Today, 12:33 PM
Regarding the quote in general:
It's not "wrong", per se. The problem is that it would only work in a fantasy world were everyone is altruistic and stays that way. Great in theory but has human nature/history ever shown this to be realistic and sustainable? Biological needs to survive and continue one's own bloodline eventually overtake the desire to help the other guy. There are individual exceptions, of course, but on the whole it's not realistic.
I don't understand the application of the quote to your free market scenario, though. The quote requires two people but your example contains only one person.