At the college of management and economics, university of Baghdad, a master thesis in economics was discussed and submitted by the researcher (Fatima Muhsin Muhammad) entitled with “market economy and its effects on environment and resources with reference to Iraq”. The importance of this study comes from the effect of environment and its assets that are essential for the human life, air, food, energy and other necessities of life which are the cornerstone for economic progress and development. The study dealt with market economy that provides goods as free gifts used in daily activity to achieve a benefit with a view to profit and to accumulate wealth and well-being, without worrying about the negative effects on the environment associated with that activity that is leading to deterioration of quality and depletion of its resources in addition to its serious implications on human future. The researcher shed light on what happened since the industrial revolution to today, showing the numerous failures of market economy and how was the ecosystem imbalance that deepened inequality among human beings, increased poverty and acquired wealth by few individuals (and its disastrous effects on environment and resources) that all wiped the rights of future generations. The researcher showed that the developed nations have reviewed their market economy strategies by reorganizing the role of state that guides economy to avoid repercussions and risks towards environment that may be out of control, with reference to Iraq. The discussion committee consisted of prof. Dr. Rabee Khalaf Saleh, specialized in international economics from the college of management and economics, university of Baghdad as chairman with the membership of the expert Dr. Qais Hassan Alwan, specialized in environmental economics from the ministry of the environment, and assistant professor Dr. Halob Kazem Mala, specialized in economics, while Dr. Lawrence Yahya Saleh, specialized in economic development as supervisor.