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Step-by-step explanation:
What is a Free Market?
The free market is an economic system based on supply and demand with little or no government control. It is a summary description of all voluntary exchanges that take place in a given economic environment. Free markets are characterized by a spontaneous and decentralized order of arrangements through which individuals make economic decisions. Based on its political and legal rules, a country's free market economy may range between very large or entirely black market.
KEY TAKEAWAYS
A free market is one where voluntary exchange and the laws of supply and demand provide the sole basis for the economic system, without government intervention.
A key feature of free markets is the absence of coerced (forced) transactions or conditions on transactions.
While no pure free market economies actually exist, and all markets are in some ways constrained, economists who measure the degree of freedom in markets have found a generally positive relationship between free markets and measures of economic well being.