let's reverse the question. Where are markets expected to be optimal?

> definition of 'perfect competition' perfect competition, in which there are large numbers of identical suppliers and demanders of the same product, buyer and sellers can find one another at no cost, and no barriers prevent new suppliers from entering the market.

And that perfect competition provides the price signals that allow the market to be more competitive.

The less that holds true, the less efficient the market is going to be.

What is the price signal on education?

What is the price signal on public infrastructure?

What is the price signal on rule of law and the ability to enforce contracts?