Ah, a Hayek fan! :-D
Well, I have only one thing to say to you: we don’t have parallel universes to test your hypothesis. There never was and probably never will be a “perfectly free market” to see if it would be paradise or hell. The minute you remove the government, people will seek to cheat the market instead of using governments’ powers to manipulate markets. There are plenty of examples of this. One that I like is the attempt of two wealthy brothers to corner the silver market: https://www.investopedia.com/articles/optioninvestor/09/silver-thursday-hunt-brothers.asp
Also, please check the conditions for perfect competition which is a pre-requirement for markets to function properly: it will never happen!
A market structure in which the following five criteria are met: 1) All firms sell an identical product; 2) All firms…www.investopedia.com
I don’t know if I’m bad at economics, but seems like I found another Utopian like myself, only dreaming of another Utopia! :-)