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A Proposed Definition of Market Economy

In this post, I give a proposed definition of the term “market”: A market is the set of social arrangements under which people buy and sell specific goods and services at a specific point in time. Social arrangements means all of the things that constrain and organize human action, including laws, regulations, social expectations, conventions, […]

A Proposed Definition of Market

Over several posts, I have criticized standard economic textbook definitions of market, here and here. I neglected to mention one, the idea that markets are an emergent phenomenon; here’s a discussion of that lunatic definition. Here’s my proposed definition: A market is the set of social arrangements under which people buy and sell specific goods […]

The Problem With Market Definitions

It is an article of faith in the US that the free market system is the best possible system for allocating scarce resources. Samuelson and Nordhaus have a long explanation of the glories of this kind of allocation. Economics 2005 ed. P. 26. One source for this idea is the early neoclassical economist William Stanley […]

What is the Definition of a Market?

The US economic system is based on what we’ve all agreed to call free markets. The entire system is often called the free market system instead of the capitalist system. I’ve been looking for a definition of the term market. 1. Textbook Definition. Samuelson and Nordhaus define markets early in their textbook Economics (2005 ed.): […]

Distribution of Income By The Plutocracy

I’ve written a pair of posts at Naked Capitalism on the neoclassical theory of marginal productivity as an explanation for the distribution of income in our neoliberal market economy. The first is based on Thomas Piketty’s Capital in the Twenty-First Century, and examines the bloated pay of top management. The second focuses on pay for […]

The Neoliberal Inhabitants of Mont Pelerin

    In this post, I talked about the intersection of neoliberalism and neoclassical economics. There is a lot of talk on the left about neoliberalism, and a number of ideas about what it is. For me, neoliberalism refers to the general program of a group of economists, lawyers and othes loosely grouped around the […]

Neoliberalism and Neoclassical Economics

    I’m new here as a poster, so I’ll start by describing my interests. As you may know from my work at Firedoglake under the name masaccio, I’m interested in the way the economy actually works. That’s why I like the work done by Thomas Piketty and his colleagues on wealth and income inequality: he has […]