Editing Market economy (section)

==== Social market economy ====
{{main|Social market economy}}
The social market economy was implemented by [[Alfred Müller-Armack]] and [[Ludwig Erhard]] after [[World War II]] in [[West Germany]]. The social market economic model, sometimes called [[Rhine capitalism]], is based upon the idea of realizing the benefits of a free-market economy, especially economic performance and high supply of goods while avoiding disadvantages such as [[market failure]], destructive competition, concentration of [[economic power]] and the socially harmful effects of market processes. The aim of the social market economy is to realize greatest prosperity combined with best possible social security. One difference from the free market economy is that the state is not passive, but instead takes active [[Regulation|regulatory]] measures.<ref>[http://www.bpb.de/popup/popup_lemmata.html?guid=Y0VZ7J keyword "social market economy" = “Soziale Marktwirtschaft”] {{Webarchive|url=https://web.archive.org/web/20111212140139/http://www.bpb.de/popup/popup_lemmata.html?guid=Y0VZ7J |date=2011-12-12 }} Duden Wirtschaft von A bis Z. Grundlagenwissen für Schule und Studium, Beruf und Alltag. 2. Aufl. Mannheim: Bibliographisches Institut & F.A. Brockhaus 2004. Lizenzausgabe Bonn: Bundeszentrale für politische Bildung 2004.</ref> The social policy objectives include employment, housing and education policies, as well as a socio-politically motivated balancing of the distribution of income growth. Characteristics of social market economies are a strong [[competition policy]] and a [[contractionary monetary policy]]. The philosophical background is [[neoliberalism]] or [[ordoliberalism]].<ref>[[Duden]] Wirtschaft von A bis Z. [http://www.bpb.de/nachschlagen/lexika/lexikon-der-wirtschaft/20642/soziale-marktwirtschaft "Eintrag: keyword "social market economy" = Soziale Marktwirtschaft"] {{Webarchive|url=https://web.archive.org/web/20120829015237/http://www.bpb.de/nachschlagen/lexika/lexikon-der-wirtschaft/20642/soziale-marktwirtschaft |date=2012-08-29 }}.</ref>