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market economy
[ mahr-kit i-kon-uh-mee ]
/ ˈmɑr kɪt ɪˌkɒn ə mi /
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noun
a capitalistic economic system in which there is free competition and prices are determined by the interaction of supply and demand.
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QUIZ
QUIZ YOURSELF ON "WAS" VS. "WERE"!
Were you ready for a quiz on this topic? Well, here it is! See how well you can differentiate between the uses of "was" vs. "were" in this quiz.
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“Was” is used for the indicative past tense of “to be,” and “were” is only used for the subjunctive past tense.
Also called free mar·ket e·con·o·my [free-mahr-kit i-kon-uh-mee] /ˈfri ˈmɑr kɪt ɪˌkɒn ə mi/ .
Compare command economy.
Origin of market economy
First recorded in 1915–20
Words nearby market economy
marketable title, market abuse, market analysis, market basket, market boat, market economy, marketeer, market forces, market garden, market gardening, marketing
Dictionary.com Unabridged
Based on the Random House Unabridged Dictionary, © Random House, Inc. 2022
How to use market economy in a sentence
Cultural definitions for market economy
market economy
An economy in which the greater part of production, distribution, and exchange is controlled by individuals and privately owned corporations rather than by the government, and in which government interference in the market is minimal. Although a total market economy is probably only theoretically possible (because it would exclude taxation and regulation of any kind), capitalist economies approximate it and socialist economies are antithetical to it (see capitalism and socialism). Market economies are also called free economies, free markets, or free enterprise systems.
The New Dictionary of Cultural Literacy, Third Edition
Copyright © 2005 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.