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  2. Dictionary

    mar·ket e·con·o·my
    [market economy]
    noun
    market economy (noun) · market economies (plural noun)
    1. an economic system in which production and prices are determined by unrestricted competition between privately owned businesses:
      "the process of transition to a market economy led to major changes"
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    What is a market in economics?In economics, a market is a composition of systems, institutions, procedures, social relations or infrastructures whereby parties engage in exchange. While parties may exchange goods and services by barter, most markets rely on sellers offering their goods or services (including labour power) to buyers in exchange for money.
    What is a market economy based on?A market economy is an economic system where two forces, known as supply and demand, direct the production of goods and services. Market economies are not controlled by a central authority (like a government) and are instead based on voluntary exchange. Market economies rely on the interplay between supply and demand to function.
    How does market economy work?In theory, a market economy's functions are based on fluctuations in supply and demand for specific goods and services across an entire market. This relationship results in market prices that efficiently distribute goods and services among market participants who are willing and able to pay for them.
    What are the characteristics of a market economy?Most commonly, market economies feature government production of public goods, often as a government monopoly. But overall, market economies are characterized by decentralized economic decision-making by buyers and sellers transacting everyday business.
     
  4. What Is a Market Economy and How Does It Work? - Investopedia

     
  5. Market economy - Wikipedia

  6. What Is a Market Economy? - The Balance

    WebDec 1, 2022 · Definition. A market economy is an economic system in which individuals, rather than the state, own most of the resources. This includes land, labor, and capital. In a market economy, individuals …

  7. Market economy Definition & Meaning - Merriam-Webster

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  9. What is a market economy? Definition and meaning

    WebA market economy is one where prices and decisions are based on supply and demand, not by the government. Learn about its origins, forms, externalities, globalization, and how it differs from other systems.

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  24. The Fed Is Looking for a Job Market Cool-Down. It Just Got One.

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