21st Century Economics (USA)

Economic Theory of a Market Economy, Characteristics, Pros, and Cons

Americans and the World believe or want to believe that the United States is built upon a Market Economy.

Historical context validates a classic Market Economy theory as directed by our Founding Fathers and Constitution. We clearly do not have a pure Market Economy today (2021).

• To Big to Fail - (Bailouts)
• Farm Subsidies
• Political Influence (money, lobbying, tenure)
• Government Agencies
• Military/Industrial Complex
• Federal Reserve (Central Banking)
• Social Security
• Medicare
• Other

Most Americans lump (through education) the concept of economics and government together, into 3 basic categories; Capitalism, Socialism and Communism.

The U.S. is a Capitalist Nation with a corresponding market economy.

Is this statement Fact or Hypothesis ?

Can we still rely on textbook economic models in the 21st Century?