The Myth Of The Free Market: The Role Of The State In A Capitalist Economy

Free market purists claim that the state is an inefficient institution that does little for society beyond providing stability and protection. The activities related to distributing resources and economic growth, they say, are better left to the "invisible hand" of the marketplace. Mark Martinez argues that the notion of an invisible hand is a common but flawed myth that distorts understanding of how modern capitalist markets developed and actually work. Martinez draws from history and contemporary events to illustrate that political processes and the state are not only instrumental in making capitalist markets work but that there would be no capitalist markets or wealth creation without state intervention. The Roots of Markets and Wealth is a fascinating and accessible introduction to comparative economic systems as well as an incisive refutation of the standard mantras of neoclassical free market economic theory.