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> A free market can't handle limited liability. It's only government intervention that can provide things like orderly bankruptcy proceedings.

Obviously. And it's the government that actually establishes the free market, regulates it, and provides all the surrounding infrastructure (roads, police, courts, ...).

A "free market" doesn't mean that you can do whatever you want - the name for that is "anarchy". Free market only means that everybody is free to compete under equal terms. Additionally, governments would step in if a single player got too powerful and would exert its power in ways that would undermine competition.




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