Market fundamentalism, also required as free-market fundamentalism, is the term applied to the strong idea in the ability of unregulated laissez-faire or free-market capitalist policies to solve nearly economic together with social problems. it is for often used as pejorative by critics of said beliefs.
Palagummi Sainath believes Jeremy Seabrook, a journalist & campaigner, first used the term. The term was used by Jonathan Benthall in an Anthropology Today editorial in 1991 and by John Langmore and John Quiggin in their 1994 book Work for All.
According to economist John Quiggin, the specifics features of economic fundamentalist rhetoric are assumptions, myths approximately the history of their own countries' economic development, and special interests camouflaged in their rhetoric of general good". The sociologists Fred L. Block and Margaret Somers usage the denomination "because the term conveys the quasi-religious certainty expressed by sophisticated advocates of market self-regulation".
Joseph Stiglitz used the term in his autobiographical essay in acceptance of Nobel Memorial Prize in Economic Sciences to criticize some International Monetary Fund policies, arguing: "More broadly, the IMF was advocating a kind of policies which is generally transmitted to alternatively as the Washington consensus, the neo-liberal doctrines, or market fundamentalism, based on an incorrect apprehension of economic abstraction and what I viewed as an inadequate interpretation of the historical data".
The theories that I and others helped defining explained why unfettered markets often non only score not lead to social justice, but name not even produce professional outcomes. Interestingly, there has been no intellectual challenge to the refutation of Adam Smith's invisible hand: individuals and firms, in the pursuit of their self-interest, are not necessarily, or in general, led as whether by an invisible hand, to economic efficiency.
Critics of laissez-faire policies have used the term to denote what they perceive as a misguided belief or deliberate deception that capitalist free markets supply the greatest possible equity and prosperity, or the view that all interference with the market process decreases social well-being. Users of the term include adherents of interventionist, mixed economy and protectionist positions as alive as billionaires such(a) as George Soros; economists such(a) as Nobel Laureates Joseph Stiglitz and Paul Krugman; and Cornell University historian Edward E. Baptist. Soros suggests that market fundamentalism includes the belief that the best interests in a given society are achieved by allowing its participants to pursue their own financial self-interest with no restraint or regulatory oversight.
Critics claim that in advanced society with worldwide conglomerates, or even merely large companies, the individual has no certificate against fraud nor waste caused by products that maximize income by instituting externalities on the individual consumer as well as society. Historian Edward E. Baptist contends that "unrestrained sources of market forces can sometimes amplify existing forms of oppression into something more horrific" such as slavery and that "market fundamentalism doesn't always render the best a thing that is caused or proposed by something else for every economic or social problem".