Showing posts with label Friedrich Hayek. Show all posts
Showing posts with label Friedrich Hayek. Show all posts

Thursday, June 27, 2019

The Secret of Ankh-Morpork: A Tale of British Liberalism



In the Constitution of Liberty (I:4), F. A. Hayek distinguishes between what may be called the British evolutionary empiricist and French rationalist schools of liberty. The French tradition, as exemplified by thinkers like Jean Jacques Rousseau (yes, he was born in Geneva), sees liberty in terms of specific policies and political structures that can be known through reason. Its primary goal is the creation of a utopian ideal government with the right laws and the right people in charge. The British tradition, as exemplified by Adam Smith and Edmund Burke, sees liberty as emerging out of systems of human interaction that transcend the design of any particular person. These can be seen in economic markets and traditional social orders. As with biological evolution, these systems are rational in the sense that they follow clear rules and are not random even as they have no rational designer. The goal of such liberty is not any utopian ideal but to limit physical coercion in people's lives.

It strikes me that one of the finest modern examples of this British approach to liberty can be found in Terry Pratchett's comic fantasy series Discworld. In particular, I would like to focus on his use of the city of Ankh-Morpork, which relies less on any of its visible institutions than on a certain subconscious sensibility embedded within its citizens. On the surface, one would be hard-pressed to think of Ankh-Morpork as any kind of Utopia. The city is filthy, crime-ridden, corrupt and under the boot of the tyrannical Patrician Lord Vetinari. And yet there is something about the city that allows it to, if not necessarily function well, at least avoid collapsing on a day to day basis. Furthermore, there is something about Ankh-Morpork that draws people from all over Discworld, whether barbarian raiders, tourists or immigrants. As paradoxical as it might sound, if you find yourself alienated by the place you grew up in, Ankh-Morpork is precisely the place that you can count on to feel at home.

What is Ankh-Morpork's secret of success? It is not the place has some particularly brilliant form of government. There is not much of a government doing anything and the little government that there is seems totally outmatched by the challenges it faces. Is there something special about Ankh-Morporkians themselves? There is no race of Ankh-Morporkians. On the contrary, Ankh-Morpork is a collection of every race and species on Discworld. Furthermore, the people themselves are not particularly wise nor virtuous. What makes Ankh-Morpork special is something about the deep-seated institutions of the city itself that transcend its politics and its racial makeup. One might even think of it as magic, something that is not too far fetched considering how the wizards of Ankh-Morpork's Unseen University mess with the fabric of reality.

In this sense, Ankh-Morpork is the perfect British classical liberal counter-Utopia. The place is far from perfect but is still a place that real people might want to live in. This only makes sense in a world that rejects Utopias. In fact, constantly hanging over Ankh-Morpork is the prospect of a path to Utopia that is never taken in the form of the messianic Captain Carrot Ironfoundersson. He is the true heir to the throne of Ankh-Morpork (the last king having been killed off centuries ago). He even has a sword and a birthmark to prove it. It has been foretold that he will bring truth and justice to Ankh-Morpork. (See Guards, Guards.) One of the running jokes of the series is that despite all the people who know of Carrot's heritage, there is no grand push to make him king because no one actually wants truth and justice. It is not that anyone actually likes Lord Vetinari, but his style of management, corruption and all, suits people just fine.  

Carrot does well as an honest watchman and as a human raised by dwarfs and whose love interest, Angua, is a werewolf, he is well positioned to negotiate between different races. That being said, it is obvious that Carrot would be a dreadful ruler if he ever got around to fulfilling his destiny. He has principles that he will not compromise on, while politics is the art of compromise. It is unfortunate that Pratchett never got around to completing Carrot's story arc. I imagine something along the lines of Vetinari being killed off, chaos threatens the city, and the people are demanding that Carrot agree to become their king. Carrot should then give some version of Life of Brian's "you can all think for yourselves" speech before riding off into the sunset. The city falls into chaos and it is exactly the kind of chaos that afflicted Ankh-Morpork every day under Vetinari. Perhaps Nobby Nobbs becomes patrician; regardless, it does not matter who officially rules as it is the city itself that actually is in charge.

Part of Discworld's use of an emerging order is its lack of clear ideological heroes. For example, Vetinari is not any kind of liberal. He is a dictator, who clearly does not believe in civil liberties. That being said, what great evil does Vetinari actually do? He seems to sit in his office, call people in and suggest that certain courses of action might be good for their continued health. For all that it is taken as a given that Vetinari is ruthless enough to have people tortured to death on a whim, he does not seem to do much of that. This does not mean that Vetinari is a good guy; his love of power precludes that. Nevertheless, there is something about the culture of Ankh-Morpork that resists blatant authoritarian force. Vetinari is smart enough to understand that the best way to hold on to power in Ankh-Morpork is to avoid directly giving orders. Instead, everything, including theft and murder, is legalized though regulated by guilds. These institutions gain their authority through the perpetual motion of tradition that transcends any attempt by individuals to control them. In essence, Vetinari allows the city to run itself while he devotes himself to politics, staying in power by positioning himself as the known quantity that people can live with.  

We see a similar thing with Sam Vimes, the head of the city watch. While Vimes is certainly more likable than Vetinari, his values are quite conservative. Unlike his ancestor who killed the last king of Ankh-Morpork, Vimes is not a revolutionary. What Vimes believes in is the law. It is not that Vimes believes that the law is perfect. On the contrary, he is quite aware of its limitations. That being said, it is precisely because Vimes sees how little good the law can do in the face of real problems in the world that he believes that the law, for whatever it is worth, should apply to everyone, rich and poor, humans and every other race. (See Night Watch and Snuff.) Vimes is the kind of common man just doing his job around whom heroic things seem to happen.

This sensibility seeps down into the rest of Ankh-Morpork. It is a cosmopolitan place in which even dwarfs and trolls learn to if not exactly tolerate each other than at least to not murder each other too often. (See Thud.) Ankh-Morpork has legal prostitution in the form of the Seamstress' Guild. It even allows for explorations of gender identity in the case of Cherry Littlebottom, who comes out as a female dwarf. For all of this tolerance, it is not as if there are many actual liberals in the city crusading for people's rights. (There are zombie activists promoting the rights of the undead.) Most of the residents are highly parochial, interested in their mothers or some other hobby. But it is precisely such narrow mindedness that makes Ankh-Morpork's type of tolerance possible. The residents are too focused on their own private business to mind anyone else's. When the occasional mob does form, they are usually dispersed not by appeals to any noble ideals but by reminding the mob that there are more important things in their lives that they should care about.  

In Discworld, the arc of history does bend toward justice. A running theme through the series is the expansion of personhood to include an ever wider circle of beings such as golems or goblins, who were previously seen as either lacking feelings or so depraved as to be outside of personhood. (See Feet of Clay and Snuff.) What makes this possible is not that particular individuals become "woke" to oppression. Rather, it is that the underlying social system evolves as to include new groups. Once that happens, no conscious tolerance is needed. You can hate the group, but even the very fact that you hate them serves to embed them within the fabric of society, making their elimination inconceivable. (This is an important theme in understanding anti-Semitism. Jews were never in danger from people who believed that Jews killed their Lord as long as Jews were considered part of the existing order of society. Mass violence against Jews only became possible when Jews came to be thought of as something other.) 

On the other side of this coin, minority groups themselves, such as the dwarfs, change as they move to Ankh-Morpork. They might not intend to assimilate and might not realize what is happening until they are raising the next generation but by then it is too late. It is the power of Ankh-Morpork that it is able to assimilate outsiders and turn them into Ankh-Morporkians who embody Ankh-Morpork values even as such people claim to hate Ankh-Morpork and desire to return to the "old country."

Much as Ankh-Morpork attracts outsiders, the city finds itself host to a wide variety of religions. Most Ankh-Morporkians seem indifferent to religion in their personal lives even as religious institutions seem to thrive. There is even a Temple of Small Gods devoted to cast off religions that services people who might not be particularly religious but who like religion as a general idea. The only people who seem interested in forcing their beliefs on others are the Omnians. Even they find themselves caught in the web of Ankh-Morpork sensibilities and are reduced to "aggressively" handing out pamphlets to unbelievers.  

This brings us to the question of markets. As Ankh-Morpork is not a Utopia, it should come as no surprise that Ankh-Morpork is not a free-market Utopia along the lines of Galt's Gulch populated by libertarian ideologues prepared to explain the evils of government planning. That being said, what is interesting about Ankh-Morpork is that it is precisely the kind of place in which innovation either happens or which innovators quickly make their way to in order to market their ideas. It is not that Vetinari loves innovation. On the contrary, he understands more than most people how innovations can make tidal waves in society and he knows that the entire basis of his power lies in his ability to offer people more of the same. It is not that Ankh-Morporkians themselves love innovation either, at least as a principle. That being said, Ankh-Morporkians can be seduced by the magic of a new invention. This allows for innovations to make a rapid jump from a prototype that someone is fooling around with to a part of the social fabric, moving through the stage of dangerous innovation too fast for an effective opposition to build up and stop it. 

Like Charles Dickens, Pratchett's depiction of businessmen was a mixed bag. I do love Harry King whose fortune literally is founded on human excrement. (See Raising Steam.) For a city in which so much is privatized, it is a mystery as to why Ankh-Morpork would need a government-run post-office or mint. (See Going Postal and Making Money.) Even in those cases, Vetinari takes a very hands-off approach and simply lets the conman Moist von Lipwig take charge. In both cases, it is the Ankh-Morpork spirit and not government planning that quickly takes over and cause these institutions to serve purposes beyond anyone's design. 

Ultimately, Pratchett also possessed Dickens' appreciation for the common unheroic virtues. People might be cowards and hypocrites (otherwise known as being self-interested), but they are redeemed by their petty loves and kindnesses. As with Dickens, this goes a long way to redeeming Pratchett. He is a defender of the common man with his bourgeois dreams of doing even the most humble job well and getting ahead as opposed to waging revolution. This is in contrast to the Marxist pretend support for the working class; no one despises the common man like a Marxist. 

The truth about Ankh-Morpork is that it is actually very well run; it is just that it is not being run by any person, not even Lord Vetinari. Ankh-Morpork is a liberal and even revolutionary city that is completely lacking in liberal revolutionaries. It is the deep-seated embed institutions of the city itself that transcend any politician, system of government or particular race that guard the city's liberty and allow it to thrive.  

Tuesday, June 4, 2019

Where Do We Go From Here? Let Us Make Government Equal Violence Again


Libertarians are a small minority in this country, without much particular influence. For all the complaints about the Koch brothers, we do not control academia. Our influence over Hollywood is so non-existent that we cannot even get a decent Atlas Shrugged filmed made. Assuming that this status quo is unlikely to change in our lifetime, our only chance of having some limited say over public policy is through an alliance with either liberals or conservatives (At this point, I am uncertain which is a better option so all can I do is urge libertarians to be charitable to whatever path other libertarians pursue, recognizing that there really are no good options.) Regardless of whether libertarians should be on the left or the right, I would hope that what unites us and what we should never lose track of is the desire to make it clear that government is a literal act of violence.

As we approach the one-hundredth anniversary of the Versailles Treaty, it is useful to note that the end of World War I marked a critical turning point in a moral revolution almost as important as the Enlightenment's turn to equality as a moral principle. World War I was made possible because people, as it was the norm throughout history, looked to war as something noble. Millions of men marched to war in 1914 on the logic that the worst that could happen was that they would die and be remembered as heroes. Most likely, the war would be over by Christmas and they would be able to go home to show off a minor injury that would mark them forever as "real men." It is important to keep in mind that women were fully culpable in pushing this logic on men by shaming them into fighting. Such a state of affairs was not something unique to 1914. It goes all the way back to at least the Iliad.

Perhaps, the finest summation of such war apologetics can be found in Shakespeare's Henry V.




Critical for understanding the play is the fact that Shakespeare does not ask us to care about medieval dynastic politics. It is irrelevant whether Henry V has a legitimate claim to the throne of France. There is no pretense that fighting for Henry will make the world safe for hereditary monarchy through the female line (the official issue at stake in the Hundred Years War). What Henry offers his men is the opportunity to be part of his "band of brothers," to be remembered as such heroes that someone would write a play about them nearly two centuries later. (This is a good example of the "post-modern" side to Shakespeare where he regularly gives his characters a certain awareness that they are actors in a play.)

This view of war as an opportunity to win personal glory died in the mud of the Western Trenches. World War II could still be fought for the ideologies of Fascism, Communism, and Democracy, but no more could intellectually series people think of war as a principled good in itself. What is critical to understand here is not that 20th-century man abandoned war nor is it likely that peace will come to the world in the 21st century (even as we continue to enjoy the long peace of no war between major powers since World War II). What can no longer be seriously contemplated, even as superhero action movies remain popular, is any discussion of war that omits the obvious fact that war involves murder and the fact that it might be carried out by men in uniform following orders from their superiors does nothing to change that. Wars may continue to be fought as inescapable tragedies, but there is no escaping their morally problematic nature.

In practice, this means that in debating war, opponents of war start with the moral high ground. For example, with the Iraq War, the Bush administration could not even simply argue that Saddam Hussein was a bad guy and that the United States was legally justified in removing him, let alone that they were offering young Americans the opportunity to take part in a "glorious" adventure. They needed to argue that Saddam presented a clear and present danger to the world through his possession of weapons of mass destruction. The fact that these accusations turned out to be false fatally compromised the moral position of the United States in occupying Iraq.

The success of anti-war movements in making war morally problematic offers us a model for what libertarians might achieve in the 21st century. Even if we cannot stop the expansion of government let alone eliminate it, we can still make government morally problematic.

My model for this is the Road to Serfdom, in which Friedrich Hayek directly connected the romanticization of war as the county coming together for a single cause to the argument for continuing that same military logic in peacetime with a government-run economy. It stands to the credit of Hayek that conservatives developed a guilty conscious regarding government (distinct from actually cutting government spending). This was a valid justification for allying with conservatives in the past and it may continue to be so in the future. Clearly, this is not the case with the wider society. On the contrary, when people, particularly on the left, talk about government, there is a tendency to see it in terms of "everyone coming together for the common good." By contrast, markets are seen as manifestations of greed. This gives government action the moral high ground.

We can criticize government policies and we will win some major victories. Hardcore Marxism went down with the Cold War. Even the Chinese Communist Party accepts market control over much of the economy. Democratic Socialists like Bernie Sanders are not revolutionaries trying to nationalize everything. On the contrary, they largely accept the current status quo. That being said, such victories often seem hallow as we cannot escape the sense that our opponents are simply rearming, waiting for their chance to make their next big push. The reason for this is that the horrors of Communism did not discredit government in the same sense that the horrors of Nazism discredited racism. (Try claiming to be a "Democratic Nazi.") From this perspective, Communism stands as a "noble" experiment, its failures a lesson for future attempts to bring about the brotherhood of man. By contrast, those who oppose Communism on principle, stand convicted of being so selfish as to oppose human brotherhood.

My modest goal for libertarianism is to simply make it impossible, within mainstream society, to talk about government programs without acknowledging that violence is being advocated. Today, we can take it for granted that defenders of the military are not going to be able to ignore the fact that war inevitably leads to atrocities while denouncing their opponents as cowards who hate their country. Similarly, we can push the debate to a point in which defenders of government programs are not able to simply portray themselves as humanitarians and their opponents as greedy corporate shills. On the contrary, it is we who oppose government who are the true humanitarians. We are the ones who do not wish to use violence.

You wish to have public education and universal health care? Fine, just as long as you are willing to admit that you believe that it is right and laudable to murder children if that is the only way to get people to pay for these programs. We libertarians may still lose the debate if we cannot offer a better alternative, but if we lose we will still be able to hold our heads up high and claim the moral high ground as the humanitarians who dared to dream of a world without violence. If we can do that, who knows, maybe the next generation will be able to come up with a plan that really does make government services unnecessary. 



Thursday, May 5, 2011

Hayek Vs. Keynes




So here we have a remarkably intelligent presentation of the economic debate between Friedrich Hayek and John Maynard Keynes as a rap song and a boxing match. Hayek is assisted by Ludwig van Mises, Keynes by Thomas Malthus. I must admit I am not sure how Malthus fits with Keynes. I would think of Malthus more as being with Hayek in terms of being against government spending on welfare programs. I guess the connection to Keynes is that they both saw man in animalistic terms, motivated by the passions, instead of Hayek's rational producer and consumer.

Monday, January 24, 2011

Peter Cunaeus’ Biblical Turn to the Redistribution of Wealth




Eric Nelson's The Hebrew Republic: Jewish Sources and the Transformation of European Political Thought is an analysis of the origins of Enlightenment political liberalism. Nelson makes the case, that contrary to popular belief, Enlightenment political liberalism came out of not secularism, but early modern Christian Hebraism and its turn toward the Old Testament as a political constitution, particularly at the expense of classical sources. Aristotelian political thought could recognize monarchy, aristocracy and democracy as all being legitimate forms of political authority. For early modern Christian Hebraists, the Old Testament recognized one form of government as being legitimate, the republic.

One of the issues that Nelson discusses that caught my attention is the redistribution of wealth. He argues that before the sixteenth century all discussions about the redistribution of wealth took as their starting point Cicero's vehement rejection of Roman agrarian reform laws, whether that of the Gracchi brothers or that of Julius Caesar, which attempted to give land to Rome's poor. Even opponents of private property like Machiavelli and Thomas More based their opposition solely on civic morality and not out of a desire to create a more equitable society. According to Nelson:

 
When [Peter] Cunaeus, professor of jurisprudence at the University of Leiden, came to reflect on the equal division of land mandated by God among Israelite families and tribes – it seemed immediately obvious to him that this should be called an "agrarian law" (lex agraria), just like the one proposed by Licinius Stolo among the Romans. With one small gesture of analogy, Cunaeus rendered the agrarian laws not only respectable but also divinely sanctioned. If God had ordained agrarian laws in his own commonwealth, then Cicero had to be wrong. (pg. 64.)


Cicero's opposition to agrarian laws made him a hero for libertarians such as Hayek, who saw in Cicero the foundational figure of the principled defense of private property as the very basis of any law and order society. History vindicated Cicero as the agrarian laws turned out to be cover for Caesar's takeover of power and the destruction of the Roman republic. So who do we blame for the West's turn away from path of Cicero, the Bible or Christians trying to interpret the Bible and making a mess out of it (as usual)?

Friday, January 7, 2011

Easy Libertarianism





Baruch Pelta has agreed to resume our discussion about libertarianism. Beyond the issue of libertarianism, there is the issue of activist academics. Baruch takes offense that I would compare him and activist academics to Haredim. He also implies that I question the sanity of my opponents. Perhaps because I am a libertarian, I am very sensitive to any form of physical coercion. In a world in which the government did not fund academia, academics would certainly be free to do as they pleased. But as long as academics do receive money from the government and hence from every taxpayer, liberal, conservative, communist and white supremacist, academics have the obligation to not use their government-sponsored position to advance any particular partisan cause. To do so would be to force the government to take sides in the ideological conflicts of society and choose one side over the other, delegitimizing them and coercing them to pay for the advancement of those same ideas they oppose.


Are activist academics the moral equivalent of Haredim who blatantly distort historical facts in order to better advance their own personal beliefs? To be clear, I have run into Haredim who openly admitted to me that they did not believe in any independent concept of truth and that truth, therefore, was simply their personal Jewish beliefs. I do not see academics, even activist academics, as being that blatantly hostile to truth. That being said, if we break things down to their mental building blocks we will find that our activist academics and Haredim operate from identical premises. Both sides believe that the great masses of humanity are mentally flawed and in need of guidance by a "higher intelligence." If there is a difference it is that Haredim are more honest in their beliefs and utterly ruthless in pursuing the inevitable conclusions.


In this, I am following Friedrich Hayek's diagnosis of modern liberals. According to Hayek both left-wing socialists and right-wing fascists were really identical in that they accepted as their fundamental premise that government had the right to interfere in the economy in the name of some "public good," which the people are unable of accomplishing on their own. Fascists were simply those who had jumped ahead of their socialist forbearers in ruthlessly pursuing this ideology to its inevitable tyrannical conclusion.


Does this mean that I believe that my opponents are insane and should be placed on the next edition of the DSM? No more than Hayek did. Keep in mind that libertarianism would force the government into far narrower understandings of mental illness. Since the government would only deal with physical harm, it could only rule mentally unfit those incapable of understanding the social contract of not causing physical harm to others and are thus presumably at risk of causing such physical harm. By such standards, Baruch and the vast majority of liberals must be accepted as mentally fit. This does not mean that they lack for mental blind spots. As evolutionary psychology has taught us, human beings are hardly the invulnerable fortresses of rationalism. For example, like our primate relatives, we have difficulty quantifying risk.







This is relevant to libertarianism in that it explains why people are so easily scammed by government into only seeing how government helps their particular special interest in fleecing everyone else, ignoring how the government is doing the same thing for every other special interest as well.

I am just as "mentally ill" as Baruch. I recognize that my mind is flawed, but it is because I recognize that my mind is so flawed that I accept the fact that I cannot get by through my own intelligence and need it bound by various methods of thinking (like the scientific and historical methods) and should not take it upon myself to try enforcing the "truths" of this very flawed mind on other people.

It is telling that Baruch would juxtapose a quote of mine with H.L. Mencken saying that no one "has ever lost money by underestimating the intelligence of the great masses of the plain people." Apparently, Baruch seems to agree with Mencken. In truth, the masses of plain people are very intelligent, though, admittedly, only when they make decisions by themselves, without knowing what anyone else is thinking. Regardless of that, I ask you to consider the fundamental mental building blocks supporting the notion that regular people are not very intelligent. In the conservative worldview, people are not assumed to be very intelligent. Because of this, there is little hope in simply allowing people to negotiate through their differences and so solutions must be forcefully imposed from above by some "higher intelligence." Then there is the liberal worldview that holds that people are capable of negotiating through their differences if left to their own devices without some solution being forcefully imposed from above. I believe that human beings are mentally flawed, but that the free market has a way of compensating for this allowing human beings to interact with each other in a way that approximates reason. I am fundamentally a liberal in how I conceive the world. Haredim clearly operate out of a conservative worldview. Mencken, despite his supposed liberalism, was also really cut from the same cloth. I would say the same about any activist academic, using a government-funded post to push his values on the masses below him. What about Baruch? Where are his values rooted?

Sunday, January 2, 2011

New York Magazine Does Libertarianism




Christopher Beam of New York magazine has a long article on Libertarianism, "The Trouble with Liberty." The article does a good job at placing Libertarianism within the context of modern political debate, starting with Ron and Rand Paul, the most prominent libertarians holding political office down through the variety of libertarian movements in existence. There is also a summary of the intellectual roots of Libertarianism, mentioning not just Friedrich Hayek, Milton Friedman, and Ayn Rand, but Ludwig von Mises and Murray Rothbard as well.

The problem, though, is that Beam seems unable to resist his journalist condensation, throwing in jabs like calling Libertarianism "the crazy uncle of American politics: loud and cocky and occasionally profound but always a bit unhinged" and "the weird, Magic-card-collecting, twelve-sided-die-wielding outcast of American political philosophy." This carries over into a condescending lecture as to how libertarians lack the practical sense as to how to go about realizing their ideals and that no one would really want to live under a libertarian government anyway. According to Beam:


Libertarian minarchy is an elegant idea in the abstract. But the moment you get specific, the foundation starts to crumble. Say we started from scratch and created a society in which government covered only the bare essentials of an army, police, and a courts system. I'm a farmer, and I want to sell my crops. In Libertopia, I can sell them in exchange for money. Where does the money come from? Easy, a private bank. Who prints the money? Well, for that we'd need a central bank—otherwise you'd have a thousand banks with a thousand different types of currency. (Some libertarians advocate this.) Okay, fine, we'll create a central bank.

 

We would not have to start from scratch, we would just have to accept that most of the major laws created since the New Deal and Supreme Court rulings since the Warren era were unconstitutional and toss them over the side. Creating a central bank to print most of the money for a county would be quite simple. You start with local banks owning precious metals or land and offering currency to shareholders. These currency shares could then be bought out by larger banks in exchange for currency of their own until one bank comes to dominate the printing of currency. None of this would require government to do anything more than prosecuting banks if they ever tried to defraud their customers and enforce all contracts.

 

Some people don't have jobs. So we create charities to feed and clothe them. What if there isn't enough charity money to help them? Well, we don't want them to start stealing, so we'd better create a welfare system to cover their basic necessities.

 

There is plenty of poverty around the world. Often this leads to people turning to terrorism. Yet somehow I can sleep at night despite the fact that my government has not taken upon itself the responsibility of ending global poverty by itself. Taking care of the have nots is the responsibility of those who have (and this includes people living on graduate student salaries). I see no reason to treat the far less extreme poverty in this country any differently. It would be a moral blight on society, as a whole, if someone were to starve to death, but that does not justify endangering the liberties of every single man, woman, and child by authorizing the government to redistribute wealth as it sees fit.

 

We'd need education, of course, so a few entrepreneurs would start private schools. Some would be excellent. Others would be mediocre. The poorest students would receive vouchers that allowed them to attend school. Where would those vouchers come from? Charity. Again, what if that doesn't suffice? Perhaps the government would have to set up a school or two after all.

 

If charity did not suffice perhaps a private business could offer a loan or parents could turn their children into stock companies and sell shares in the child's future earnings. If that does not work, perhaps we need to consider whether this child will actually benefit from a formal education in the first place and would not simply be better off shining shoes or picking cotton. Last I checked there is no such thing as a right to an education; that is simply one more scam invented by politicians in order to demand more power over private individuals.

 

There are reasons our current society evolved out of a libertarian document like the Constitution. The Federal Reserve was created after the panic of 1907 to help the government reduce economic uncertainty. The Civil Rights Act was necessary because "states' rights" had become a cover for unconstitutional practices. The welfare system evolved because private charity didn't suffice.

 

The Federal Reserve caused the Great Depression. Yes, there is a reason why our society has moved in a direction of greater government control. Every special interest group desires that government step in for their benefit. On top of that, there is the greatest special interest group of all, government bureaucrats. No matter what happens, government bureaucrats will insist that the solution is more government. You have a population brought up on politicians speeches and government public schools to believe this nonsense. Thus we have a society in which everyone tries to rob everyone else and politicians stand on the side taking the biggest cut of all.

 

Putting a libertarian government into power is simple in theory. We need a society that accepts libertarian principles and for everyone to agree to stop trying to use government for their own special interests. The fact that we do not have this cannot be blamed on libertarians but on those still under the sway of the scam of modern liberal big government. Libertarians unlike everyone else actually are consistent in their beliefs and have meaningful solutions to the problems of today that do not involve one group trying to trick or coerce any other. Our solutions may not make you comfortable; you might think that we are strange, but until you can offer something better you have no grounds to talk down to us or even debate us in the first place.

 

Wednesday, December 15, 2010

Ayn Rand’s Road to Serfdom (Part II)




(Part I)





The plot of Atlas Shrugged occurs against the background of Friedrich Hayek's scenario. The biggest departure is that Ayn Rand never bothers to bring in a formal dictator. Even this can be seen as an astute adaption of Hayek. For Hayek the creation of a Hitler, while the endpoint, is really incidental to the whole process. The real work of Fascism was not done by the Nazis, but by the mainstream German left and right decades before. Tyranny does not corrupt the free society, but is the incidental byproduct of the corrupted free society.

In the novel the two main characters, Dagny Taggart and Hank Rearden, are businesspeople trying to succeed against a government and a society following Hayek's downward trajectory. Dagny works in railroads and is trying to build a new line in Colorado, the state with the fewest government regulations and the most robust economy. Hank is trying to market his new "Rearden Steel." Dagny and Hank form a business relationship (and start sleeping together) with Hank providing Dagny with Rearden Steel and Dagny providing Hank the opportunity to showcase to the world what Rearden Steel can do. The problem for Dagny and Hank is that the United States which they live in is dominated by the notion that private businesses should be run in such a way as to advance "the public interest." Dagny and Hank are unaware of this change in the culture and its implications for them. They are both people consumed with pursuing their own particular interests (with almost Asperger like dedication), who assume that everyone thinks like they do. This is not the case with Dagny's brother, James Taggart, and Hank's chief competitor, Orren Boyle, who embrace this new public minded spirit and, instead of working on their businesses, devote themselves to working the corridors of Washington in service of this "public interest."

In the name of public interest James gets an "anti-dog-eat-dog rule," to limit "destructive" competition and drive his chief competitor out of business. Next, James and Boyle get an "Equalization of Opportunity Bill" passed with the help of Wesley Mouch, Hank's lobbyist, who betrays his employer. The Equalization of Opportunity Bill is a laundry list of regulations designed to serve the "public interest," but which descends into favors for special interests at the expense of someone else. The railroad unions want fewer cars to be run on each train and a lower speed limit to give more hours to workers. James, in the spirit of public mindedness, gives in to this demand when he is given a break from paying back the bonds bought by the investors Dagny brought aboard. Hank is stopped from moving his business to Colorado in order that jobs not be lost, but a limit is also placed on how much he can produce in order that other less fortunate people, like Boyle, are given a chance.

With the help of people like James Taggart and Orren Boyle, Wesley Mouch is able to become the Senior Coordinator of the Bureau of Economic Planning and Natural Resources, an unelected official with almost dictatorial power over the country. He rules through an unholy alliance of special interests, from James and Orren to Fred Kinnon of Amalgamated Labor and Dr. Floyd Ferris of the State Science Institute. Together they pass Directive 10-289, which shifts the logic of the Equalization of Opportunity Bill from corrupt meddlesome government to State Fascism. Everyone must work for the public benefit; anyone who does not is not just selfish, but a criminal. All businesses must produce the same amount as pre-depression times. Workers must work the same amount of hours and at the same pay as they did before. No one is allowed to leave their job without special permission from the "Unification Board." Everyone must spend the same amount of money as they did in previous years. There is even a rule against new books being published (including books that might be critical of these policies) so that authors whom the public had yet to read could be given a chance.

In the spirit of Hayek, Rand is most effective when confronting the issue whose public interest is at stake and the consequences of accepting unstated philosophical premises. Some of the best scenes in the book are when the various villains wave the banner of "public interest," a term that Rand turns into a curse word by the end of the book. The villains, to great comic effect, sit down and try negotiate, between themselves, which of the many "worthy" public interests need to be considered and who should have to be sacrificed in the name of the public interest. Finally there are the moments when these characters have to face up to the true consequences of their abandonment of firm moral principles for pragmatism. For example, James Taggart finds himself yelling about the sacredness of a contract, when the labor union controlled Unification Board makes him the sacrifice to their public interest, only to realize that he was the one who destroyed the value of a contract when he sacrificed his investors by not paying them for the bonds.

The crucial difference between Hayek and Rand, where Rand goes off the train tracks to become Rand, is that for Hayek this scenario is a tragedy put into place by intelligent people, who had all the right intentions. If Hayek attacked Fascism (the socialism of the right), he also was defending German culture, essentially telling his English audience: we Germans did this not because we had any natural disposition to tyrannical rule or for mindlessly obeying orders. Our liberal tradition was as good as yours if not better. We fell because we so desired for the government to advance the public interest and turned to this ideal several decades before you did. Both the left and the right accepted this until between these two forces there were no honest liberals left. If these ideas came from the left, it was the German right that truly embraced them and took them to their logical and murderous conclusions.

For Rand, the problem is not just the notion that government should act for the public interest, but that people should try acting for the good of others in the first place. Thus, in the novel, there is no spirit of tragedy, or even tragic-comedy, in which good people are brought down by the unforeseen consequences of their strengths. On the contrary, there are simply moral degenerates, who fail to live according to Objectivist values of selfishness, and therefore deserve their fates. This is played out in Rand's solution to the problems faced by her heroes. She has them join John Galt and his followers in their "strike of the mind" as they attempt to bring down the entire economy even at the expense of allowing millions of people to die of starvation. For Rand, the true villains are not Mouch and his cronies in Washington, but the millions of people who honestly believed in doing good for others and thought they were doing that by supporting Mouch's economic planning. This point is most clearly made in one particular scene in which Rand sets up a major train crash in a Taggart tunnel. Before the accident occurs, Rand offers vignettes of different anonymous people on the train about to die, including a mother with her children who had always been hostile to the rich and assumed that government regulations would only harm them. The message is that these people, including women and children, were responsible for this state of affairs and deserved to die. The heroes are those, like John Galt, who can sit back with a lit cigarette (the groups special kind, featuring the symbol of the dollar) and allow society to crumble.

Following Hayek, I recognize and honor the good intentions and intelligence of those who support government control over the economy in the name of the public good. The fact that this is a path to the destruction of liberty, takes nothing away from this. On the contrary, it makes it a tragedy to be stopped and, failing that, to be mourned for. If a libertarian society is ever going to succeed it will do so ultimately because people are willing to work for the greater good and are willing to do so even without the government whip. For me, Libertarianism is not the rejection of public responsibility it is the opportunity to finally embrace it.

Sunday, December 12, 2010

Ayn Rand’s Road to Serfdom (Part I)




In an earlier post I discussed my mixed feelings, as a libertarian, about Ayn Rand. She was most certainly a libertarian and Libertarianism was the foundation of her thought, without which nothing else of hers can stand. That being said the Ayn Rand that most people are familiar with and the aspect of her thought that proves to be a turnoff, her glorification of selfishness, is that which is outside of Libertarianism. For that reason, Ayn Rand proves to be a tainted gift to libertarian thought. This was brought home to me in listening to Atlas Shrugged. At its heart, the novel plays out Friedrich Hayek's Road to Serfdom scenario. Unfortunately, Ayn Rand had to taint the novel by being Ayn Rand.

To summarize Hayek's scenario: the government, backed by mass popular demand, steps forward to direct the economy in such a way as to advance the "public interest." To do this, an economic board of planning (or group of czars) is set up to regulate the major industries, "big business," to stop the very real abuses going on and make sure they act according to the best interests of the public. These sentiments are certainly very noble and for this reason, most of the population (including its intellectuals) support this board; they are convinced that under the board's rational guidance the economy will become not just more equitable for the poor, but more effective for all. The problem is that no one realizes that in addition to the principles they thought they were signing on to, they also have, de facto, signed onto three other principles which are inimical to any liberalism. One, that there is such a thing as the "public interest" for the board to advance and to which everyone must submit to. Two, that anyone who goes against this public interest is an "enemy of the people." Three, that the economic board in service of the public interest is above the rule of law.

The board honestly attempts to promote the public interest, but immediately run up against the reality that there is no public interest, but literally millions of "special interest" groups. Who is the public interest, factory workers, farmers, office secretaries or college professors? All of these groups have conflicting interests and will insist that their interests are the interests that the board needs to advance as the public interest. It also turns out that rather than the paragons of wisdom and virtue envisioned by the public, the economic board consists of human beings, forming one more special interest, armed with the human capacity for self-delusion to equate their special interest (their continued ability to control the economy) with the public interest.

Meanwhile, in an exercise in the power of unforeseen consequences, representatives of all the major industries descend on the capital eager to demonstrate their willingness to embrace this new spirit of public mindedness and to make sure that any policy crafted by the board includes just the right loopholes to not affect them and destroy their competitors. Thus, the members of the board, rather than overseeing the abuses of big business soon find themselves in bed with them, but now under the unimpeachable banner of the public interest.

Beyond the potential damage created by any of the board's policies is the fact that they have set a new tone for the society. Even if our economic planners did not intend this, now the road to success is not in producing new goods for the economy, but in being able to navigate this new game of economic policymaking. Thus the nation's best and brightest turn from producing in the private economy to becoming lobbyists. They are followed by the nation's most disreputable and criminally inclined, who rush to take the new government jobs now that they offer a means to practice real world coercion over other people. Now, instead of being in private business, where the government can keep an eye on them, they are in the government, outside of government regulation, and serving the "public interest," making them really untouchable.

The board's attempt to craft an economic plan to serve the public interest was doomed even when the people involved actually had good intentions, let alone after what happened has in the meantime. Whatever plan they come up with will not benefit the entire range of the public. There is going to be a group of people whose interests are harmed and who must be sacrificed on the altar of this public interest. (Obviously the group of people who were the least effective at heading to the capital and lobbying the economic board.) In order to justify this, the board is going to need to villainize this group. Unlike under traditional liberalism where political losers can be left to lick their wounds and try again the next election cycle, this group needs to be cast as enemies of the people. How could they be anything less if they are against the "public interest?" It helps if this group consists of members of a traditionally despised minority. To sell its economic plan, with its chosen villain, the board will launch a massive propaganda campaign, using every available medium. Every man woman and child must be taught to know the public interest and how best to advance it.

What happens when this much touted economic plan fails to bring about all the miracles the public was promised? Rather than give up power, the board will insist that the continued economic difficulties are not proof that its measures were ineffective, but, on the contrary, that the policies were not taken far enough. Not enough action was taken against the enemies of the people, who were allowed to sabotage the public interest. The public will react not by turning against the board, but by giving it expanded power. (Government bureaucracies, like organized religions, have the power to survive any disaster and even benefit from them by arguing that failure is proof that the policies in question were not practiced zealously enough.) Before too long this board will find itself with the power to ignore such traditional protections as freedom of expression, innocent until proven guilty and due process. After all who has time to bother with such quaint practices now that there is a national emergency and the State is overrun with enemies of the public interest? The nation's former disreputable element, who previously flocked to government posts, gladly offer their services in carrying out the more distasteful of these tasks.

It should be noted that all of this is going on under a democratic system. From here it is only a small matter for a demagogue to arise and promise the public to bring the economic benefits so long promised by the board. After so many years of the board's public interest policies, which has caused everyone to act in a way that is most certainly not in the public interest, and propaganda, all sense of genuine civic virtue and liberty have long since rotted away from the society. The masses flock to this demagogue, but they are soon followed by the nation's intellectuals, whom one would have expected to know better. Finally, the board lays itself at the foot of our demagogue, placing him as dictator, Duce or Fuhrer, having already created for him the propaganda machine, police system and, most importantly, the intellectual justifications for him to use them for his tyrannical reign.


(To be continued …)

Tuesday, July 13, 2010

Adam’s Rib and Anarchy: A Response to David Friedman




Previously I wrote about Milton Friedman of blessed memory and his documentaries "Free to Choose," done during the 1980s. John Stossel recently devoted an episode of his talk show to pay homage to "Free to Choose."






Milton Friedman's son, David Friedman, is also a libertarian economist. In The Machinery of Freedom: A Guide to Radical Capitalism (follow the link to read the book for free), though, he takes his libertarian logic to its anarchist extreme. After spending the first half of the book suggesting ways to sell off excess parts of government such as schools and roads (policies that I heartily support), Friedman turns to government itself and to how we might function without it. Friedman offers the following scenario:


Suppose, then, that at some future time there are no government police, but instead private protection agencies. These agencies sell the service of protecting their clients against crime. Perhaps they also guarantee performance by insuring their clients against losses resulting from criminal acts.


How might such protection agencies protect? That would be an economic decision, depending on the costs and effectiveness of different alternatives. On the one extreme, they might limit themselves to passive defenses, installing elaborate locks and alarms. Or they might take no preventive action at all, but make great efforts to hunt down criminals guilty of crimes against their clients. They might maintain foot patrols or squad cars, like our present government police, or they might rely on electronic substitutes. In any case, they would be selling a service to their customers and would have a strong incentive to provide as high a quality of service as possible, at the lowest possible cost. It is reasonable to suppose that the quality of service would be higher and the cost lower than with the present governmental protective system.


Friedman's system goes all the way up to having private court systems. When members of different systems come into conflict the protection agencies step in as arbitrators. In essence, instead of one giant nation-State, we would have numerous private States with no relation to boundaries, but simply personal choice. The advantage of this is that people would be free to choose their protection agencies and even to switch agencies as it suits their interests.


I admit that there is a certain elegance to David Friedman's suggestion and if I were to try putting together an anarchist system it would look something like Friedman's. What I particularly admire about Friedman is that he comes to his anarchism honestly, from a libertarian desire to avoid coercion, as opposed to most anarchists who come to their beliefs from a socialism based desire to use coercion to overthrow capitalism. The problem, as I see it, with Friedman's anarcho-capitalism is that it does not take into account the question of authority; mainly that States, in order for their authority to be meaningful, need their citizens to accept them as having a meta-legitimacy regardless of what they think of specific decisions. The State cannot simply be something that you accept or reject based on how you feel about it at the moment.


Take for example a woman whose husband cheats on her. To play out this alternative Adam's Rib scenario, our woman approaches the political establishment, headed by Spencer Tracy, to demand justice. Spencer Tracy, operating within the parameters of modern legal theory, suggests that this woman should be able to get a divorce on favorable terms and might be able to sue for emotional harm. Now if we are operating by standard government, the story ends here. Regardless of whether this woman believes that her honor has been violated and that it can only be redeemed if her husband and his mistress are given a more frontier form of justice, such as a bullet in the arm, she is held back by her "social contract" with the government. As long as the government protects her life, liberty, and property, she is required to obey the law even when the results are not to her liking. Enter Friedman's anarcho-capitalism and all of a sudden we have an alternative to this woman going into therapy to get over her wounded sense of honor. She can break off services with Spencer Tracy's conventional modern justice protection agency and take up Katherine Hepburn's alternative protection agency, which offers its clients the option of choosing from its select line of vendetta specialists (otherwise known as hit-men) to bring them a more "personal" justice. Perhaps our woman can take a leaf from Shylock and prepare her scales to receive her pound of flesh and start sharpening her knife against her shoe. It is useless here to tell the woman that such actions are wrong because she believes that, in this case, she is in the right, and now she has a justice system to give her what is "rightfully" hers.


Libertarianism relies on the fact that people are usually rational in their economic activities and can shrug off the exceptions. These principles break down when it comes to tort law because it means handing decision making over to people who, in their current state, are, by definition, incapable of making rational decisions. Think of divorce cases with both parties engage in a mutually destructive conflict, consumed by a hatred for the other and egged on by their lawyers. Besides for being personal, divorce cases suffer from the fact that they lack clear expectations and rules of conduct. Allow someone to stew in their anger and they are likely to believe that they deserve nothing less than a pound of flesh and if their current venue does not give it to them, they will find one that will. Friedman's anarcho-capitalism would mean divorce style cases across the board with guns to boot.


I would also add a libertarian objection to Friedman's system. Libertarianism relies on a distinction between direct physical harm, which is the proper object of government intervention, and non-physical harm, which the government has no place in and which must be left to the individual to pursue privately through the social realm. (For example, our woman might not be able to use the government to punish her cheating husband, but she can still have him publically humiliated by being thrown out of his church or synagogue.) Once we turn to anarcho-capitalism, there is no longer any distinction between the political and social; everything becomes social. As such the protection system, coming to replace the government, will no longer be bound by physical harm. People can pursue "justice" for the non-physical harm done to them and keep looking for a protection agency that gives it to them until they find one.


If I were to hone in on the difference between David Friedman and I it is that Friedman approaches the issue squarely from an economics perspective. He assumes rational behavior on the part of his participants as they pursue their monetary self-interest. I come to the issue from political theory and therefore ask how it is that governments can carry innate authority. This is something outside of economics and outside of pure reason as the nature of the game is for everyone to buy into an illusion. This is strange because Friedman does not strike me as a narrow-minded economist. For one thing, in addition to his father and Friedrich Hayek, he also dedicates his book to Robert A. Heinlein. Friedman has a strong interest in science-fiction and fantasy and has even written some; my challenge to him is why has he not allowed these things to come over into his political writing to transcend the mere economist in him?

Sunday, July 11, 2010

Friedrich A. Hayek on the Fundamental Weaknesses of Conservatism



I was just reading Friedrich A. Hayek's essay "Why I am not a Conservative." It is an exemplary statement of the travails of someone who, having rejected modern liberalism, finds he is unable to stand with conservatives. There are a number of passages I thought worth sharing with readers. As Hayek sees it, the fundamental weakness of conservatism is that it is an intellectual non-option.

[Conservatism] by its very nature … cannot offer an alternative to the direction in which we are moving. It may succeed by its resistance to current tendencies in slowing down undesirable developments, but, since it does not indicate another direction, it cannot prevent their continuance. It has, for this reason, invariably been the fate of conservatism to be dragged along a path not of its own choosing. The tug of war between conservatives and progressives can only affect the speed, not the direction, of contemporary developments. (The Constitution of Liberty pg. 398.)

The ideological bankruptcy of conservatism plays itself it in how it confronts new ideas.

Conservatives feel instinctively that it is new ideas more than anything else that cause change. But, from its point of view rightly, conservatism fears new ideas because it has no distinctive principles of its own to oppose to them; and, by its distrust of theory and its lack of imagination concerning anything except that which experience has already proved, it deprives itself of the weapons needed in the struggle of ideas. Unlike liberalism with its fundamental belief in the long-range power of ideas, conservatism is bound by the stock of ideas inherited at a given time. And since it does not really believe in the power of argument, its last resort is generally a claim to superior wisdom, based on some self-arrogated superior quality. (Pg. 404.)

Hayek specifically castigated conservatives for their lack of imagination concerning evolution:

I can have little patience with those who oppose, for instance, the theory of evolution or what are called "mechanistic" explanations of the phenomena of life simply because of certain moral consequences which at first seem to follow from these theories, and still less with those who regard it as irreverent or impious to ask certain questions at all. By refusing to face the facts, the conservative only weakens his own position. Frequently the conclusions which rationalist presumption draws from new scientific insights do not at all follow from them. But only by actively taking part in the elaboration of the consequences of new discoveries do we learn whether or not they fit into our world picture and, if so, how. (pg. 404-05.)

I find Hayek's call to take part in the intellectual discussion of the day particularly noteworthy. If you are not an active part of the discussion, offering serious alternatives, then you have no grounds to offer a word of criticism even to begin with.