can there be a free market and government?

In the literal sense, no you can’t have a free market when there is an overarching entity that has a monopoly on legal force which it uses to extort wealth from people.

But most minarchists and people who allegedly advocate “free markets” simply don’t really see how a truly free society would function without that entity there inflicting its coercion and violence. They will tell you “to have freedom you need to have your rights protected, so you need government.” As non sequitur as this might be, that’s the common line of thinking.

For a nice write up on this, see here.