Yes. See
https://en.wikipedia.org/wiki/The_Use_of_Knowledge_in_Societ...
https://en.wikipedia.org/wiki/Economic_calculation_problem
> It is hugely inefficient and wasteful.
In comparison to what?
> Is that the same free market bootstrapped into existence by the state and bailed out by the state periodically?
Government bailouts are the opposite of a free market.
In the first instance Cockshott and Cottrell have demonstrated how with the computing technology of 1993 could create a system that allocated resources efficiently. It is now 2018 and computer technology is significantly more advanced and big data systems process more information at higher speeds than at any other time in human history.
Second large corporations such as Amazon function as hugely effective resource allocation mechanisms at the scale of states and further - internationally - but without using the free market within. Hayek even admits as such in his work that corporations internally operate by planning, he is just opposed to planning outside of corporations in the general economy.
Worth saying that the other argument commonly made for market efficiency, general equilibrium theory, rests of strange and blatantly untrue assumptions when compared to the real economic system. At least as an Austrian economist Mises had the good grace to start with more realistic assumptions!
As computers have gotten more complex, so has the economy.
> Second large corporations such as Amazon function as hugely effective resource allocation mechanisms at the scale of states and further - internationally - but without using the free market within. Hayek even admits as such in his work that corporations internally operate by planning, he is just opposed to planning outside of corporations in the general economy.
Free markets don't negate the existence of large corporations which use central planning for internal operations. It is possible for such corporations to arise naturally due to economies of scale and other factors. But such structures are discovered and tuned by market mechanisms, not the state.