In fact, Chomsky often argues most markets are not free because of the massive teams of trained psychologists who work in propaganda -- i.e. public relations, to try to ensure capitalism does not work correctly, by misinforming consumers and making sure they act irrationally, at odds with the healthy behavior of a market.

So yes, it's not capitalism, but idealized capitalism is a ridiculous impossible goal that doesn't really exist because the market incentivizes people with power to subvert and destroy functioning markets.