Final answer:
Critics of the free market suggest society needs a moral base to counteract self-interested behavior, while proponents believe market efficiency is achieved through competition and informed participants. Addressing market failures and incorporating behavioral economics may offer a balanced view.
Step-by-step explanation:
The question pertains to the notion that a free market system championed by Austrian economists relies on a society having a moral foundational base. Critics argue that the economic model, which assumes self-interest drives human behavior, lacks morality and suggests that society should instead foster a deeper concern for others. Proponents of the free market contend that competition, informed participants, mobility of resources, and prices reflecting the cost of production are essential for optimal market functioning. These proponents believe that when these conditions are met, market forces can effectively mediate supply and demand without government intervention. However, addressing market failures and considering human behavior from a behavioral economics perspective may provide a more comprehensive understanding of economics within society.