The Market and Government Regulation: The Need for Appropriate Balance for Sustainability
This study critically reviews the concept of market economy and government regulations. The ideas of the free market economy and the government regulated market economy are discussed, and the disparities between these two markets are presented based on the popular phrase ‘the invisible hand’ which Adam Smith used to describe the forces facilitate the equilibrium between the demand and supply side of a free market. There are pros and cons associated with both market economy, and in a world so obsessed with sustainable development, these pros and cons need to be established to pave way for economists suggest suitable trade-offs.