What are the roles of the government under the market economic system?
Since there are no entirely market economies in the world (and for good reason), I assume the question is with respect to theory as opposed to practice. The answer is that there is no agreement whatsoever. Most would agree that the government should provide the framework: defense of the country, enforcement of laws and contracts, etc. http://en.wikipedia.org/wiki/Laissez-fai… But some don’t accept even that much. The anarcho-capitalists argue that even these services could and should be provided by the market: http://en.wikipedia.org/wiki/Anarcho-cap… Most also claim to agree that there should be no government regulations whatsoever, even to address externalities. http://en.wikipedia.org/wiki/Externality But from there, the difference grow. Should the government be respo
