Agreeing With Statists For The Wrong Reasons: Cryptocurrency Bans

Since shortly after its invention, cryptocurrency has had the attention of central bankers and government regulators all over the world. Without the slightest hint of self-reflection, they have repeatedly warned that Bitcoin, Litecoin, Ethereum, Ripple, and all the rest may be scams or tools to be used by terrorists, drug dealers, money launderers, and other ne’er-do-wells. Several countries have either considered cracking down on crypto exchanges or have already done so. Sometimes satire just writes itself; the fiat currencies that they create and inflate are far more commonly used in the criminal underworld, not to mention the criminal overworld that they run. Speaking of scams, currencies that lose 95 percent of their value over a century have proven quite effective at snatching the wealth out of people’s pockets without them even knowing it.

But perhaps the politicians and legacy financiers are on to something with their desire to ban cryptocurrency. Let us see how government efforts to ban crypto could actually strengthen crypto and do themselves in, and thus why one might agree with statists for the wrong reasons.

If cryptocurrencies are banned, they will not magically disappear, nor will many of the people who use them stop doing so. After all, did bans on drugs or guns ever eliminate those? Of course not; both are more common where they are banned than where they are legal but heavily regulated. Cryptocurrencies perform valuable services for people, and that which has a demand will have a supply. If this cannot happen legally, then it will happen illegally, as with any other commodity. States are good at destroying other centralized entities, but disrupting a decentralized system with no clear point of attack has never been their strong suit. Just look at how much copyrighted material is illegally available online. States cannot stop it because every time they arrest someone, seize a server, or shut down a website, dozens more pop up to replace them. So it would be with cryptocurrencies and sites that accept them. Showing such bans to be ineffective will be an important propaganda victory for crypto users, as will the very fact that it was tried. For why would the state and its central bank have to ban competitors unless their money was too inferior to compete?

To be fair, the blockchains and websites that do come under government attack may have some difficulties. Government hackers may be able to compromise a blockchain with weak cryptography or a website with weak security measures. But adversity breeds innovation, and most people who hack computers for the state have those jobs either because they lack the skill to make more money in the private sector or because the state has some criminal evidence hanging over them. The former are incompetent, while the latter have an incentive to do the minimum to stay out of trouble instead of their best work. Just as website owners appreciate script kiddies who think they can hack for the free security testing they provide, so will cryptocurrency developers come to appreciate attempts by government intelligence agencies to rewrite the blockchain. Customers, meanwhile, can thank the state for providing the electronic equivalent of a eugenics program, killing off the weak currencies and websites to make room for the strong.

On the subject of customer benefits, a ban could make cryptocurrency trading very profitable. Shutdowns and rumors of shutdowns of these venues have already caused exchange rate volatility, presenting excellent buying opportunities. Should a more concerted effort occur, cashouts by people who want to be law-abiding could provide a better opportunity for scofflaws than anything thus far. This process would get the financial establishment out of the crypto world, and much of their financial trickery with them. A more honest marketplace is a better marketplace. Meanwhile, the culture of crypto would return to its anarcho-captialist roots, as those would be the people still using it.

Again, banning something does not get rid of it; it simply goes underground into the black market, which has several important side effects. First, the amount of violence involved in a trade increases, as official means of dispute arbitration are no longer available. But the nature of blockchain technology counters this effect. That is why Silk Road was so popular; it reduced violence in the drug trade by using technology to provide peaceful means of resolving disputes over drug deals while giving users higher quality products. Second, the risk of arrest and the security measures to mitigate that risk drive up prices. This stands to make a tidy profit for those who buy crypto during the cashout before the ban and sell it on the black market afterward. Third, while the state can easily gain information concerning taxable income from legal, regulated exchanges and go after customers who do not give the taxman his cut, they will have a much harder time tracking all of the black market trades that would occur on a peer-to-peer basis in the absence of an exchange. In the words of Napoleon Bonaparte, “Never interrupt your enemy when he is making a mistake.” If Leviathan wants to cut off one of its own food sources, then by all means let it.

Another effect to consider is the migration of legal businesses. If the exchanges and merchants are banned in one country and do not want to keep operating illegally, then they will move to other countries that either want to host or lack the means to ban them. In practice, this means that the cryptocurrency economy will shift toward third-world countries without stable governments. To the extent that this has already happened, it has given people who lacked basic modern economic functionality the financial tools they need to begin improving their lives. Banning crypto in the most developed countries will help the poorest countries by sending jobs there. The resulting localization of usage would lead to cryptocurrencies being used more as money and less as technological curiosities or speculative vehicles, leading to exchange rate stabilization and greater economic security in such places. This would do more than any foreign aid program to lift third-worlders out of poverty, without any of the bribery that enriches despots and provides operational funding to war criminals.

Finally, banning crypto will motivate agorism more generally. With the official link between the fiat economy and the crypto economy severed, some people on the crypto side will end up staying there, especially if they had no success in the legacy system. Necessity is the mother of invention, and these people will have to innovate in order to survive. This has the potential to create the sort of dedicated counter-economics that can support an effective and hostile challenge to the globalist establishment. Friedrich Nietzsche once wrote, “That which is falling should also be pushed.” How much better it is when that which is falling manages to push itself. This, more than anything else, is why one should agree with statists for the wrong reasons when they seek to ban cryptocurrencies.

Book Review: Reactionary Liberty

Reactionary Liberty is a book about libertarian philosophy by Robert Taylor that approaches this and related subjects from a reactionary perspective. The book is divided into fifteen chapters, with a short introduction preceding.

Taylor begins with a four-page introduction in which he explains his motivations for writing the book. Mostly, this involves the decisive leftward shift in American libertarianism since the Ron Paul presidential campaigns of 2008 and 2012, including a notorious open letter to Paul read at the 2015 International Students for Liberty conference and Gary Johnson’s disastrous presentation in 2016. He briefly explains what is wrong with left-libertarianism and gives an outline of the structure of the book.

In the first chapter, Taylor begins with the non-aggression principle (NAP), self-ownership, and private property rights. Although Taylor notes the important distinction between just property and currently-held property, he fails to properly account for the role of conquest in determining property rights over the long term. Taylor goes on to explain the social and economic difficulties that arise without secure property rights. The failures of central planning are discussed, as are the differences between negative and positive rights. He lays out the history of natural law in Western philosophy, beginning with early Christian thinkers, continuing through Enlightenment philosophers, and culminating in Hans-Hermann Hoppe’s argumentation ethics. Taylor contrasts this with the state, which routinely violates natural law and rights. He details the many crimes of nation-states, war and debt slavery being chief among them. Taylor concludes by proposing an alternative to Marxist class theory which vilifies the state rather than the capitalist, and elevates the producer rather than the parasite.

The second chapter deals with the Austrian School perspective on the subject. Taylor takes the reader through praxeology, the action axiom, marginal utility, and the role of prices in efficiently allocating resources. Next, he explains why government and central bank interference with prices is so destructive. The section on money deals with the history of money according to the regression theorem, beginning with barter and commodity money, then progressing to precious metals and receipts for those metals. Taylor shows the reader that modern fiat currencies are a corruption of these receipts into instruments of inflation and debt slavery that facilitate unduly risky financial behavior, state largesse, and wars. In the Austrian view, these behaviors fuel the business cycle of booms and busts by distorting interest rates, which leads investors astray.

Spontaneous order and free markets are the subjects of the third chapter. Taylor begins with the economic calculation problem, the knowledge problem, and public choice theory, showing that central planning cannot succeed because it cannot calculate prices without the market and is further hampered by cynical concerns. He then covers the concept of spontaneous order, making the important and oft-overlooked observation that “there is no such thing as an unregulated market; the issue is, rather, who is doing the regulating.” These regulations take the form of trust, reputation, and freedom to dissociate, unless the state interferes by imposing its coercive regulations. Taylor frames the difference between state and market in terms of who gets profits and who suffers losses. The state privatizes profits and socializes losses, while the market does the opposite. Next, Taylor proposes the term marketization to describe the proper procedures for converting state monopolies into free-market entities, as privatization has acquired the meaning of turning over state monopolies to politically-connected oligarchs, as happened in Russia when the Soviet Union collapsed. He concludes the chapter by providing an outline of how businesses may function in a purely libertarian market while noting that the particulars can only be observed in the future, not precisely predicted in the present.

The fourth chapter offers a much-needed treatment of Cultural Marxism, a concept often (and incorrectly) dismissed by leftists as a conspiracy theory. Taylor traces its roots to the failure of political and economic Marxism in Europe after World War I, at which time Antonio Gramsci and Georg Lukacs resolved to apply Marxism to culture and use it to destroy traditional Western culture, which they faulted for the failure of communism to take root in most of the West. Taylor traces the ‘long march through the institutions’ from its beginnings in the 1930s all the way to its modern manifestations of identity politics and campus craziness. He calls on libertarians to refute Marxism’s cultural application, just as they defeated its economic application. The next section begins to do this by making the case against egalitarianism, showing it to be both impossible and self-defeating in practice. The second half of the chapter traverses more dubious ground in the form of r/K selection theory. This is an interesting analogy for attempting to understand political dynamics, but it places too much emphasis on nature instead of nurture and encourages dichotomous thinking in complex problems. That being said, it correctly suggests that some authoritarian leftists are beyond reason. The chapter ends with an explanation of the necessity of traditional social and sexual norms, as well as how and why Cultural Marxists have attacked them.

Decentralization is the focus of the fifth chapter. Taylor gives the reader a history lesson in the creation of Western traditions and common law through decentralized institutions after the fall of the Roman Empire. He blames centralization elsewhere in the world for preventing those peoples from enjoying the liberty and prosperity of Europeans. Turning to America, these two descriptions show the difference between what the United States was supposed to be and what it has become. As a remedy, Taylor proposes breaking up the US into at least 100 smaller territories. He concludes the chapter by praising those who have taken a strong stand for decentralization in the face of oppressive state power.

The sixth chapter attacks state power as a concept. Taylor explains how people are ruled indirectly through propaganda and mythology rather than directly by force, as the masses are sufficiently numerous and armed to defeat such an effort. He discusses the role of government schooling in indoctrinating the masses to accept such an arrangement, as well as the insufficient efforts to resist the imposition of compulsory indoctrination in the 19th century. The concept of situational Leninism comes next, followed by an overview of famous psychological experiments that demonstrate the willingness of people to obey authority toward reprehensible ends. After this, the role of language control and thought policing in maintaining authoritarian leftist control is examined. Taylor finishes the chapter with Ludwig von Mises’ concept of statolatry, in which statism becomes a sort of secular religion.

The attack continues in the next chapter, as Taylor turns to the flawed ideas of minarchism. He returns to the American example to show how limited government does not stay limited. He explains that the Constitution was not actually written to limit government, contrary to popular belief. It gave the federal government more power than it had under the Articles of Confederation, which Taylor praises in relative terms. He shows how Americans of the time were deceived, taking the reader through the tax rebellions of the 1780s-90s and the Alien and Sedition Acts. In the next section, he contrasts traditional monarchies with modern democracies, finding the former to be far less limited and more destructive due to inherent incentive structures. The chapter concludes with a strong explanation of why democracy grows the state and harms the cause of liberty.

In the eighth chapter, Taylor addresses police statism and what Samuel Francis termed ‘anarcho-tyranny’, a situation in which real crime goes unpunished while those who try to defend themselves are attacked by the state. He begins by noting the difference between a peace officer and an agent of the state. His description of several US Supreme Court cases is accurate, but misses the larger point that a coercive monopoly has no enforceable obligations because no one can enforce obligations against them, regardless of any court rulings. Taylor reviews Cultural Marxism through the lens of anarcho-tyranny, then explains some of the more obnoxious leftist behaviors in terms of Saul Alinsky’s Rules for Radicals. The successes of the alt-right are explained in terms of their willingness to use the left’s tactics against them, unlike conventional conservatives. Next, he covers the origin of modern policing in the UK and the US, then proposes a private alternative to state police forces. The last section contemplates violent resistance against the state, though not with nearly the length and depth that the topic deserves.

While the eighth chapter considers the enforcers, Chapter 9 is concerned with what they enforce. Taylor begins by illustrating just how much poorer everyone is today as a result of lost economic growth due to regulations. Next, he refutes the progressive narrative about the antebellum South and the industrial captains of the 19th century, showing the negative aspects of both to be the result of government intervention rather than its absence. He then profiles James J. Hill, a largely forgotten hero of free-market capitalism in the late 19th century. Hill’s good deeds are contrasted with those who used the state to get undue favors and suppress competition. Taylor also corrects the record on John D. Rockefeller. The following section covers the history of expanding regulations after the Civil War, through the Progressive Era, and on to the present. He accuses those who point to regulations as the cause of improvements in safety and reductions in pollution of committing the broken window fallacy and ignoring the fact that some regulations have made people less healthy. The chapter concludes with many examples of faulty regulations that do more harm than good.

The transition from voluntary mutual aid to coercive welfare statism is the subject of the tenth chapter. Taylor introduces the subject with the age-old statist question, “Without government, who would take care of the poor?” Of course, one must begin by pointing out that government does no such thing, as Taylor does. He spends the first part of the chapter educating the reader about mutual aid societies, which were common before the Progressive Era but were destroyed by government intervention into the healthcare and insurance industries. Taylor shows how the state has reduced the supply of medical care, thus increasing its cost and decreasing its availability. Unfortunately, Taylor’s approach ignores the Social Darwinist perspective that natural selection should be allowed to remove the least successful humans from the gene pool. The second half of the chapter debunks at length the myth of Scandinavian socialism.

The eleventh chapter deals with civil disobedience. Here, Taylor stumbles in the way that most libertarians do, in that he fails to understand raw power, celebrates small victories that will not occur on a large scale, and confuses the downfall of a particular regime with ending the state itself. He does this even while reciting the history of preparedness for the use of force among civil rights leaders and noting what the state has done to leaders of nonviolent resistance efforts. Taylor also manages to celebrate the effects of Western degeneracy among Middle Eastern youth. His encouragement of government agents to refuse unjust orders, leak information detailing abuses to the public, and otherwise engage in whistleblowing is more on point, though he notes the powerful incentive structure against doing so. The second half of the chapter details a plethora of private alternatives to services which have long been monopolized and/or heavily regulated by the state.

The growth of cryptocurrency and other peer-to-peer technologies is the focus of Chapter 12. Taylor provides a decent layperson’s overview of Bitcoin, then moves on to practical applications of cryptocurrency, such as funding dissidents suppressed by legacy financial networks, evading capital controls, and engaging in commercial activities forbidden by the state. Next, he covers the P2P revolution, which has greatly expanded liberty and privacy online and in the physical world. The remainder of the chapter runs through various examples of how P2P and blockchain technologies have solved problems and exposed corruption.

In the thirteenth chapter, Taylor addresses the open-borders dogma held by many libertarians. He demonstrates that open borders and forced integration are a form of the aforementioned anarcho-tyranny, with closed state borders being sub-optimal but less evil. The role of forced diversity in creating internal conflicts that lead to less liberty is considered, as is the biological phenomenon of kin selection in creating cohesive groups. Taylor makes the case that open borders are contrary to private property rights because in order to have open borders, the state must override the wishes of property owners who do not want migrants to enter. He then examines the history of US immigration policy from 1790 to the present, noting the shift in demographics admitted after 1965. The contention that the real problem is the welfare state rather than demographic shifts is rebutted both on the practical grounds of American politics and with the counterexample of European nations surviving socialism but falling into turmoil due to migrants.

The fourteenth chapter furthers the themes from Chapter 11 by discussing secession, nullification, and political migration. Taylor notes the myriad benefits of secession, but only briefly mentions the history of larger states violently suppressing such movements. Next, he covers the history of both legislative and jury nullification in opposing unjust laws. Taylor’s exploration of political migration is rather America-centric, but it can be adapted to other situations. His praise for the Free State Project comes off as overzealous, given the thoroughly leftist nature of that organization. He finishes the chapter with a concept called the Benedict Option, in which those who wish to preserve a tradition and begin a restoration retreat from the public and urban life of a degenerate culture.

The final chapter of the book is an argument against democratic government. This reads much like Hoppe’s Democracy: The God That Failed, quoting and borrowing from it extensively as Taylor explains the perverse incentive structures inherent in democracy and makes the case that monarchy has a superior incentive structure. But unlike Hoppe, Taylor contemplates physical removal as a means of achieving a libertarian social order in addition to a means of maintenance. As Taylor writes on page 283, “Economics teaches us that there is no such thing as a free lunch. But in order to achieve and maintain a libertarian social order, there will be free helicopter rides.” His defense of Augusto Pinochet’s actions in Chile and Lee Kuan Yew’s rule in Singapore as better than the alternatives is common in right-libertarian circles, but his defense of Francisco Franco goes a bit too far. Taylor ends with an exhortation to and description of a libertarian revolution, but this is, as before, too brief.

Overall, the book is good, but not great. For a book called Reactionary Liberty, it could have used more reaction in the form of lengthy explanations of traditional norms and power dynamics. Taylor seemed to lack an editor and proofreader, as some typos survived in very unfortunate places that render a few sentences absurd. A few chapters can become tedious when Taylor features a laundry list of examples. That being said, it is a strong presentation of right-libertarianism that is impeccably sourced.

Rating: 4/5

The Not-So-Current Year: 2017 In Review

Though the specific demarcation of the passage from one year into another is a rather arbitrary social construct, it does provide a useful annual period for self-examination and remembrance. Now that 2017 has entered the history books, let us take a look back at a year’s worth of essays and review the not-so-current year.

We begin, of course, with last year’s article of the same kind. Some articles in this list are sequels to articles in that list. Aside from that, we may move on.

I began 2017 by addressing a recurring story throughout the 2016 election campaign; that of Russia hacking the DNC and phishing Hillary Clinton campaign chairman John Podesta’s email system. I argued that Russia would have been justified in doing not only this, but in actually altering the election to cause Donald Trump to win. I would later use this piece as an example in a guide on how to argue more sharply in order to throw opponents out of their comfort zones. The story lingered on, so I published a sequel detailing the benefits of a Trump-Russia conspiracy. The left’s activities after the election became ridiculous, so I decided to give them some free advice.

My first list of 25 statist propaganda phrases and some concise rebuttals was a major hit, so I started planning a sequel. I had no intention of taking almost two years to compile 25 more statist propaganda phrases to refute, but better late than never, I suppose.

Donald Trump became the 45th President of the United States, which of course meant that Gary Johnson did not. I explored in detail what was wrong with Johnson’s campaign that made him not only lose, but fail to earn 5 percent of the vote against two of the least popular major-party candidates ever to seek the Presidency. Once Trump was in office, the responses to his trade policies among mainstream analysts led me to explain why many of them are politically autistic.

Book reviews have long been a part of my intellectual output, but I decided to start doing more of them in late 2016. This trend continued throughout 2017, as I read and reviewed The Invention of Russia, The Age of Jihad, In Our Own Image, Come And Take It, Against Empathy, Level Up Your Life, Islamic Exceptionalism, The Science of Selling, Closing The Courthouse Door, Open To Debate, Calculating the Cosmos, The Art of Invisibility, Libertarian Reaction, and The Euro.

Antifa grew from a nuisance that rarely affected anyone other than neo-Nazis into a serious threat to anyone who is politically right of center and/or libertarian who wishes to speak in a public venue. A comprehensive strategy to defeat them was necessary, and I was happy to provide one. Kyle Chapman grew weary of Antifa’s antics and led the effort to take up arms against them, becoming known as Based Stickman. I praised him in song. After the events of February, April, and May Day, I revised the strategy.

The Walking Dead comic series and the television show based on it contain many themes which are of interest to the student of libertarian philosophy. I explored the many ways in which Negan’s group resembles a state apparatus. The first part covers the sixth season of the show, and the second part covers the first half of the seventh season. At least three more parts will come next year.

‘No Particular Order-ism’, or the belief that libertarians should take whatever reduction in the size and scope of government they can get, has become common among the more radical members of the Libertarian Party. I explained why this approach is misguided.

White nationalist and alt-right leader Richard Spencer was present in the bar of the Marriott hotel that hosted the International Students For Liberty conference. This did not go over well with Jeffrey Tucker, who loudly denounced Spencer, after which security removed everyone from the bar. I wrote about the incident and the philosophical underpinnings of it.

Sometimes, the lens of examination is best turned inward to correct one’s own missteps. Such was the case for an article I wrote in 2014 about the nature of fake libertarianism, so I published a revision.

Theories concerning the creation, acquisition, trade, inheritance, and defense of private property form much of libertarian philosophy. The role of conquest in the determination of property rights had gone largely unexplored, so I decided to remedy the situation.

Terrorism struck in London on the anniversary of the Brussels attacks. I wrote a list of observations on the event.

I argued against more amendments to the United States Constitution, namely the Second and the Eleventh.

A chemical weapon attack occurred in Syria, which led to US intervention via a cruise missile strike. I wrote a list of observations on the event.

Keynesians and others who support fiat currency and central banking frequently claim that there is not enough gold in the world to back the quantity of currency in existence, and thus returning to gold would set off a deflationary spiral while destroying several industries that depend on gold. I debunked that claim.

On the anniversary of the Oklahoma City bombing, I applied ethical theories to the event to gain a deeper perspective of what happened and the aftermath of the event.

The primary aim of politically active libertarians is to limit and reduce the size and scope of government, as well as to eliminate as much state power as possible. I made the case that in order to do this, it may be necessary to temporarily do the opposite.

On May 8, Fritz Pendleton published an article at Social Matter in which he argued that liberty is best preserved by authority rather than anarchy. He then proceeded to launch a misguided attack against libertarianism, all while misunderstanding authority, anarchy, liberty, and the nature of a libertarian social order. I rebutted Pendleton’s case on a point-by-point basis.

Fashion trends can be a useful barometer of the health of a society. I explained how the trend of clothing that is designed to mimic the appearance of wear and work for those who think themselves above the sorts of activities that would produce these effects naturally indicates that a revolution may come soon.

Memorial Day provides an opportunity to promote statist propaganda concerning the nature of service and the provision of defense. I decided to do the opposite.

The immediate danger standard says that using force against someone who is not presenting a physical threat at the exact moment that force is used constitutes aggression, and it has become far too commonly advocated in libertarian circles. I explained why it is wrong and why it has gained prevalence.

On June 14, James Hodgkinson opened fire on several Republican members of Congress and their staffers while they were practicing for the annual Congressional Baseball Game for Charity. I wrote a list of observations on the event.

The Supreme Court ruled against the stays on Trump’s travel ban, but he missed a greater opportunity by letting them decide rather than ignoring the courts. I explained how and why.

Political rhetoric has grown increasingly heated, with violence erupting as a result. I showed how democracy is the root of this problem and how abolishing democracy is the solution.

The meme of throwing one’s political rivals out of helicopters has become popular among certain right-wing and libertarian groups in recent years. Unfortunately, people from all over the political spectrum tend to misunderstand the historical context of the meme, and thus interpret it incorrectly. I wrote an overview of this context and explained why helicopter rides may not be the best option.

I welcomed Insula Qui, the first additional writer for Zeroth Position, in July. He provided two articles to keep the site going while I was preparing for, participating in, and recovering from the Corax conference in Malta. A piece describing the problems that led to the call for net neutrality and recommending against more state inteference in the Internet came first, followed by a critique of common libertarian strategies to date. Speaking of the Corax conference, a revised version of my talk may be found here, as they own the rights to the original. A topic that came up in the talk that needed further comment is that in the discussion of proper behavior beyond the basics of libertarian theory, right-libertarians in general and libertarian reactionaries in particular will use the term ‘degeneracy,’ but they do not always properly define the term. I attempted to do so.

In the August 2 episode of the Tom Woods Show, he asserted that libertarians and fascists are completely contradictory political perspectives and could never be combined, and that when one embraces fascism, one must have relinquished one’s libertarianism, as there is no other solution that would make sense. Qui countered these assertions and delved deeper into the relationship between libertarianism and fascism than I had previously, which is not as inimical as one might think.

An alt-right rally in Charlottesville, Va. on August 11-12 turned violent, with three deaths and about 20 injuries. I wrote a list of observations on the events. In response, the large technology companies of Silicon Valley, which have become increasingly hostile to right-wing and libertarian content creators over the past decade, ramped up their censorship efforts. I proposed a novel and radical plan to deal with this problem so as to avoid public utility regulation.

I welcomed Benjamin Welton, our second additional writer, in September. I had meant to write an article about using the historical concept of outlawry to deal with violent illegal aliens myself, but time constraints led me to outsource the project. He then explored several historical examples of private military defense, finding that something novel must be created in order to defeat the state and maintain a libertarian social order.

In the wake of two major hurricanes, the usual complaints about price gouging were made yet again. I explained why price gouging is actually beneficial.

Qui wrote a piece about the limits of the applicability of libertarian philosophy, explaining that humans can fall into the categories of personhood or savagery, and that it is important to deal with each accordingly.

Catalonia held a referendum to secede from Spain and become an independent nation on October 1. This was met with force, and much hostility ensued. I wrote a list of observations on the events.

Qui examined the role of the modern concept of citizenship in advancing a particularly insidious form of totalitarianism.

On October 5, the New York Times published an opinion column by Michael Shermer in which he argued that the rule of law is a bulwark against tyranny, but guns are not. I thoroughly rebutted his arguments.

Welton explored the history of judicial corporal punishment, then made a case for restoring its use as a replacement for imprisoning lesser criminals.

The debt ceiling became a political issue again. As it incites financial panic for no good reason and hides important truths from common view, I advocated for its elimination on formalist grounds.

Capitalism and consumerism are distinct phenomena, with the latter caused by high time preference, which in turn is caused by the flaws inherent in modernity. Qui explained this at length.

I welcomed Nathan Dempsey, our third additional writer, in November. He runs a project called Liberty Minecraft, and wrote an introduction to the project.

The relationship between libertarianism and racial politics has become a controversial issue in recent years. Views on the issue run the gamut from complete opposition to imperative alliance, with nearly every conceivable position between being advocated by someone noteworthy. Many libertarians either provide the wrong answer or are afraid to address the question, so I decided to address libertarianism and support for ethnic nationalism.

Black Friday is revered by most libertarians as a celebration of free-market capitalism. I updated my explanation of why this reverence is misplaced. I weighed in on holiday shopping again due to some misguided criticism of computer programs designed to scalp popular gifts. Finally, I detailed the problems with Santa Claus.

Qui offered a message of hope in dark times by demonstrating how the socialists and anti-capitalists of today are not usually as fanatical as those that the early libertarians opposed, then offered advice on how to argue against them. He quickly followed this with an explanation of his concept of autostatism, which closely echoed one of the other presentations from the Corax conference. He then dealt with traditional views on degenerate behavior, and how a compassionate, non-enabling approach is necessary.

Due to surging exchange rates, the opening of Bitcoin futures, and the likelihood of Bitcoin exchange-traded funds in the near future, there is renewed mainstream interest in Bitcoin and other cryptocurrencies. There are benefits of cryptocurrencies which will be cheered by political outsiders to the chagrin of the establishment, and I listed eight of them.

Qui finished out the year by explaining why individualism and nationalism are not as incompatible as many people believe.

All in all, it was an interesting year full of occasions to make sharp libertarian and reactionary arguments. May 2018 bring more and better. Happy New Year!

Book Review: The Euro

The Euro is a book about the shortcomings of the eurozone currency project by American economist Joseph Stiglitz. The book makes a case against many of the policies pursued by European leaders thus far and recommends several alternatives, including further integration, a flexible euro, and the exit of one or more members. The book is divided into twelve chapters which explore different aspects of the problem and possible solutions.

A short preface details Stiglitz’s view of the economic problems of Europe as being largely attributable to the creation of a single currency zone without the creation of other institutions that are found in other such places elsewhere in the world. He compares the euro to the gold standard, repeating the flawed mainstream view that deflation is bad. His Keynesian approach to economics and thoroughly statist worldview is apparent from the beginning. That being said, Stiglitz appears to want to solve problems and correctly identifies some people and institutions as being uninterested in doing so.

The opening section begins with a chapter that expands upon the preface and outlines the rest of the book. There is little here that is not covered in greater detail later, so let us move on. In Chapter 2, Stiglitz argues that the poor results of the euro should have been expected because economic integration of this sort cannot come before political integration. Here, he contends that military might no longer shapes outcomes as it once did, but this is dubious because nothing short of a nuclear exchange that no one wants could have stopped the United States from conquering and colonizing Iraq if that had been the intention and American leadership had used its full power. So too for Russia in Ukraine and Crimea. His responses to other arguments for a single currency make more sense. He states the fallacious mainstream position on public goods, claiming without logic or evidence that it is impossible for markets to provide basic research and common utilities. This amounts to a confusion of collective action with state action. Even so, Stiglitz does recognize that localization is better than central planning from afar, though his disdain for German policies makes him inconsistent on this point. He then turns to economic integration, discussing the importance of German history with hyperinflation and its prominent role in modern Europe for understanding the European Central Bank. Next, Stiglitz writes about effect that a shared currency has on economic integration, which is mixed. Like many Keynesians, he accuses the market of failure when this is actually impossible; such events are actually failures of government, resources, or individual people. He also regards economics as scientific, even though the scientific method cannot be applied to subjects in which counterfactuals are so important but also unobservable. As usual, the word ‘neoliberal’ says more about the person using it than anything else. He concludes by arguing that there is a democratic deficit in Europe, even though he argues elsewhere in the book against incentive structures which are necessarily part of any democracy.

Europe’s lackluster economic performance since the 2008 crisis is the subject of the third chapter. Stiglitz begins by claiming that Keynesianism is a success because it has lengthened business cycles and shortened downturns, but it has also made the downturns that do occur so much worse that markets were better off before such interventionism. Much of the chapter consists of empirical data for Europe since 2007. When discussing unemployment, he seems not to recognize that unemployment benefits subsidize a negative behavior and will thus produce more of that behavior. Stiglitz relies upon the Gini coefficient when discussing inequality, which is a faulty metric because it measures pre-tax income rather than after-tax consumption. This causes it to exaggerate the amount of income inequality. His detailing of the long-term adverse effects of recession in terms of destroyed human capital is largely correct, but he again recommends interventionism that tends to worsen such problems. He also takes the position that the state should protect those at the economic bottom, though almost every economist would avoid social Darwinism on this front. Stiglitz then commits a fixed pie fallacy by arguing that trade surpluses necessarily cause trade deficits elsewhere, when the reality is quite different. He concludes by correctly noting that the counterfactuals help critics of the euro, and that there is no better explanation for many of Europe’s troubles than sharing a common currency across uncommon societies and economies.

The second section argues that the euro suffers from a flawed initial design. In Chapter 4, the requirements for a single currency region to be successful are considered. Here, Stiglitz uplifts full employment and market stability as goals while denouncing those who favor economic freedom as a “lunatic fringe.” This leads him to contemplate a false dilemma between national control of money and supranational control. He blames market fundamentalism (which he calls neoliberalism) for the crisis of 2008, despite the fact that markets were altered by central bankers in such a way as to cause the crash, which he all but says elsewhere. In explaining the differences between the United States and the eurozone, Stiglitz highlights the freer movement of Americans, the identity of Americans at the national level rather than the state level (at least in modern times), and the federal nature of monetary and fiscal stimulus. He is correct to say that there must either be “more Europe” or “less Europe,” but sides with the former. He describes the Keynesian theory of business cycles, but makes no mention of the Austrian theory. Stiglitz then repeats the tired fallacy that austerity caused the Great Depression and the current malaise, rather than central bank shenanigans and tariff policies. His blame for the gold standard is similarly misguided. He somewhat fixes an error from the previous chapter by clarifying that trade imbalances are not a problem if currency exchange rates can change to compensate for them. He straw-mans the laissez-faire position on unemployment by saying that it views unemployment due to market adjustments as good rather than as simply necessary. Stiglitz then gets a few points correct: low wages undermine worker morale and productivity, falling wages may not amount to falling prices if firms are worried about their solvency, and monetary stimulus has a breaking point at which interest rates cannot be lowered further. But he again blames the private sector for being excessive when it is only reacting to perverse incentives created by governments and central banks. There is little to fault in Stiglitz’s explanation of why currency areas are prone to crisis except for the preceding error, but it never occurs to him to simply not have such an area. The chapter ends by repeating many of the fallacious arguments from the previous chapter concerning trade surpluses and deficits.

The fifth chapter considers the economic divergence of the eurozone countries. Stiglitz argues in favor of institutional frameworks to prevent the need for bailouts, as well as funds to make depositors whole and provide bailouts. This ignores the moral hazard created by such a regime that causes bankers to take excessive risks, as well as the powerful incentives that an absence of protection would have on depositors to act responsibly and hold bankers accountable. His view of regulation is starry-eyed, missing the entire concept of regulatory capture. This is especially striking, given his focus on institutional capture in the following chapter. Stiglitz rightly complains of capitalized gains and socialized losses among bankers. In his consideration of other sources of divergence, he again fails to consider the possibility of turning over infrastructure to private development, instead proposing expansion of the European Investment Bank, which is certain to become another statist boondoggle. His view of knowledge markets is flawed in the same manner as his view of economies; it fails to account for the distortions that statism necessarily causes which lead to various types of failure. He concludes the chapter by showing how policies in the eurozone have caused greater instability, but cannot seem to avoid blaming the private sector for responding to the incentives imposed upon it.

In Chapter 6, Stiglitz examines the European Central Bank. He begins by saying that open markets and free competition can efficiently allocate resources only in the presence of adequate government regulation. This is a contradiction because an absence of government regulation defines an open market with free competition. His arguments concerning the inflation-only mandate of the ECB and the problems it causes would be much stronger if the Austrian business cycle theory were anywhere to be found in the book. His description of events in Chile under Pinochet does not agree with the long-term result of economic prosperity relative to the rest of South America and neglects how much worse conditions would have been under Salvador Allende. His claim that markets are supposed to be efficient and stable are a straw man; instability in the form of creative destruction and inefficiency by some metrics rather than others are inherent in a market economy. Stiglitz correctly writes that monetary policy is always a political question, pitting creditors against debtors for control of the central bank. But he leaves unclear how democracy is supposed to hold central bankers accountable. He also must not know any libertarians, or he would know that some people have proposed taking away spending power from governments to ensure that they do not misbehave. The chapter ends with a history of fashionable central bank policies over time and what was wrong with them from a Keynesian perspective.

The next two chapters delve into the Greek situation in particular, as Greece has suffered a more severe economic crisis than any other eurozone country. The seventh chapter explores the effect that the Troika’s policies had on countries in crisis. Stiglitz accuses some European leaders of acting in bad faith by purposefully attempting to punish governments with different political views from their own, which may be accurate. He continues his misguided attack on austerity, though it has more merit against what Europeans have actually done than against real austerity. He correctly explains the problem with primary surpluses, but then commits the broken window fallacy by embracing Keynesian multipliers. Stiglitz accurately diagnoses the problems of increasing taxes, but seeks to aid governments in collecting them rather than encourage economic freedom and stronger property rights. He describes his ideal system of property taxation in the same tone that a proud and unrepentant thief might use to boast of his crimes. Although he is correct to say that particular moves toward privatization and economic freedom may produce adverse results in particular contexts, this is a justification not for state intervention, but for undoing even more statism so as to remove the problematic context. Stiglitz notes that the hegemony of American military power has put Europe into a Pax Romana problem in which it cannot fend for itself against a real threat, but advises that this problem be worsened in the name of fiscal restraint. He compares reductions in pensions to wage theft when the two are clearly different. It is the responsibility of workers to figure out that they are being offered terms which may be impossible for the employer to meet in the future and practice caveat emptor. As for bank bailouts and debt restructuring, Stiglitz describes the situation well except for his faulty view of austerity.

Chapter 8 delves into structural reforms in Greece that made matters worse. Again, Stiglitz’s views of austerity and democracy corrupt an otherwise sound analysis of trivial and counterproductive actions taken by the Troika. He claims without proof that industrial policies are required to advance countries that are lagging behind in technological development, neglecting that markets are not doing this because they are either disallowed from doing so or are assuming that the state will do this for them. He criticizes intergenerational transmission of advantage and seeks to use the state against it, when it should be championed as both eugenic and important for maintaining a natural aristocracy. Stiglitz argues for a price on carbon emissions and claims that the private sector will not address climate change, when again the state has kept this from happening. He finishes by discussing counterfactuals, which is interesting given his empiricist thinking on economics.

The final four chapters deal with various proposals going forward. In the ninth chapter, Stiglitz offers his advice for fixing the eurozone. As before, he embraces what Henry Hazlitt called “the fetish of full employment” as the goal of his policy proposals. Much of the content of the chapter rehashes proposals from previous chapters. He seeks to create common deposit insurance and common resolution while abolishing place-based debt within the EU. This will create moral hazards and work against people who wish to escape debt slavery inflicted upon them by their ancestors. He calls for wages to be raised in countries with surpluses, which will lead to unemployment in those countries as workers whose labor is not worth higher wages are laid off. He fundamentally misunderstands precious metals, failing to understand their role as a store of value and medium of exchange, even if no longer officially used in such capacities. Stiglitz seeks to make the financial sector and other corporations serve society, but fails to recognize that the organs of a statist social order inherently and irrevocably serve themselves at the expense of the society. The shortsightedness of markets of which he complains is actually caused by the institutions that he seeks to use to solve the problem. One of the few sound recommendations made in this chapter is the creation of a super-Chapter 11 bankruptcy procedure to quickly restructure debt. He goes on to propose that EU taxes be based on citizenship, and that some of the proceeds be used for foreign aid or resettlement of migrants, further impoverishing and culturally endangering Europeans.

Chapter 10 examines the possibility of what Stiglitz calls “an amicable divorce,” in which countries exit the eurozone. He considers the example of Grexit, or Greece returning to its own currency that he calls the Greek-euro but would probably be called the drachma, as it was before the euro. He proposes that Greece create a new electronic currency to ease concerns over producing coins and banknotes, stop tax avoidance, bring everyone into the financial system, and facilitate the ability of central banks to create credit. Stiglitz fails to consider that people are likely to reject such a system in favor of cryptocurrencies, which have all of the benefits of such a system without most of the drawbacks, and that such a system could offer states tyrannical control over their citizens. His view of credit indicates magical thinking, although this is quite common in modern financial circles. He again blames the private sector for problems caused by politicians and central bankers, while ignoring peer-to-peer lending as a substitute for modern credit systems. Stiglitz describes a potential system of credit auctions which could be abused with much the same ease as the current system. He admits and supports what should be abhorrent to any decent person: that fiat currencies are ultimately given value by extortion in the form of taxation. Stiglitz correctly says that a new Greek currency would enable them to devalue it to correct trade imbalances, but his proposed system of trade tokens for the same purpose would be redundant. He equates deflation with a deficiency of aggregate demand, neglecting the possibilities of an abundance of supply or improvements in efficiency and/or quality. His description of currency change as a debt restructuring is insightful. To end the chapter, Stiglitz considers the alternative of Germany leaving the eurozone, though it is unlikely that they would give up their current position of power so willingly. This segues into the topic of the next chapter, which is a flexible euro consisting of several subdivisions.

Stiglitz uses Finland as a counterexample against those who claim that profligacy in southern Europe is to blame, rather than the structure of the eurozone. Most of his argument here is correct, except for his view of austerity. His proposal in this chapter is to have several eurozones with fluctuating exchange rates, which could be brought closer together over time as political integration occurs, eventually resulting in economic integration. The details are borrowed from the previous two chapters. Though more likely to succeed than the proposals in those chapters, it is also the least likely to be adopted. Stiglitz correctly recognizes that having a single currency area is an interference in the market in and of itself, monopolizing exchange and interest rates in the area, but cannot seem to fathom that his flexible euro proposal also does this on a smaller scale. He claims that it can be better not to simply rely on prices for the allocation of resources, but does not explain how to solve the local knowledge problem or the economic calculation problem in a superior manner. He also says that history shows free banking to be a disaster, when the truth is quite the opposite.

The final chapter sees Stiglitz review many themes from previous chapters, but he also covers topics which are barely mentioned elsewhere. He denounces anti-immigrant groups in Europe, which are only trying to resist demographic replacement by a ruling class that they did not ask to replace them. So much for the “democratic accountability” that Stiglitz extols in the same breath. He blames right-wing economic ideology for rising inequality in the United States beginning with the Reagan administration, but incomes really began to diverge ten years earlier, when Nixon ended the gold standard. Stiglitz expresses a desire to preserve the Enlightenment values of Europe, but cannot comprehend how letting in migrants with distinctly anti-Enlightenment values will jeopardize that mission. On the issue of trade policy, he understands that free trade is not always best for all parties involved, as it can destroy important societal arrangements that prevent conflict. But then Stiglitz incredulously asks how one could have expected that Europe’s leaders would create such economic dysfunction, with massive unemployment and lack of economic security. The answer is that a proper amount of cynicism would require such an expectation.

Overall, the best thing that can be said for the book is that it is not an effort made in bad faith. Stiglitz correctly identifies many of the problems with the current state of affairs in Europe and seems to want to help, but his proposed solutions are thoroughly misguided. Despite his palpable disdain for Milton Friedman and other Chicago School monetarists, he suffers from one of the worst of their faults: a desire to solve the immediate problems set before him combined with a lack of broader perspective. This leads him to propose a banking system which could be used to terrible effect against political dissidents, tax collection schemes that would indicate criminal intent in any non-statist context, and forced political integration by means of stealth and subterfuge. He also seems to believe that everything would be fine if only state power were used by the right people to implement the right policies. It never occurs to him that the power itself might be the problem. The Euro is an interesting case study in leftist economic thought, but those looking for real solutions to Europe’s economic woes should keep looking.

Rating: 2.5/5

Book Review: The Art Of Invisibility

The Art of Invisibility is a book about methods of maintaining privacy and anonymity in an age of surveillance by American hacker and cybersecurity analyst Kevin Mitnick. The book gives advice on every aspect of modern technology which could expose one to nosy neighbors, identity thieves, law enforcement, and other sources of unwanted attention. The book is divided into sixteen chapters which advise the reader about various measures that can be taken to improve security.

The introduction begins with the revelations made about the NSA’s activities by Edward Snowden, then discusses the information that is publicly available about most people with very little searching required. The first chapter is about password security and security questions. Tips are given for choosing a strong password, using a password manager, creating answers for security questions, and using multi-factor authentication. The second and third chapters cover surveillance of email and phones. Mitnick covers the concepts of metadata, encryption, and social engineering. He explains how the Tor browser and MAC addresses work. He discusses several current and historic methods of wiretapping phone conversations and pinpointing the location of a phone, then explains how a burner phone may be used to obtain some privacy.

Chapter 4 is about the functionality and use of encryption to thwart eavesdroppers. This is discussed in the context of text messages, cell phones, and computers, each of which is remarkably vulnerable without it. The next chapter begins with the Sarbanes-Oxley Act, which is now being used to prosecute anyone who deletes browser history that federal prosecutors wish preserved. Mitnick makes the obvious recommendation of not collecting such history in the first place, then instructs the reader on how to do so. He then discusses how Internet browsers track a user’s location and how this may be countered. The chapter concludes with the dangers of connecting devices and cloud storage.

The sixth chapter details various tactics that websites use to track users, such as scripts, single-pixel images, cookies, and toolbars, then offers advice for stopping them. The chapter ends with a basic overview of Bitcoin for overcoming some current legitimate uses for tracking. The dangers of sharing an Internet connection make up the seventh and eighth chapters. Mitnick teaches the reader how to set up an Internet connection that is difficult for malicious users to find and use. Next, he discusses several cases in which webcams were used to spy on people, including underage students. The phenomenon of ransomware, in which a user’s files are encrypted by malware and can only be decrypted by paying an extortionist, concludes Chapter 7. After this comes the pitfalls of public computers and Wi-Fi connections. Lessons on avoiding man-in-the-middle attacks, using virtual private networks, resetting one’s MAC address, and more are found in the eighth chapter.

The second half of the book opens with examples of photo metadata being used to locate people, then tells how to delete such information and prevent it from being created. Mitnick then gives advice on how to get unwanted photographs of oneself removed from websites, though it may not always work. The dangers of posting sensitive personal information on social media or otherwise sharing it with strangers is discussed. The extent to which corporations track commentary on social media is detailed through examples of students found publicly discussing standardized test material. The absurdity of minors facing criminal charges for possessing nude photos of themselves is used to illustrate the potential dangers of Instagram and Snapchat. The chapter finishes with privacy problems that can come from using dating sites and mobile apps.

Mobile device tracking is the subject of the tenth chapter. Mitnick writes about the third-party accessibility of information recorded by fitness-tracking devices as well as the trackability of people through the GPS features of their devices. He also shares an interesting episode of social engineering combined with tracking in which he surprised a careless driver who almost killed him with a stern warning supposedly from the DMV. The use of drones and facial recognition to erode privacy come later in the chapter, along with some prototypical countermeasures. The next two chapters detail how cars and home appliances can be used to track people, then show people how to turn off many of these features. Doing so will deprive users of some convenience, but that is the general cost of privacy and anonymity.

Chapter 13 applies the information discussed in previous chapters to the workplace. The insecurity of copiers, printers, and other such office appliances is highlighted so as to warn readers not to use them for any purpose that one would not want one’s employer or any hacker to see. Videoconferencing and remote file storage systems are covered in the last part of the chapter, with advice given for increasing security on them. The fourteenth chapter details the myriad ways in which government agents violate privacy and interfere with private electronics and communications, then advises readers on how to protect themselves while being aware of the laws in various countries. Also included here are the privacy concerns with hotel keys, supermarket cards, and airline boarding passes should they fall into the wrong hands.

The fifteenth chapter is mostly about the arrest of Ross Ulbricht, describing the mistakes that led to his capture. Devices that masks geolocation, and could thus have hidden Ulbricht from law enforcement had they existed in 2013, are mentioned. The final chapter lays out a step-by-step guide to achieving as much anonymity online as possible.

From beginning to end, Mitnick shares a wealth of information with just the right amount of personal anecdotes and other stories to keep the reader engaged. The Art of Invisibility is an excellent reference that deserves a place on the bookshelf of all who care about online privacy and personal security until enough time passes to render the information within obsolete, which may be on the order of decades.

Rating: 4.5/5

Lecture: Libertarianism and Reaction

On July 28-30, 2017, the second annual Corax Conference took place in Sliema, Malta. To my great surprise, I was invited and sponsored as a speaker. I decided to seize upon the opportunity to spread part of my message to a live audience, as well as leave the United States for the first time. While there, I gave an early version of the lecture linked below. That version, and all other materials from the conference, may be purchased here: https://cor.ax/coraxconf-remote

This is a lecture about libertarianism and its relationship to reactionary thought of several types.

Why Price Gouging Is Good

When a natural disaster strikes, it is almost guaranteed that there will be yet another uproar about price gouging. Media pundits will take to the airwaves to virtue signal against people who would dare to exploit disaster victims. Government officials will use the crisis to score political points by portraying themselves as defenders of the common people against greedy capitalists. But how accurately does this reflect reality? Let us explore the nature of price gouging to see the economics of such a situation and explain the behavior of journalists and state agents.

Economic Forces

In order to intelligently approach the concept of price gouging, one must first define it. Price gouging is a sudden, sharp increase in prices that occurs in response to a disaster or other civil emergency. Though this defines the act well, it does not explain the mechanisms behind it. When a disaster approaches, there are certain goods that people wish to acquire in greater quantities than normal, such as clean drinking water, non-perishable foods, wooden boards for protecting windows, and so on. If supply is held constant, then this sudden increase in demand for such goods will produce a sudden increase in their prices.

If left unhindered by the state, this upward pressure on prices will produce important benefits. First, it serves as a signal to producers and distributors of those goods that more supply is needed. The producers and distributors thus learn where their goods are most urgently in demand, allowing them to engage in mutually beneficial transactions with disaster victims. This is how free markets are supposed to function in order to meet the needs of customers.

Second, price gouging encourages proactive preparations. A potential business model for a firm is to invest in equipment that allows it to operate when a disaster would otherwise force it to close, and use the proceeds from price gouging to amortize the cost of the equipment. This helps consumers by allowing them to purchase goods at higher prices rather than be left without essential items during a crisis.

Third, price gouging provides an important benefit by conserving the fixed amount of resources which are present before more deliveries can be made to the disaster area. The higher cost of scarce goods disincentivizes people from buying up supplies that other people need, thus helping to keep the items in stock. This keeps scarce resources from being wasted on marginal uses, directing them toward their most valued uses and the people who most need them instead.

Markets And Malice

Unfortunately, not every instance of price gouging is so benevolent. Business owners who seek to exploit vulnerable people in order to make money do exist. But engaging in such behavior in a free market produces a short-term gain followed by a long-term loss. In a pure capitalist environment, reputation is everything for a business. Whatever profits may come from gouging disaster victims in the present will be more than outweighed by the sales that one will lose in the future because of the damage that this does to one’s brand. After all, most people would view such behavior as adding insult to injury and vote against it with their wallets. Though it is impossible to accurately count sales that do not happen, to dismiss this effect as nonexistent is to commit the broken window fallacy.

Enter The State

Most people are economically illiterate, so they tend to focus on the malevolent type of price gouging and be unaware of the benevolent type. In a democratic state, this has predictable results. Politicians and other government agents will frown upon price gouging and seek to punish anyone who they believe to be engaging in it. But it can be difficult to distinguish the natural effects of demand spikes and limited supplies upon price from the efforts of greedy exploiters of disaster victims, especially for government officials who are too far removed from the disaster area to be intimately familiar with the economic dynamics there. Thus, all price gouging is suppressed by the state, and while this may protect a few people from exploitation, it causes more harm than good by disrupting the market signals which would have informed producers and distributors that their goods need to be sent to the disaster area. The end result is that scarce goods are depleted and not replaced, leading people to once more blame the market for failing them when the actual cause of their shortage was a government failure.

Suppression of price gouging has several deleterious effects. First, by placing price controls on goods, the state deprives entrepreneurs of the profit motive to bring additional supply to the disaster area. Without state inteference, people who live outside of the disaster area and are willing to travel there in order to bring supplies could charge enough for their goods to recover their travel costs and be compensated for the inconvenience of spending time in a disaster area, all while making enough profit to make such a venture more attractive than other economic opportunities. Price gouging laws remove such action, leaving only state agencies and altruistic private groups to provide aid. Note that like all government regulations, price gouging laws are subject to regulatory capture by the largest businesses.

Second, removing the incentive for proactive preparations makes untenable the business model for operating during a disaster described above. Third, removing the conservation effect of price gouging forces business owners to sell goods below their market-clearing price. This incentivizes hoarders to buy more than they need and scalpers to buy goods for resale. The existence of scalpers also makes desired goods more difficult to find, as resellers will be more difficult to locate than established stores. Thus, laws against price gouging do not eliminate the practice, but rather shift it from primary markets to secondary markets and cause a different set of people to profit. Taken together, these effects result in artificial scarcity that makes conditions in a disaster area even worse.

A Pair of Razors

Given the clear case in favor of price gouging, one may wonder why so many people in positions of political power rail against it. Reece’s razor suggests that we look for the most cynical explanation when attempting to determine a motive for state policy. No other possibility prioritizes the self-interest of politicians and their minions over the lives and properties of citizens quite like the idea that government officials want to suppress the natural response of markets in order to make government disaster relief agencies look effective and necessary, thus justifying their existence and expansion, so Reece’s razor selects it.

However, it is not in the rational self-interest of elected officials to increase the suffering of disaster victims who are capable of removing them from office in the next election. A better explanation is offered by Hanlon’s razor, which says that one should not attribute to malice what can be explained by stupidity. In this view, government officials are not trying to increase the harm done during a disaster; they simply know no better because they are just as economically illiterate as the electorate, if not more so. This razor is a better fit for the available logic and evidence.

Conclusion

It is clear that price gouging has an important economic role in ensuring that goods both go to those who need them most and remain available in times of emergency. Market prices are important signals that tell producers and distributors where their goods are most urgently needed. When the state interferes with this process by imposing price controls, it turns off the signal and incentives for market actors to send aid, encourages hoarding and scalping, and discourages conservation and farsightedness. These effects mean that laws against price gouging harm the very people that they are ostensibly supposed to help. Therefore, price gouging should not be punished by the state or demonized by the press.

A Consideration Of Helicopter Rides

In recent years, the meme of throwing one’s political rivals out of helicopters has become popular among certain right-wing and libertarian groups. Unfortunately, people from all over the political spectrum tend to misunderstand the historical context of the meme, and thus interpret it incorrectly. Let us consider the backstory of helicopter rides in order to better understand their use, ethics, and utility.

Socialism in Chile

In 1970, Socialist candidate Salvador Allende became President of Chile, winning a plurality of votes and allying with the third-place Christian Democrats to gain the necessary majority to rule. He was the first openly Marxist head of state in a Latin American country to come to power through democratic means. The CIA and KGB both spent significant amounts of money to interfere in the election.

Once in power, Allende’s government took over control of large-scale industries, health care, and education. He expanded government theft and redistribution of land initiated by his predecessor Eduardo Frei Montalva, such that no estate exceeded 80 hectares (198 acres) by the end of 1972.[1] Payment of pensions and grants resumed, and social programs were greatly expanded. The arts became funded by the state. Diplomatic relations with Cuba were restored, and political prisoners were released. Price fixing for bread, wages, and rent occurred. Taxes on small incomes and property were eliminated. College was made tuition-free. The voting age was lowered to eighteen and literacy requirements were removed. Between October 1970 and July 1971, purchasing power increased 28 percent.[2] In that year, inflation fell from 36.1 percent to 22.1 percent, while average real wages rose 22.3 percent.[3]

Like all socialist experiments, the short-term results were good. But as Margaret Thatcher would later observe, “Socialist governments…always run out of other people’s money.” Government spending increased 36 percent from 1970 to 1971.[3] The national debt soared and foreign reserves declined. Declining prices in copper, Chile’s chief export commodity, only worsened matters. Black markets in staple foods emerged as rice, beans, sugar, and flour disappeared from store shelves. The Allende government announced its intent to default on debts owed to international creditors, including foreign governments. Strikes began in 1972, to which Allende responded by nationalizing trucks to keep truckers from halting the economic life of the nation. The courts intervened and made Allende return the trucks to their owners.

By the summer of 1973, Allende’s government was ripe for overthrow. On June 29, Colonel Roberto Souper surrounded the presidential palace with a tank regiment but did not succeed in overthrowing Allende. In May and again in August, the Supreme Court of Chile complained that the Allende government was not enforcing the law. The Chamber of Deputies accused Allende of refusing to act on approved constitutional amendments that would limit his socialist plans, and called on the military to restore order. Following embarassment and public protest, General Carlos Prats resigned as defense minister and commander-in-chief of the army, being replaced in the latter post by General Augusto Pinochet. Allende accused the Congress of sedition and obstruction, and argued that the accusations were false.

The Chilean Coup

On September 11, 1973, the Chilean Navy captured Valparaiso by 7:00 a.m. They closed radio and television networks in the central coast. Allende was informed of this, and went to the presidential palace. By 8:00, the army closed most broadcast stations in the capital of Santiago, while the Air Force bombed the remaining active stations. Admiral Montero, the Navy commander and an Allende loyalist, was cut off from communication. Leadership of the Navy was transferred to Jose Toribio Merino, who worked with Pinochet and Air Force General Gustavo Leigh in the coup. The leaders of the police and detectives went to the palace with their forces to protect Allende. Allende learned the full extent of the rebellion at 8:30 but refused to resign. By 9:00, the armed forces controlled all but the city center in Santiago. The military declared that they would bomb the palace if Allende resisted. Allende gave a farewell speech, and Pinochet advanced armor and infantry toward the palace. Allende’s bodyguards fired at them with sniper rifles, and General Sergio Arellano Stark called in helicopter gunships to counter them. The palace was bombed once Air Force units arrived. At 2:30, the defenders surrendered and Allende was found dead by his own hand.

Following the coup, the military killed around 3,000 leftists and imprisoned 40,000 political enemies in the National Stadium of Chile. Ninety-seven of those killed were eliminated by the Caravan of Death, a Chilean Army death squad that flew by helicopters in October 1973. The squad, led by General Stark, would travel between prisons, ordering and carrying out executions. The victims were buried in unmarked graves. This is one origin of the meme of helicopter rides, though squads other than Stark’s were responsible for the literal act referenced, having thrown 120 civilians from helicopters into the ocean, rivers, and lakes of Chile.

Peronism in Argentina

In 1946, Juan Perón of the Labor Party became President of Argentina. The majority of the Radical Civic Union, the Socialist Party, the Communist Party, and the conservative National Autonomist Party had formed an unusual alliance against him, but lost by 10 percent. His two stated goals upon becoming President were economic independence and social justice, but he had no serious plans to achieve those goals other than to attempt to hire the right advisors and underlings while refusing to side with the US or the USSR in the Cold War. Perón was intolerant of both leftist and rightist opposition, firing more than 1,500 university faculty who opposed him[4], shuttering opposition media companies, and imprisoning or exiling dissident artists and cultural figures.

Perón’s appointees encouraged labor strikes in order to obtain reforms for workers, which aligned large business interests against the Peronists. Upper-class Argentine’s resented Perón’s reforms, feeling that they upset traditional class roles. He nationalized the central bank, the railroads, public transport, utilities, universities, and merchant marine. He created the Institute for the Promotion of Trade (IAPI), which was a state monopoly for purchasing foodstuffs for export. Average real wages rose by 35 percent from 1945 to 1949,[5] while during that same period, labor’s share of national income rose from 40 percent to 49 percent.[6] Healthcare and social security were made nearly universal during Perón’s first term. GDP expanded by over 25 percent during this time,[4] which was largely due to spending the $1.7 billion in reserves from surpluses from World War II.

The economic success of Perón’s reforms would not last. The subsidized growth led to an import wave that erased the surplus by 1948. A debt of roughly $650 million owed by Great Britain to Argentina went mostly unpaid, further complicating matters.[4] The Argentine peso was devalued 70 percent between 1948 and 1950, leading to declining imports and recession. Labor strikes began to work against Perón, who responded by expelling the organizers from the unions and calling for a constitutional reform in 1949.

Perón faced no serious opponent for his 1951 re-election campaign, despite being unable to run with his wife Eva, who had fallen ill and would die the following year. Exports fell as low as $700 million in 1952, producing a $500 million trade deficit. Divisions among Peronists grew, and many of Perón’s allies resigned. He accelerated construction projects and increased rank and pay to top generals in an effort to reduce tensions. After Eva’s death, opposition to Perón intensified. On April 15, 1953, terrorists bombed a public rally of Perón supporters, killing seven and injuring 95. He responded by asking the crowd to retaliate. They responded by burning down the Jockey Club building and the Socialist Party headquarters.

In March 1954, Perón had to replace his Vice President, and his preferred choice won in a landslide. This, combined with stabilized inflation rates, motivated him to create new economic and social policies. This brought in foreign investment from automakers FIAT, Kaiser, and Daimler-Benz, as well as from Standard Oil of California. But Perón’s legalization of divorce and prostitution turned the Roman Catholic Church against him, which excommunicated him in June 1955. Perón responded by holding a public rally, and for the second time it was bombed, this time by Navy jets that fled to Uruguay afterward. 364 people were killed, and Peronists again carried out reprisals by attacking eleven churches. This led to the coup that ousted Perón on September 16, performed by nationalist Catholics in the Army and Navy led by General Eduardo Lonardi, General Pedro E. Aramburu, and Admiral Isaac Rojas. Perón barely escaped to Paraguay.

Resistance, Return, and Repression

Shortly afterward, Peronist resistance movements began organizing among disgruntled workers. Democratic rule was partially restored, but political expression for Peronists was still suppressed, so guerrilla groups began operating in the 1960s. Early efforts were small and quickly quashed, but more successful movements formed toward the end of the decade. The Peronist Armed Forces (FAP), Marxist–Leninist-Peronist Revolutionary Armed Forces (FAR), and the Marxist–Leninist Armed Forces of Liberation (FAL) were the three major players before 1973. The FAR joined an urban group of students and intellectuals called the Montoneros, while the FAL and FAP merged into the Marxist People’s Revolutionary Army (ERP).

In 1970, the Montoneros captured and killed Pedro Eugenio Aramburu, a military leader in the 1955 coup. In a few years, such events happened on a weekly basis, as did bombings of military and police buildings. Some civilian and non-government buildings were also bombed. Juan Perón returned from exile and became President again in 1973, and sided with the right-Peronists and the government against the left-Peronists. He withdrew support of the Montoneros before his death in 1974. His widow Isabel Martinez de Perón became President after his death, and she signed a number of decrees in 1975 to empower the military and police to defeat the ERP and other such groups. The right-wing death squad known as Argentine Anticommunist Alliance emerged at this time. Isabel was ousted by a coup in 1976, and the military took power. Up to this time, leftists had killed 16,000 people in their guerrilla efforts. The United States government financially backed the Argentine military, while the Cuban government backed the left-wing terror groups.

The juntas that held power between 1976 and 1983 repressed leftist dissidents, being responsible for arresting, torturing, and/or killing between 7,000 and 30,000 people. Many were Montoneros and ERP combatants, but others were civilians, students, left-wing activists, journalists, intellectuals, and labor organizers. Some of those executed were thrown from airplanes to their deaths in the Atlantic Ocean, providing another basis for the meme of helicopter rides. The worst repression reportedly occurred in 1977, after the guerrillas were largely defeated. The junta justified its action by exaggerating the threat and staging attacks to be blamed on guerrillas.

The “National Reorganization Process,” as it was called, failed in its efforts to suppress the left. As the roundup was overbroad, it sowed resentment. Some of those arrested had done nothing other than witness others being arrested in public places. Severe economic problems only added to civil unrest. The military tried to regain popularity by occupying the Falkland Islands, but their defeat by Britain in the Falklands War led them to step aside in disgrace and restore democracy.

Aftermath in Chile

In Chile, Pinochet remained in power until 1990. His 1980 constitution remains in effect, though significantly amended in 1989 and 2005 and slightly amended on eleven other occasions. In the 1990 elections, a coalition of democratic and socialist parties with the Christian Democrat Patricio Aylwin at the head was successful. Eduardo Frei Ruiz-Tagle, the son of Allende’s predecessor, led the coalition from 1994 to 2000. The Socialist Party and Party for Democracy led the coalition from 2000 to 2010. The center-right National Renewal won in 2010, but the Socialist Party regained power in 2014.

During Pinochet’s rule, Chicago School economists influenced the regime to adopt free market policies. Despite the prevalence of leftists in power since Pinochet’s rule ended, many of his economic reforms have remained in place and the economy is among the freest in the world. Aylwin and Ruiz-Tagle increased spending on social programs and reformed taxes, but avoided radical changes. Chile managed to avoid serious impact from the Mexican peso crisis of 1994 by using capital controls.

Aftermath in Argentina

In Argentina, voters elected Raul Alfonsin of the center-left Radical Civic Union once democracy was restored in 1983. He both created a commission to investigate forced disappearances and passed an amnesty law that stopped the investigations until 2005. His administration was unstable due to friction with the military and economic issues, leaving office early to let Peronist candidate Carlos Menem take office early after winning in 1989. Though he privatized many industries that Perón nationalized, he expanded both executive power and the role of the state in the economy. He won again in 1995, but the Radical Civic Union was growing and a new alliance called FrePaSo formed. By 1999, all three major parties supported free market economics. UCR and FrePaSo allied behind Fernando de la Rua to defeat Peronist Eduardo Duhalde. After some resignations and turmoil, Duhalde would get his chance in 2002. He managed to bring inflation under control, then called for elections in 2003. This brought another Peronist, Nestor Kirchner, to power. He overturned the 1986 amnesty for members of the military dictatorship and oversaw a strong economic recovery. His wife, Cristina Fernandez de Kirchner, took over in 2007. She distanced herself from traditional Peronism after Nestor’s death in 2010, favoring instead the La Campora movement that reveres the Montoneros guerrilla group. In 2015, her party lost to Mauricio Macri and his Republican Proposal party, which was allied with the Radical Civic Union.

The governments from the 1930s to the 1970s used import substitution to increase industrial growth, but this came at the expense of agricultural production. Import substitution was ended in 1976, but growth in government spending, inefficient production, and rising national debt led to inflation problems in the 1980s. The government responded to inflation in the 1990s by auctioning state-owned companies and pegging the Argentine peso to the US dollar. De la Rua followed an IMF-sponsored economic plan to deal with the government budget deficit, but an economic collapse occurred at the end of 2001. The peso was devalued again, and recovery occurred by 2005. A judicial ruling in 2012 led to a selective default in 2014 that was resolved in 2016.

Contemporary Application

Now that the context from which the meme of helicopter rides emerges is understood, we may consider its potential application against contemporary leftist rulers and agitators. Helicopter rides for political enemies are a form of ultraviolence, which is the use of force in an excessive and brutal manner as a public display to make an example out of a particular person or group. This is done for the purpose of establishing dominance and suppressing rivals within a territory, from which peace and order may follow. Utilized correctly, this will break the spirit of resistance movements and solidify one’s hold on power, which will prevent further death and destruction that would otherwise occur from terrorism and civil war. If misused, whether by subjecting overbroad numbers of people to cruel punishment or by utilizing methods that the population deems to be completely beyond the pale, ultraviolence will create resentment that will resurface later as another, stronger resistance movement. Misuse will also have a negative psychological impact on the perpetrators, causing them to lose their humanity through the commission of needless atrocities.

The above examples of Chile and Argentina suggest that ultraviolence by rightists against leftists appears to be insufficient to counter the leftward slide that naturally occurs in politics over time. One possible reason for this is that a continual march leftward is the political variant of entropy, the physical process by which the universe becomes increasingly disordered and chaotic over time. If so, this would explain why all great civilizations eventually fall and all attempts by right-wing movements to use the state to advance their agendas fail to produce lasting change. Another potential explanation is that the state is an inherently leftist institution, in that the nature of the state is to allow some people to do with impunity that which would be considered criminal if anyone else behaved identically, and the nature of the left is to disrespect individual rights in favor of their view of the collective good. This meshes well with Robert Conquest’s second law of politics; any organization not explicitly right-wing sooner or later becomes left-wing. A third explanation is that power does what it wants due to its inherent lack of accountability, meaning that a military junta has no real incentive to limit its removal of leftists to those whom have actually committed crimes. Thus, the use of helicopter rides naturally becomes overbroad when coupled with the state, and the distrust and resentment that fuels a revolution against the military government naturally follow.

Many alt-rightists who suggest the use of helicopter rides to eliminate their political rivals do not understand the above context with sufficient clarity. This leads them to long for the day when they get to pilot a massive fleet of helicopters that drops their enemies from staggering heights. For their stated goals, helicopter rides are a tool not fit for purpose, as the cost of helicopters, fuel, and pilots far exceeds that of other methods of physical removal. Helicopter rides as historically practiced also fail at performing ultraviolence, as rumors of helicopter rides pale in comparison to theatrical executions carried out in the public square on live television. The obvious retort that the victims should be dropped onto a hard surface in the public square is likely to fail by being too gruesome for the public to stomach. And ultimately, no matter how many leftists are killed, their ideas and the state apparatus to implement them remain. Overall, the alt-right approach fails because its adherents seek to use the ultimate enemy (the state) against the proximate enemy (the left) without any intention or plan to eliminate the ultimate enemy afterward, which results in long-term losses for short-term gains.

Moral Issues

While the alt-right seeks to misuse the practice of helicopter rides, libertarians and leftists tend to decry the idea as mass murder. The leftists will typically assert that the use of deadly force against someone who does not pose a deadly threat at the moment is murder. But the immediate danger doctrine, as it is known in legal circles, is a standard used by the state to perpetuate itself by creating an artificial demand for its functions of legislation, security, criminal justice, and dispute resolution while rendering the population dependent and irresponsible. Such a standard is not provable from first principles and is clearly at odds with libertarian theory on the use of force.

Libertarian theory allows one to use any amount of force necessary to not only defend oneself against aggressors, but to make people who refuse to perform restitution do so, to stop people who recklessly endanger bystanders, to reclaim stolen property, and to eliminate crime bosses and other unrepentant aggressors. While this does not allow for the full extent of the helicopter rides given by the militaries of Chile and Argentina, it can allow for statists who held power and those who carried out certain acts of aggression on their orders to be executed. Of course, rightists who wield state power (or libertarians who wield private power) in an overzealous manner against leftists would also be legitimate targets for helicopter rides if they kill people who have not committed crimes worthy of death.

A more appropriate libertarian use of helicopters is not to execute anti-libertarians by throwing them out, but to transport them out of a libertarian-controlled territory and warn them not to return. Exile and ostracism, after all, are perfectly legitimate exercises of property rights and freedom of association. Furthermore, removing people who advocate against the norms of a libertarian social order from a libertarian community is a necessary preservation mechanism, but such removal need not be fatal unless all reasonable efforts that do not involve deadly force have been tried without success.

Conclusion

There is a rich historical context behind the idea of helicopter rides for leftist agitators. Unfortunately, most modern advocates of such methods do not understand this context, which leads them to make recommendations which do not align with reality. Though leftists and some libertarians decry all uses of helicopter rides as murder, there are cases in which such acts are morally justifiable.

References:

  1. Collier, Simon; Sater, William F. (2004). A History of Chile, 1808–2002. Cambridge University Press.
  2. Zipper, Ricardo Israel (1989). Politics and Ideology in Allende’s Chile. Arizona State University, Center for Latin American Studies.
  3. Larrain, Felipe; Meller, Patricio (1991). The Socialist-Populist Chilean Experience, 1970-1973. University of Chicago Press.
  4. Rock, David (1987). Argentina, 1516–1982. University of California Press.
  5. Dufty, Norman Francis (1969). The Sociology of the Blue-collar Worker. E.J. Brill Publishing.
  6. Dornbusch, Rüdiger; Edwards, Sebastian (1991). The Macroeconomics of populism in Latin America. University of Chicago Press.

Authority, Anarchy, and Libertarian Social Order

On May 8, Fritz Pendleton published an article at Social Matter in which he argues that liberty is best preserved by authority rather than anarchy. He then proceeds to launch a misguided attack against libertarianism, all while misunderstanding authority, anarchy, liberty, and the nature of a libertarian social order. Let us examine what is wrong with Pendleton’s case on a point-by-point basis.

Stateless In Somalia

Pendleton begins with the old canard of Somalia-as-libertarian-utopia, though to his credit, he does not invite all libertarians to emigrate there. His description of the situation is essentially correct:

“It is a patchwork of warlords who have each parceled out a slice of mud to call his own, to rule according to his whims and fetishes. There are the Islamic warlords of al-Shabaab in the south, the government strongmen who collaborate with al-Shabaab when it suits them, the Somaliland separatists who want a separate nation in the north, and a thousand other men of questionable loyalties.”

Pendleton claims that “it takes a certain type of idiot to look at Somalia and see something promising,” then that “it requires an idiot of some erudition to see promise in a failed state like Somalia.” These are not equivalent. To look at Somalia and see something promising is to examine the entirety of their culture and find that there is at least one idea which could be adopted elsewhere to improve another society. To see promise in a failed state like Somalia is to believe that the situation in that particular place can be greatly improved in the foreseeable future. The former endeavor makes far more sense than the latter.

Though he is correct to say that “libertarians are interested in Somalia primarily because its central government is weak and has no effective presence throughout most of the nation,” his assertion that anarchy is not an effective solution to much of anything is confused. An absence of rulers is not meant to be a solution to anything in and of itself; its role in libertarian theory is to remove the statist intervention in the market economy that inhibits and/or prevents individuals from working together to find effective solutions to problems. Pendleton’s passing mention of human biodiversity is also misplaced, as the best means of analyzing anarchy in Somalia is to compare it to statism in Somalia, not to anarchy elsewhere or statism elsewhere. We are thus considering the same thede under different conditions rather than different thedes under the same conditions. His claim that “whatever the merits of decentralization in theory, in practice it mostly involves being subject to the whims of the local warlord and his cadre” is particular to the current cases of failed states. There is good reason to believe that a controlled demolition of a state apparatus by people who wish to impose a libertarian social order would not be like this because the people would have the will and means to disallow it. Even so, a nation-state government is essentially a warlord writ large. Localizing this evil and reducing its strength makes it easier to bribe, escape, or overthrow, which is a definite improvement.

Pendleton claims that a libertarian must search hard to find supporting evidence in Somalia, but the evidence is clear. Before Mohamed Siad Barre’s regime fell in 1991, the annual birth rate was 0.46 percent, the infant mortality rate was 11.6 percent, the life expectancy was 46 years, the annual death rate was 0.19 percent, the GDP per capita was $210, the adult literacy rate was 24 percent, and 35 percent of the people had access to safe water. The most recent measurements are that the annual birth rate is 0.40 percent (2016), the infant mortality rate is 9.66 percent (2016), the life expectancy is 52.4 years (2016), the annual death rate is 0.133 percent (2016), the GDP per capita is $400 (2014), the adult literacy rate is 38 percent (2011), and 45 percent of the people have access to safe water (2016). The telecommunications and money transfer industries have also improved to offer some of the best service in Africa.

It is easy to argue, as Pendleton does, that these improvements are negligible from his relatively cushy first-world environs, where such improvements on either a real or a percentage basis are barely noticeable. But in the third-world hellhole that is Somalia, such improvements can be the difference between life and death, not to mention the difference between having some basic quality of life or not having it. His claim that anarchy is not much different than communism is asserted without evidence and may therefore be dismissed without evidence.

The Case of Tudor England

Pendleton seeks to contrast the anarchy of Somalia with the historical Tudor monarchy of England. His contention that giving people more freedoms is not a prerequisite for a well-run society is technically correct but beside the point. The fact is that a society need not be ‘run’ at all in the sense of top-down management by a ruling class. People can (and in the absence of interference, do) form voluntary associations to solve problems without being ordered around at gunpoint by government minions. That people have flourished in times of gentle oppression, a strange phrase indeed, says more about human resilience than it says about the merits of oppression.

He continues,

“Henry VII and VIII set in motion a series of clever reforms that reached a climax during the rule of Elizabeth I. England had finally found its stride. It must be noted that Elizabethan England, despite its relative freedom, was not keen on handing out legal recognition of liberties to its people. The era was one of unapologetic centralization. The crown’s subjects were given no guarantees of free speech at all; in fact, the censors worked hard and fast to clamp down on anything they perceived as dissent. Freedom of speech was still very far over the political horizon. And yet, despite the book burnings, despite the cages, despite the severed heads around London Tower, the Elizabethan era gave us Shakespeare, Marlowe, Spencer, Jonson, and Bacon. Imagine an era that gave the English language so much genius and not one assurance of free speech to go with it!”

One must ask whether this occurred because of oppression or in spite of it. It is possible, of course, that the great writers of the day produced such memorable works because the adversity of censorship forced them to innovate novel speech patterns in order to evade the censors. In an earlier age, Chaucer gained a lasting place in the canon of English literature for doing just that. But one must wonder, what potential was wasted? What great works were never penned because their would-be-authors feared for their lives? Perhaps the literary marvels of Elizabethan England were due to its relative freedom rather than its censorship, and more liberty would have been better.

Pendleton asks us to consider that the Elizabethan era was when the British Empire began in earnest, but does not explain how this happened. Spain, Portugal, and even France were ahead of England in colonizing the New World and expanding trade routes in the latter half of the 16th century. It was not until Elizabeth died and James VI and I became King of Scotland and England that the English shifted their attention from attacking the colonies of other nations to the business of establishing their own overseas colonies. The burdensome regulations of the day may disappoint a contemporary libertarian, but the English trade policies were about as good as there were at the time.

Chile and Singapore

Next, Pendleton presents Augusto Pinochet’s Chile and Lee Kuan Yew’s Singapore as examples of anti-libertarian success stories. Both pursued economic liberty while restricting social and political liberty; as Pendleton says of the left-libertarians, “a libertarian would rather choke on his bow-tie than defend [their political policies].” Though left-libertarians tend to recoil at such measures, a reactionary understanding of libertarianism provides quite a different view. The libertarian reactionary understands that the desired goal of a libertarian social order can only be achieved by physically removing the state from power. Doing this, however, requires a critical mass of the population to use self-defense against the current system. If such a critical mass is absent, then those who seek liberty must turn to other methods. Those libertarians who are capable of checking their autism and doing what is necessary within context may come to support a Pinochet- or Yew-type for the purpose of restoring a balance of political terror. The idea is for libertarians to use a reactionary authoritarian approach in order to suppress leftists and reverse the damage they have done, overthrow the regime once the left is defeated, then maintain the power vacuum by continuous application of defensive force. Furthermore, a libertarian social order will not necessarily offer a great deal of social and political liberty, especially to those who do not hold allodial title over private property and/or disagree with anarcho-capitalism. As Hans-Hermann Hoppe explains,

“As soon as mature members of society habitually express acceptance or even advocate egalitarian sentiments, whether in the form of democracy (majority rule) or of communism, it becomes essential that other members, and in particular the natural social elites, be prepared to act decisively and, in the case of continued nonconformity, exclude and ultimately expel these members from society. In a covenant concluded among proprietor and community tenants for the purpose of protecting their private property, no such thing as a right to free (unlimited) speech exists, not even to unlimited speech on one’s own tenant-property. One may say innumerable things and promote almost any idea under the sun, but naturally no one is permitted to advocate ideas contrary to the very purpose of the covenant of preserving and protecting private property, such as democracy and communism. There can be no tolerance toward democrats and communists in a libertarian social order. They will have to be physically separated and expelled from society.”[1]

This is quite similar to the standard of no voice and free exit advocated by Nick Land and some other prominent neoreactionaries. The only real difference is that the libertarian reactionary is especially concerned with making the sovereign units as small as possible. It is worth noting that both proposals blend anarchy with authority, in that there is an irreducible anarchy between sovereigns who have authority within their private properties.

Pendleton wonders how Singapore would have preserved liberty in the midst of conflicts between the various ethnic groups present there without Yew’s rule, and how the various religious groups could have been kept from fighting in England without Elizabeth I’s despotism. The possible answers to such questions are the same in each case. First, groups may hire neutral third parties to resolve disputes. Second, the groups may voluntarily segregate themselves so as to avoid contact with each other. Third, some groups that cannot get along with others may have a mass exodus. Fourth, a troublemaking group may be forcibly exiled by all of the other groups. Fifth, each side may be armed to such an extent as to create peace through mutually assured destruction. Sixth, the groups may simply choose to fight it out, as some hostilities reach a point of no return. In the first five cases, the preservation of liberty is maximized. The sixth case is far more troublesome, but such quarrels can be formalized and separated so as not to catch innocent bystanders in the crossfire. A system of dueling has filled this role in many historical societies. There are thus many options other than authoritarianism for preserving liberty; the only question is whether people care to utilize them.

Libertarianism and Reaction

Pendleton writes,

“The reactionary and libertarian both agree that small governments are good. But the reactionary feels that small governments are made not by relinquishing authority, as the libertarian would do, but by strengthening it. Liberty is too precious to be entrusted to anarchy in the same way that diamonds are too precious to be entrusted to one’s doorstep.”

Here, he misunderstands what a libertarian would do, at least those who are not leftists. A libertarian reactionary seeks not to relinquish authority, but to make it as absolute as possible in the hands of the private property owner within that person’s private property. And contrary to Pendleton, liberty requires anarchy because the freedom to do as one wishes as long as one respects the right of other people to do likewise and commits no aggression against them is violated by a state apparatus by definition. If a state is present, it will fund its activities through taxation and civil asset forfeiture, take private property through eminent domain, and restrict the use of property through intellectual monopoly, zoning, and environmental regulations. Its officials and agents will choose the nature of the law and the enforcement thereof, meaning that they rule the law and not vice versa. Its enforcers will initiate the use of violence against people who are known to disagree with government statutes and acts upon their disagreements, thus presenting a constant threat to peace. Its agents are allowed to do that which is considered criminal for anyone else to do, and the system is set up to keep them from being held to account. It will force people to associate with it regardless of whether they want to use or pay for its services. Therefore, it is clear that liberty cannot be protected by state authority; such a threatening protector is a contradiction of terms.

Final Arbitration

Next, Pendleton presents a case to make the ‘final arbiter of disputes’ criticism of libertarianism:

“Suppose we have one of those highly attenuated legal battles where the details of the case are complicated and emotionally charged. Let us suppose that a drunk driver crashed into a tree and his passenger was killed when she flew through the windshield; she had not worn her seat belt. The grieving husband of the passenger demanded compensation from the driver to help take care of his kids in place of his now deceased wife. Daycare is expensive these days, after all. The driver apologized profusely but pointed out that the passenger was just as responsible for her death because she was not buckled into her seat. The husband countered by saying that the belt would not have been an issue if the driver had not been drunk and crashed into a tree.

Since these men live in a libertarian utopia, there is no superseding legal authority to arbitrate: a third-party arbitration company will have to be hired. Now let’s suppose that one of these arbitration companies is owned by a brother-in-law of the driver, and not surprisingly, the driver only agrees to hire that company. The husband refuses. The driver in turn refuses to pay any compensation whatsoever. The furious husband now threatens to kill the wife of the driver to make him understand what it feels like to lose a loved one.

How can any libertarian who sings the praises of anarchy not see how this situation will only continue to escalate? How can there be any justice for the woman who lost her life in the original crash and what about the violations of liberty that will ensue when this conflict devolves into a family feud? If there had been one authority to take control of this dispute the liberties of everyone involved would have been much more safely guarded. In a world where emotion forms the greater part of human action, liberty requires authority.”

This situation may be resolved in advance through contracts. The owners of the road set the conditions for operating vehicles on their private property, with violators subject to physical removal not unlike the traffic stops, arrests, and impounding of vehicles today. They may demand that everyone using their roads have arbitration services which do not involve such conflicts of interest, and contrary to some myopic analysis to the contrary, are almost certain to frown upon drunk drivers. They might even have all cars on their roads driven by robots, which nips this scenario in the bud. Failing this, a person who has committed an offense and refuses to make restitution can be ostracized from society until compliance is gained. Furthermore, such a person may rightly be forced to make restitution because an unrepentant aggressor is not subject to the non-aggression principle through his continuing violation of it. The driver’s wife, however, is an innocent bystander unless she was responsible for getting him drunk and/or making him drive while intoxicated. Threatening her absent these conditions makes the widower an aggressor to be subdued. As a libertarian society would have several private defense agencies available to handle such applications of defensive force and almost everyone would have a protection policy with one of these companies, an escalation is quite unlikely. Even if this kind of situation does escalate, it pales in comparison to the carnage wrought by the one authority that Pendleton defends. States were responsible for 203 million democides and war deaths in the 20th century alone. This is hardly a price worth paying to stifle a few family feuds.

More generally, a final arbiter of disputes cannot exist because no person or institution can absolutely guarantee that any issue will be resolved forever with no possibility of review. The way that disputes ultimately end in any social order is that some party finds the dispute to no longer be worth continuing. Everything else, whether statist courts and legislatures or anarchic arbitration services and private defense agencies, is simply window dressing on this immutable truth.

Of Rules and Rulers

Pendleton writes,

“A libertarian who is honest with himself has to ask why even jungle tribes have a chief and why high schools have hall-monitors. Human beings require authority, and if authority is to mean anything at all, it requires the power of compulsion; liberty cannot last long in a nation that thinks of its authority as a polite suggestion.”

It is important to understand the true meaning of anarchy. Anarchy comes from Greek ἀναρχία, which is typically translated as ‘without rulers.’ More precisely, it means ‘without beginning to take the lead.’ This is not the same as ‘without rules’ or ‘without leaders.’ Having a ruler means that there are no rules because the ruler has authority over the rules and not vice versa. That the lead is not taken does not mean that no one can lead because leadership can be freely given. This is well-understood in every aspect of life other than politics. In the words of Mikhail Bakunin,

“Does it follow that I reject all authority? Far from me such a thought. In the matter of boots, I refer to the authority of the bootmaker; concerning houses, canals, or railroads, I consult that of the architect or engineer. …But I allow neither the bootmaker nor the architect nor the savant to impose his authority upon me. I listen to them freely and with all the respect merited by their intelligence, their character, their knowledge, reserving always my incontestable right of criticism and censure. I do not content myself with consulting authority in any special branch; I consult several; I compare their opinions, and choose that which seems to me the soundest. But I recognize no infallible authority, even in special questions; consequently, whatever respect I may have for the honesty and the sincerity of such or such an individual, I have no absolute faith in any person. Such a faith would be fatal to my reason, to my liberty, and even to the success of my undertakings; it would immediately transform me into a stupid slave, an instrument of the will and interests of others.”[2]

Additionally, compulsion and initiatory force are not equivalent. This is because compulsion may take the form of defensive force or of less violent means such as shaming and ostracism. Thus, if human beings require authority (and Pendleton does not prove that they do), a libertarian social order is quite capable of compelling people through contract law, ostracism, and private military forces.

Mischaracterization

Pendleton laments that not many libertarians will be swayed by his arguments, but does not understand why. It is not the case that libertarians are “far too busy sketching intricate political systems on paper to be bothered with considerations of human psychology.” Libertarianism, properly understood, is anti-political; its primary interest in political systems is in finding ways to destroy them without causing unnecessary damage to the social fabric. As for considerations of human psychology, they should lead one to reject the state as an enabler and multiplier of evil in the world. Ultimately, libertarians are not swayed by his arguments because they are easily refuted, as shown both above and below.

The Definition of Liberty

Pendleton writes,

“Liberty, as we now know it, is a set of unquestionable boundaries that are owed to all citizens: the right to peaceable assembly, the right to free speech, the right to a free press, and so on. The problem with these ‘rights’ is that they are very enticing ideas that are very murky in their specifics. They exist in the minds of Americans as a hazy bundle of entitlements, as things that they are owed, rather than things that they must earn.

The greatest problem with this notion of liberty as an entitlement is that once citizens start declaring rights as ‘universal’ and ‘God-given’ there is no mechanism to stop them from continually inventing new ones. The ‘right to privacy’ or the ‘right to universal healthcare’ are muddled ideas that our founding fathers never anticipated. Jefferson and Madison almost certainly would not have approved of them, but they are ideas that have as much legitimacy as America’s own Bill of Rights: if Madison can conjure up new rights with a few quill strokes there is likewise nothing to stop Supreme Court justices from doing the same thing. And so the list of entitlements owed to Americans steadily grows longer as its list of responsibilities dwindles.”

He correctly criticizes the contemporary understanding of liberty in liberal democracies. As I have explained elsewhere, these rights belong to private property owners within the spaces that they own. No one has a right to assemble, speak, print, and so on within private property if the owner disagrees with such activities. Those who would do so are trespassing and thus subject to physical removal. The current problem is that the state has greatly interfered with private property. This is a problem of the commons, and the only solution is to eliminate the commons and return it to private ownership.

From here, as Pendleton realizes, it only gets worse. When people fail to connect rights to logic and ownership of property, or more simply, to thought and action, they confuse negative rights with so-called “positive rights.” These positive rights cannot be valid because their provision violates the negative rights of other people. For instance, a right to healthcare implies that someone must be forced to provide healthcare, even if it against the provider’s wishes to serve that person.

But though he correctly identifies the problem, Pendleton proposes an incorrect solution. He seeks to restore the ancient Roman ideal of liberty rather than to correct the errors in the practice of modern liberty. The Romans viewed liberty in a collective sense, as imposing responsibilities to the state in eschange for individual rights. In truth, liberty is neither a list of entitlements nor a reward for serving society or the state; it is the result of gaining and defending private property. With this understanding, it is not ironic at all that libertarians would condemn a system which subordinates the individual to a collective as fascism (or more appropriately, as communism).

Rationalism and Empiricism

Pendleton claims that the Roman notion of liberty has the example of Singapore while the libertarian has no compelling models; only fantasies and Somalia. Implicit in this claim is a sort of historical determinism that demonstrates a lack of courage and imagination to look beyond what has been and see what is possible but as yet unrealized. As explained above, Somalia has shown improvement without a state. And fortunately, libertarians have more than fantasies; we have a priori theory. In the words of Hoppe, “A priori theory trumps and corrects experience (and logic overrules observation), and not vice-versa.”[3] This is because one may use rationalism without using empiricism, but one cannot use empiricism without using rationalism. That rationalism is independent and empiricism is dependent establishes a clear hierarchy between the two ways of knowing. Of course, this will not convince a strong empiricist of the historical determinist variety, but this has no bearing upon the truth value of the argument.

That being said, it is worth considering why there are no empirical examples of a stateless propertarian society in recent times. The obvious answer is that states initiate violence to sustain their operations, and libertarians have yet to suppress this aggression with enough defensive force to stop it. The other, less obvious explanation is that those who govern in statist systems know at one level or another that their institutions are unnecessary for the functioning of society, but that most people are more empirical than rational in their thinking. It is for this reason that they cannot allow a working example of a stateless society to be created, as this would permanently turn the masses against the state. They thus use force not only to maintain their power, but to ensure that most people never consider alternatives which do not include them.

Conclusion

Pendleton closes by contemplating the issues on the horizon for America, from racial tensions to Islamic terrorists, though he says nothing of the various economic issues. However, the “furious, explosive derailment” he fears is not only unavoidable, but necessary. The current system cannot be fixed; it must end in either a controlled demolition or a chaotic collapse. In any event, the answers are to be found in the restoration and enforcement of private property rights and freedom of association, with physical removal for those who challenge these norms. It is best to work toward emerging from this chaos looking neither like Singapore nor like Somalia, but as something completely novel in time memorial: a functional stateless society of covenant communities.

References:

  1. Hans-Hermann Hoppe (2001). Democracy: The God That Failed. Transaction Publishers. p. 218
  2. Bakunin, Mikhail (1871, 1882). God and the State. Mother Earth Publishing Association. Ch. 2
  3. Hoppe, p. xvi.

On the Imbalance of Political Terror

The primary aim of politically active libertarians is to limit and reduce the size and scope of government, as well as to eliminate as much state power as possible. The means of doing this has consisted of forming libertarian political parties and think tanks, voter education efforts, and allying with members of major political parties on key issues. But a competent strategist must always subject one’s strategies to the available evidence. Over the past half-century, the state has grown tremendously in both power and influence, reaching into every aspect of our lives. This has occurred despite continuous activism in pursuit of the opposite result. It is thus time to consider a different strategy, one which may seem counterintuitive at first but which has far more likelihood of success than continued face-value efforts to limit state power.

Many libertarians and rightists have realized that the modern liberal democratic state is an inherently left-wing institution. Even the soi disant conservatives in such systems of governance hold positions on issues that would be far to the left of acceptable opinion in a traditional monarchy or stateless propertarian society. Whenever an authentic right-wing and/or libertarian movement does manage to take power in a democratic state, it does not last long. Whether by elections, assassinations, or coups d’état, its leaders are removed and its reforms are reversed in short order by establishment hacks who are incensed that anyone dared to disrupt their progressive vision. They then double down on leftism, accelerating the destruction of society, which leads some to believe that right-wing activism will always fail.

There are several explanations for this state of affairs, but there are four aspects of anti-progressive political movements which might be remedied to great effect. First, when libertarians and/or rightists gain political power, they tend to take a principled stand against using that power to reward their friends, punish their enemies, funnel money into their activist organizations, disrupt their opponent’s activist organizations, and engage in social engineering. But leftists have no such scruples about using the state as a weapon to advance their agenda, deftly wielding this dark power to push society toward their dystopian ideals.

Second, the left has gained a stranglehold on the institutions of power. Neoreactionaries refer to these collectively as the Cathedral. The Cathedral consists of bureaucrats, regulators, non-governmental organizations, the establishment press, and most of academia, which tow a nearly consistent party line. These are headed by and staffed mostly by people who share incorrect basic assumptions and perverse incentives which lead them to act in a manner threatening to both tradition and liberty. Though libertarians and rightists have had some success at gaining political figurehead positions, they rarely do any significant infiltration, restructuring, or demolition of the Cathedral. This means that the leftist establishment can continue pressing its thumb on the scales of demographics and public opinion, thus making future attempts at thwarting their efforts more difficult.

Third, leftists have shown themselves to be far more willing to engage in direct action, such as street violence, social harassment and stigmatization of their opponents, and economic ostracism. Though rightists tend to balk at the social disorder that such methods cause, and libertarians tend to dismiss such methods as anti-libertarian even when they are not, refusing to use a weapon that is in play and being used by the enemy is tantamount to willfully entering into a boxing match with one’s hands tied behind one’s back.

Fourth, few moderate leftists are willing to denounce the most extreme elements of their faction, silently acquiescing to rioters who have no respect for private property or even the lives of anyone who is remotely right-wing. Conversely, the right and the libertarians (or what passes for them) seem obsessed with respectability, purging anyone who leftists might deem beyond the pale from polite conservative/libertarian (or cuckservative/cuckertarian) society. While it would be best if both communists and neo-Nazis could be relegated to the fringes of society, it makes no sense to run out one’s most ardent and willing fighters if the other side will not do the same.

The combination of these four factors produces an imbalance of what may be termed political terror, which may be defined as the use of violence, threats, fear, and intimidation by one political faction in a society against its opponents. This imbalance strongly influences a wide range of activities throughout a society, including government legislation and regulation, business practices, media bias, academic curricula, and limitations on the free exercise of fundamental natural rights. All of these activities are skewed in a leftward direction because there is currently no fear that the right will engage in its own social engineering to offset leftist efforts. For the sake of both liberty and tradition, this must change. Let us now consider what forms this change may take.

Principles, Political Autism, and Realpolitik

The first problem is mainly the result of political autism on the part of libertarians, and insufficient ardency and/or authenticity on the part of rightists. Libertarians must come to understand that although using the state is not the ideal option, their apparent refusal to overthrow the state by force means that the state will remain in operation and be used by someone, which will be their enemies if it is not them. Rightists must come to understand that conserving the status quo is not only undesirable but impossible, if for no other reason than entropy. To have any hope of restoration without collapse, the right must push against progressivism and attempt to reverse the degenerative course charted by the left. Both must realize that a set of principles that leads to consistent failure is a set of principles worthy only of abandonment, and both must purge the leftist entryists from their ranks.

Let us consider what this may look like in practice by considering several examples. The IRS targeting scandal outraged many conservatives, and for good reason. The state’s revenue collection arm was being used as a weapon against the political speech of opponents of the then-current regime. Many congressional hearings were held, including the infamous Lois Lerner hearing. But as satisfying as it would have been to see Lerner behind bars (not that there was any serious effort to put her there), that would not be the best political strategy. It would be far more effective in the long-term for a Republican administration to use the IRS as a weapon to attack left-wing foundations and activist groups, deny them tax-exempt status, meticulously audit them, and prosecute any violations to the fullest extent of the law. Once that is done, Congressional Democrats would be far more likely to entertain proposals to abolish the IRS, their activist base having been on the business end of it.

Another ongoing debate concerns the limits of freedom of speech, especially on college campuses. Left-wing activists claim that anything to the right of Marxism is hate speech and must be silenced, following the teachings of Herbert Marcuse and Karl Marx himself on the subject. For now, most libertarians and rightists are insisting that the antidote to speech that one dislikes is more speech rather than less. Though some success is being had by showing up and speaking despite leftist protests, it may be more fruitful for libertarians and rightists to agree that freedom of speech may be overrated and seek to ban communist propaganda rather than hate speech. Such a ban should be as vague and fear-provoking as the hate speech laws which muzzle rightists, particularly outside of the United States. And of course, any non-critical discussion of hate speech would count as communist propaganda. The end goals of such a measure are both to suppress radical leftists and to show moderate leftists that any power they wish the state to have can and will be used against them when they are not in power, so limiting state power would be wise.

The use of the state’s monopoly on law to sue companies which are disfavored by leftists and allow them to settle lawsuits by donating to third party non-victims instead of helping people who have actually been harmed by those companies is a known problem. According to a recent report, the Obama administration effectively funneled $3 billion into the coffers of left-wing groups through such methods. This is part of the reason why large corporations can be counted on to side with the left on the various social issues of the day. Congressional Republicans argue that such an abuse of power should be stopped, and there is merit to that argument. But again, the more effective course may be for rightists to funnel such funding into their groups in order to balance the scales. This would both make leftists think twice about such tactics and provide an opening for libertarians, who could appeal to companies who wish to be free of extortion from both left and right. Meanwhile, large corporations would be less hasty to jump on board with the leftist agenda du jour, as they would have a backlash to think about when the right next comes to power.

That demographics are destiny is a fact clearly established by historical precedent. The use of immigration policy to alter the demographics of Western countries has been a leftist project for decades. Mainstream consevatives seek immigration reform, while populists like Donald Trump are willing to build border walls and restrict immigration. But this alone will not undo what leftists have done to the genetic stock of Western nations. If a libertarian immigration system is not an option, and no one is willing to do what would be necessary to make that option available, then immigration policy will remain a tool of social control which could be used by the right to counter leftist policies. This could consist of repatriating foreign arrivals, repealing birthright citizenship, and offering asylum to imperiled white people in sub-Saharan Africa to offset non-white third-world immigrants. The latter policy would be particularly effective at both angering the left while also demonstrating their hypocrisy and anti-white racism. The left would be less likely to use immigration policy to advance their agendas in future if the right shows a willingness to both reverse their maneuvers and make counter-maneuvers.

There are many more examples that could be discussed, but the general pattern should be clear. Reverse a leftist policy, then impose a counter-policy to further undo their efforts. Make life difficult for leftists, just as they have made life difficult for their political opponents. Stop adhering to rules which are designed by the left but never followed by them.

Besiege the Cathedral

The second concern is the result of decades, if not centuries, of leftist infiltration and commandeering of universities and media outlets, which have been the occupations of choice for sophists since the historical Cathedral in the form of the Catholic Church lost its formal secular power. The result has been generations of people thoroughly indoctrinated with leftist thought. Some of these people took bureaucratic and regulatory positions in government, while others founded and worked at leftist NGOs. This played a large role in shifting society leftward toward democracy, socialism, and communism. Fortunately, there is much that can be done to besiege the Cathedral, and some of it is already being done.

The root of the Cathedral problem is the government education system because it is there that the next generations of leftists are minted. Libertarians would seek to eliminate this system in favor of private alternatives, and they are not wrong in theory. The private alternatives which already exist should be promoted and encouraged, perhaps officially. National departments of education should be abolished in favor of local control of school curricula, and governments should be extricated from the student loan business. This would do much to reduce both the power and reach of leftists in academia. But as long as government schools and universities exist, some political faction is going to use them to promote their agendas and employ their members. If rightists and libertarians can infiltrate such institutions and take over teaching positions, they will be able to prevent future generations from being fed leftist propaganda. The power of the purse may also come in handy, as a right-wing administration could deny grants and other funding to professors who are clearly biased in favor of leftism while funding researchers in what are currently politically incorrect endeavors. Nothing would make leftists support private education and homeschooling like the possibility of their children being taught a reactionary curriculum.

The spread of dissident thought is far easier in the age of the Internet, and opponents of the progressive agenda have taken advantage of this opportunity. This must be done to an even greater extent, and attempts by the establishment to censor right-wing and libertarian content must be stopped. Free market methods of addressing this problem include crowd-funding and creating alternative social media platforms, and these methods have demonstrated some success. State power could help here by holding all companies that receive government funding to the standards of conduct that the government is supposed to follow, which (in the United States) means that most major social media companies could be given an ultimatum to stop censoring rightists and libertarians or lose all government funding and contracts. Alternatively, a right-wing administration could give illiberal progressives a taste of their own medicine by encouraging social media platforms to censor leftists instead of rightists. Finally, the state could be set against the establishment press by increasing taxes and regulations on them while granting a free hand to alternative media and independent journalists. These measures should be effective at disabusing leftists of the idea of silencing speech that they dislike.

Another obstacle is presented by NGOs, which will take whatever actions they can against the implementation of the strategies outlined in this article. It is best to shut down and ban NGOs in order to rid the system of their influence, as it is far easier to do this than to try to infiltrate them while doing everything else recommended in this article. Note that most of the activities associated with shutting them down and banning them would fall under some other recommendation made in this article.

Finally, the Cathedral could be weakened by restoring the power of the real Cathedral, i.e. the church. But in a society that is increasingly reliant upon reason and evidence while being increasingly skeptical of faith and divine revelation, this is highly unlikely to be implemented despite its historical efficacy of providing a check on state power. It is therefore more useful to stick to secular solutions to the problems at hand.

The Ground Game

The third disparity is caused by the very nature of the average right-wing activist versus the average left-wing activist, and this problem will be exacerbated by the solutions to the first two problems as leftists take to the streets to protest right-wing social engineering policies. The rightist is more likely to have a family to support, a job to worry about losing, and other such concerns than the typical Antifa member. This may change if the economy continues to stagnate, thus leaving more right-wing people out of work, keeping them from forming families, and pushing them in a revolutionary direction, but it remains a problem for now. Anti-communists are also far behind radical leftists in fundraising, organization, strategy, tactics, volunteers, and much else. The deep state is clearly in league with the leftists as well, seeing that the FBI would rather investigate patriot groups than communist rioters.

That being said, there are some recent successes on this front. 4chan’s /pol/ community has done an excellent job of identifying masked Antifa members so that they can be prosecuted for their crimes. In other words, Internet trolls are doing the jobs of government investigative and national security agencies for them. The Antifa loss in Berkeley, Calif. on April 15 has tempered their activity somewhat, as has the fact that the police there and elsewhere have begun taking the threat posed by Antifa more seriously. No longer are they being allowed to wear masks in public, which is already illegal in many places. The presence of firearms on both the Antifa side and the rightist side in Pikeville, Ky. on April 29 helped to keep the peace there, which was not a factor in Berkeley, Calif. or Auburn, Ala. Public opinion also seems to be turning against Antifa, despite the best efforts of the establishment press.

The trend is positive, but more must be done. More of the comprehensive strategy against Antifa should be implemented, especially declaring them a domestic terrorist organization. More lawyers and medical personnel are needed to get anti-communists out of jail and tend to any wounds they sustain. More security personnel are needed to make sure that libertarian and right-wing speakers are safe. Donors who can put their capital against the capital of George Soros and others like him are needed to provide funding for grassroots counter-terrorism. Above all, more libertarians and rightists must show up against the leftist hordes because they appear to behave far less dangerously when they are outnumbered.

However, it is important not to go too far in this regard. Just because Antifa makes violent threats to shut down events does not mean that we should also resort to terrorist activity, even if that would meet the lex talionis standard being advocated more generally in this article. Antifa also use explosives and other area-effect weapons, which should generally be avoided because they are likely to harm innocent bystanders. That said, it is necessary to walk up to the line, even if crossing it would be counterproductive. For example, descending upon a venue that is hosting a leftist speaker in order to heckle and disrupt the event would be fair game, as would informing the employers of Antifa members who have jobs of the nature of their employees in an effort to get them fired. Radical leftists use both of these tactics against their political opponents, so turnabout is fair play.

Unholy Alliances

The fourth problem is the result of leftist infiltration into right-wing and libertarian circles in the forms of neoconservatism and left-libertarianism. This has led to an obsession with respectability in the eyes of the left, which in practice can only mean conformity with leftist agendas. The problem began in earnest for the right with William F. Buckley’s purges at the National Review, and although it was always present at some level within the modern libertarian movement, Samuel Konkin bears much of the blame for this. One does not have to like white nationalists, fascists, or any other far-right group to realize that they are an asset in a street battle against the left and that however bad they might be, communists are even worse. Thus, the first order of business is to stop denouncing such people, at least until the left is either defeated or willing to denounce its violent extremists. Then, and only then, may the worst elements of the right be jettisoned. Second, those who insist on playing respectability politics and purging people toward that end must themselves be purged. The difficulty of this will vary widely, as leftist infiltrators vary widely in how much resistance to their agendas they must face in order to become sufficiently triggered to leave libertarian or rightist groups, but most will leave once it is clear that they and their ilk are no longer welcome. These two measures, if thoroughly implemented, should move the balance of the political scales away from the left and toward the center.

Response and Counter-Response

Leftists will respond to this new strategy from libertarians and rightists in one of three ways. Some will complain but take no meaningful action. These people may more or less be ignored. Some will come to their senses after decades of using the state as a means to their ends after seeing firsthand that, as the quote frequently misattributed to Thomas Jefferson goes, a government big enough to give you everything you want is a government big enough to take away everything you have. These people will suddenly appear to become libertarians, with degrees of sincerity ranging from zero to absolute. It is best to treat them as repentant sinners, accepting them for the moment but keeping a watchful eye on them for any relapses into leftist advocacy. But others will only be angered, hardened, and emboldened by such an approach. They will take to the streets and riot like nothing seen in recent times. The only solution to this problem is to violently suppress and physically remove them, as they are unrepentant aggressors who have proven incorrigible by lesser measures.

It must be noted that some elements of the right are enemies of liberty as well, and there is a significant danger associated with empowering them to defeat the left. But if history is any guide, even the worst authoritarian rightists cause no equal in death or destruction to that caused by communist regimes. Nor can they, as right-wing statists at least show some nominal concern for ethical norms of private property and non-aggression, even if they frequently violate those norms. Communists, on the other hand, seek to completely abolish these norms and accomplish their goals by any means necessary. It is thus a matter of priorities to physically remove communists first and then find a way to toss whoever our Pinochet might be from his own helicopter.

Conclusion

What is being advocated here will understandably make many right-wing and libertarian people uncomfortable. After all, this proposal moves in the opposite direction from where both generally wish to go, and both are rightly skeptical of the idea that anyone alive today is qualified to use state power to engineer society. But qualified or not, as long as that power exists, someone is going to be using it for that purpose. If no one is willing to do what is required to dismantle that power, then we are faced with the stark choice of using it when we get a chance or leaving it to the enemies of liberty to continually engineer society against us without meaningful counter-engineering on our part. If we cannot have non-aggressive peace with the left, then the only remaining options are the aggressive peace of mutually assured destruction or a political civil war between leftists and their opponents. The implementation of this proposal is guaranteed to provide one or the other. This concludes the proposal for restoring a balance of political terror.