Economic Policy and the Market Economy

by Paul J. Dejillas

Economic policy may be described as actions of the government designed to influence the directions of the market economy. In a socially-oriented market economy, concrete economic policies are designed primarily to facilitate the realization of three specific objectives of the market, viz., growth, stability, and equity, based on the principles of individual freedom, fair and perfect competition, and market conformity. These features are circumscribed in the role of the State which, in the view of social economists, is primarily subsidiary and secondary to the functioning of the market. [Read more] ...