Abstract:

The market economy was historically established in France through the agricultural foundation and then in the Uk in the industrial area, with the period between the middle ages and the Industrial Revolution. With the French Revolution, there was a rapid advance in the development of the market economy with the realization of liberalism as an ideology. Economic liberalism is based on the idea of “free competition” and, as with any economic model, it is shaped by certain philosophical and moral propositions. Shaped by the views of thinkers such as Locke, Hume, Montesqueiu, Adam Ferguson, Adam Smith, J. Stuart Mill, Bentham, Spencer, Isiah Berlin, Constant and Hayek, this system has certain conditions of existence. On the basis of freedom and free individual, conditions such as private property, inheritance, freedom of enterprise, freedom of choice of profession and workplace, freedom of reconciliation, freedom of institution and partnership, freedom of competition, economic motive and price mechanism forms the basis of the market economy system with the interaction of social and political relations.

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