reflect reality?
