RECENT NEWS
New York Times  Jan 24  Comment 
Mohammed bin Salman has to rule like a reformer if he wants to transform the kingdom into a Western-oriented market economy.
The Economic Times  Jan 13  Comment 
Market economy, marked by intangibility, behaves differently and has profound social and economic implications. Inequality and social polarisation are rising. Real wages aren’t growing, said Westlake.
Forbes  Dec 18  Comment 
The Chinese government is making a big bet on VR and to win they’ve arrived at a powerful combination that mixes potent features of a market economy with those of a planned economy.
Forbes  Dec 4  Comment 
U.S. rejection of China's bid for market economy status looks poised to worsen U.S.-China trade relations if China is supported within the WTO.
Channel News Asia  Dec 1  Comment 
The Trump administration has confirmed it rejects China's bid to be considered a market economy in the World Trade Organization, making it subject to more onerous trade penalties.
Wall Street Journal  Nov 30  Comment 
The Trump administration formally rejected China’s demand that it be treated as a “market economy” under global trading rules, a move likely to heighten tensions between the world’s two largest economies.
Financial Times  Nov 30  Comment 
Trump administration’s filing increases trade pressure on Beijing
Financial Times  Nov 29  Comment 
US president’s swipe marks new low in his relationship with one of country’s most important allies




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Market economy refers to a system where the prices of goods and services are set by supply and demand. The value of information, goods, and services is determined through free trade. In 2008, free trade is often regulated by governments, resulting in a mixed economy rather than a pure free market system. In this type of economic system the government is the facilitator only.

A market economy is the opposite of a command or centrally planned economy. In a command system, the government determines what goods are sold, how much of them, and what they will cost. This single actor is replaced by many in a market system, where the price of a good is determined by both the supply and demand for it.

It's a market.

Free Market vs. Capitalism

A market economy is not synonymous with capitalism; free markets can exist in communist systems and other systems that do not have capitalism's defining characteristics. In capitalism, labor and economy are important to the whole part of the free market system.

Positives

-people work harder -a great variety of consumers goods become avalable -freedome to buy or reject products -price baced on what the population can afford

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