What are you smoking its how the free market works
Fact of the matter is that every nation in the world has labor and passport controls. It would be exceptional and unusual for the US to abandon them unilaterally.
The Soviet Union lasted a long time without a free market. Yet nobody would say allowing sellers to choose their own prices is artificial because they've been dictated by the government for decades and that's the normal and natural state of things.
Similarly the market should shift oil and iron from low value places (in the ground) to high value places (e.g. in a steel beam or gas station).