The task of this article is to carry out a synthetic analysis of the concept of the "educational marketplace" as it is used in the popular discourse of education reform so as to unpack what has become a commonsensical idea in American politics. It is a conceptual framework that has opened an ever-expanding sovereign space in the American state for the colonization of a public institution by the private sphere by means of public policy. The results of this analysis suggest that the reform policies associated with the concept of the educational marketplace are ineffective in raising average student achievement, have a high probability for generating significant social costs, and are a manifestation of an articulation of power now in ascendancy in the United States.