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Won’t Big Businesses Abuse Their Power in a Free Market?

in Communicating Liberty, Liberator Online Archives, Libertarian Answers on Issues by Mary Ruwart Comments are off

(From the Ask Dr. Ruwart section in Volume 19, No. 21 of the Liberator Online. Subscribe here!)

Big BusinessQUESTION: If you free big businesses from government regulations, how do you keep these same businesses from becoming an aristocracy and turning America into a feudal state?

MY SHORT ANSWER: In a libertarian society, you, the consumer, control businesses by voting to buy or not buy their products. You vote to keep them in business or shut them down. You eliminate the “bad guys” by purchasing only from the “good guys.”

In today’s society, government regulates some companies out of business, leaving a monopoly (like most local utility companies) or a cartel (like the banking industry). Limiting your choices limits your control.

Government doesn’t keep big business in check; government keeps big business big.

Business only has two ways to get big: by serving customers better than the competition or by getting Big Brother to regulate their competition out of business. Keeping government out of the marketplace keeps business in its true service role.

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LEARN MORE: Suggestions by Liberator Online editor James W. Harris for further reading on this topic:

* “Big Business and Big Government“ by Tim Carney, Cato Institute Policy Report, July/August 2006.

EXCERPT: “The history of big business is the history of big government. As the federal government has progressively become larger over the decades, every significant introduction of government regulation, taxation, and spending has been to the benefit of some big business. …big business and big government prosper from the perception that they are rivals instead of partners (in plunder). The history of big business is one of cooperation with big government. Most noteworthy expansions of government power are to the liking of, and at the request of, big business.”

* “The Only Way to Get Money Out of Politics“ by Sheldon Richman, Future of Freedom Foundation.

EXCERPT: “It’s a great myth that businesses, especially big prominent corporations, want less government intervention in the economy. On the contrary, they love government power because it provides things they can’t achieve in a freely competitive marketplace where force and fraud are barred. Corporations support and lobby for interventions that benefit themselves by hampering their competitors, both foreign and domestic. You often find companies asking for tariffs and other restrictions on imports that compete too effectively with their products. Agribusinesses welcome government (taxpayer) help in selling their products abroad; they also love subsidies, price supports, and acreage allotments. … In American history big companies were behind virtually ever advancement of the regulatory state.”


Short Answers to Tough QuestionsGot questions?  Dr. Ruwart has answers! If you’d like answers to YOUR tough questions on libertarian issues, email Dr. Ruwart

Due to volume, Dr. Ruwart can’t personally acknowledge all emails. But we’ll run the best questions and answers in upcoming issues.

Dr. Ruwart’s previous Liberator Online answers are archived in searchable form.

Dr. Ruwart’s latest book Short Answers to the Tough Questions, Expanded Edition is available from the Advocates, as is her acclaimed classic Healing Our World.

What is the non-aggression principle?

in Communicating Liberty, Liberator Online Archives, Libertarian Answers on Issues, Libertarian Stances on Issues by Mary Ruwart Comments are off

(From the Ask Dr. Ruwart section in Volume 19, No. 19 of the Liberator Online. Subscribe here!)

QUESTION: What is the libertarian non-aggression principle?

MY SHORT ANSWER: Libertarianism is based on a single ideal, the non-aggression Keep Calm And Be Non-Aggressiveprinciple.

Libertarians oppose the initiation of force to achieve social or political goals. They reject “first-strike” force, fraud or theft against others; they only use force in self-defense. Those who violate this “non-aggression principle” are expected to make their victims whole as much as possible, via restitution.

This “Good Neighbor Policy” is what most of us were taught as children. We were told not to lie, cheat, steal, or strike our playmates, except if they hit us first. If we broke a friend’s toy, we were expected to replace it.

Most of us still practice what we learned as children with other individuals, but we have grown accustomed to letting government aggress against others when we think we benefit. Consequently, our world is full of poverty and strife, instead of the harmony and abundance that freedom (i.e., freedom from aggression) brings.

Simply put, libertarians take the non-aggression principle that most people implicitly follow in their interactions with other individuals, and apply it to group actions, including government actions, as well.

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Short Answers to Tough QuestionsGot questions?  Dr. Ruwart has answers! If you’d like answers to YOUR tough questions on libertarian issues, email Dr. Ruwart

Due to volume, Dr. Ruwart can’t personally acknowledge all emails. But we’ll run the best questions and answers in upcoming issues.

Dr. Ruwart’s previous Liberator Online answers are archived in searchable form.

Dr. Ruwart’s latest book Short Answers to the Tough Questions, Expanded Edition is available from the Advocates, as is her acclaimed classic Healing Our World.

Would Blackmail be Legal in a Libertarian Society?

in Liberator Online Archives, Libertarian Answers on Issues, Libertarian Stances on Issues by Mary Ruwart Comments are off

(From the Ask Dr. Ruwart section in Volume 19, No. 16 of the Liberator Online. Subscribe here!)

blackmailQuestion: How would a libertarian society deal with blackmail? Thinking of the blackmailer as a gossip offering the service of his silence for a fee, I cannot find any reason why it should be illegal in a libertarian society. Both parties receive something of value and the agreement is consensual.

My short answer: The criteria for illegality in a libertarian society would be: “Does it threaten first-strike force, fraud, or theft?” For example, if I pay blackmail to someone who would otherwise beat me, they are using the threat of first-strike force to take my money, very much like a thief does. This would clearly be against libertarian law.

If I pay blackmail to someone so that they won’t tell a true but embarrassing tale about me, I am not being threatened with first-strike force, fraud, or theft. Quite possibly, such “blackmail” might (depending upon the circumstances) be considered a private contract under libertarian law. If the blackmailer told his or her story anyway, I might be able to sue for contract violation!

If I pay blackmail to someone so that they won’t lie about me, the situation is not as clear. Many libertarians consider slander of a person’s reputation to be a violation of the non-aggression principle; others don’t.

LEARN MORE: Suggestions for further reading on this topic from Liberator Online editor James W. Harris:

* “Defending the Blackmailer“ by Walter Block. Walter Block has been writing about libertarianism and blackmail for decades. His collected writings on this topic are in his 2013 book Legalize Blackmail.

This provocative selection is a chapter from his classic 1976 book Defending the Undefendable, which you can download as a free ebook from the Mises Institute.

Excerpt: “What exactly is blackmail? Blackmail is the offer of trade. It is the offer to trade something, usually silence, for some other good, usually money. If the offer of the trade is accepted, the blackmailer then maintains his silence and the blackmailed pays the agreed-upon price.

“If the blackmail offer is rejected, the blackmailer may exercise his rights of free speech and publicize the secret. There is nothing amiss here. All that is happening is that an offer to maintain silence is being made. If the offer is rejected, the blackmailer does no more than exercise his right of free speech.”

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Short Answers to Tough QuestionsGot questions?  Dr. Ruwart has answers! If you’d like answers to YOUR tough questions on libertarian issues, email Dr. Ruwart

Due to volume, Dr. Ruwart can’t personally acknowledge all emails. But we’ll run the best questions and answers in upcoming issues.

Dr. Ruwart’s previous Liberator Online answers are archived in searchable form.

Dr. Ruwart’s latest book Short Answers to the Tough Questions, Expanded Edition is available from the Advocates, as is her acclaimed classic Healing Our World.