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Free Market Ideology: An Analysis




Harish T, SRM School of Law, SRMIST, Chennai

Sailesh Kumar N, SRM School of Law, SRMIST Chennai


ABSTRACT


Free market ideology is an economic and political concept that upholds the belief that, markets perform optimally when the role of the government is kept to minimum. Under this type of system prices of goods and services are determined not by the state but by the supply and demand. The government does little to interfere with businesses and individuals that have the freedom to produce, trade as well as invest. The advocates of this school of thought say that unrestricted market enhances efficiency, innovation, and growth of the economy. Nevertheless, the idea of the fully free market has been discussed all the time. Most researchers and policy makers believe that there should be a certain amount of regulation to avoid unfair practice, monopolies and exploitation of the consumers. Competition statutes, labour legislation, consumer legislation and environmental statutes tend to put restrictions on naked market freedom. Thus in the new economy, there is an effort to balance free market ideology and governmental intervention. This research paper examines the concept of free-market ideology in relation to law. It looks at the historical formation of the concept, how the law has influenced the process of formulating market freedom, and the difficulties encountered in the operation of the free market policy policies in contemporary societies. The crucial legal cases and statutes affecting the regulation of markets are also considered in the paper. Analysing them, the study will seek to comprehend the dynamics, as it is in the modern economic systems, between law and free market ideology. The research ends up by concluding that event though free markets might foster economic growth and competition, the law has a role to play in promoting fairness, safeguarding the interest of the people, and economic stability.


Keywords: Free Market, Economic Liberalism, Market Regulation, Competition Law, Economic Policy, Capitalism, Government Regulation



Indian Journal of Law and Legal Research

Abbreviation: IJLLR

ISSN: 2582-8878

Website: www.ijllr.com

Accessibility: Open Access

License: Creative Commons 4.0

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All research articles published in The Indian Journal of Law and Legal Research are fully open access. i.e. immediately freely available to read, download and share. Articles are published under the terms of a Creative Commons license which permits use, distribution and reproduction in any medium, provided the original work is properly cited.

 

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The opinions expressed in this publication are those of the authors. They do not purport to reflect the opinions or views of the IJLLR or its members. The designations employed in this publication and the presentation of material therein do not imply the expression of any opinion whatsoever on the part of the IJLLR.

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