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TeachMeFinance.com - explain Market Economy Market economy -- The national economy of a country that relies on market forces to determine levels of production, consumption, investment, and savings without government intervention. another definition... Market Economy -- An economic system where resources are allocated and production of goods determined by market forces rather than by government decree. Copyright © 2005 by Mark McCracken, All Rights Reserved. TeachMeFinance.com is an informational website, and should not be used as a substitute for professional financial or legal advice. TeachMeFinance.com and its owner recommend consultation with a professional financial advisor prior to any investment or financial decision. Please read our disclaimer.