The libertarian slavery paradox

Nolan_chart

The Political compass as libertarians see it

I happened to be watching the remake of the TV series Roots recently (based on the Alex Haley novel) and it did occur to me how it creates a bit of a troubling problem for libertarians. They like to see themselves as the ultimate liberals at the opposite end of the political compass to nazi’s and authoritarians. However I would argue that logic would dictate that any libertarian society would inevitably eventually become a slave owning society.

Think about it, in a libertarian society if someone owes you money or compensation for something, how do you get them to pay? Let’s suppose someone did a shoddy job tiling your roof, or he ran over your 6 year old kid and she’s now paralysed for life and needs expensive treatment, or someone simply defaults on their loans to a bank without paying (which is bad news for savers, recall there will be no federal insurance on banks under libertarianism, if enough borrowers default the bank goes under). Without a government, in a libertarian society with lax law enforcement and little to no regulations means that courts will be toothless. And without some sort of authority to enforce the law people, in particular the wealthy with their vast fortunes and private armies, can simply ignore the law. And those at the very bottom, can simply shrug their shoulders and say, well I’m broke, I’ve got nothing to pay with, I own no property, so your screwed, now if you’ll excuse me I’m going to go get drunk, then drive to the park and fire my gun at squirrels near where your children play.

And the thing is that this wouldn’t only be allowed in a libertarian society, it would be considered a perfectly moral act. Libertarians often claim to follow the philosophy of Objectivism, which basically amounts to saying that its okay to be a selfish jerk and that being a kind and caring person who gives the slightest thought for others is morally wrong. In such a society, it would be considered okay to default on debts and basically screw everyone else over. This will be normal. But if everyone did that, society would quickly fall apart. Banks won’t lend money to anybody, even those with good credit. Doctors would refuse treatment without payment up front (and patients with any sense would refuse to pay until the treatment was completed). Without some sort of a system (let’s call it “a government”) to make sure people honour their obligations, the whole economy would unravel.

Now libertarians would say, oh but we’ll just have this code of honour whereby if anyone does something bad we’ll give them a terrible review on Facebook or something. Ya, and is that actually going to help? Donald Trump went bankrupt four times, you’d think after the 2nd time people would have learnt the lesson not to lend him money. You’d think nobody, least of all libertarians would have voted for him, but here we are. There are a host of well known scams around, many of them simply modern takes on old con tricks, yet thousands still fall for them every day.

They have this TV programme on UK TV called “Rogue Traders” where they set up a sting operation and catch various con-artists, dodgy used car salesmen, telemarketing fraudsters, cowboy builders and rogue tradesmen and then essentially name and shame them. Thing is, very few end up out of business. Some of them keep appearing in multiple episodes, sometimes under a new name or sometimes openly trading under the same name (one even put “as seen on rogue traders” on the side of his van!). Generally what’s stopped these people becoming season regulars is that the authorities eventually caught up with them and put them out of business.

But in a libertarian society there’s no authority and no social safety net. So how do you enforce any sort of law or civil suit? My guess is that what will happen is when the repo men arrive to cart away someone’s stuff, if they don’t find enough stuff to pay the debt, they’ll take away the debtor and his family and force them to work off the debt. This is pretty much how slavery worked in a number of society’s throughout history and how the practice of bonded labour works to this day.

Now libertarians will no doubt say, no we’ll outlaw slavery. But its going to be impossible to enforce that when the rich and the powerful have their own private goon squad. And unfortunately even in this day and age there’s several parts of the world where bonded labour is still practised, despite laws outlawing the practice. And it tends to occur in places where the government’s authority is weak or corrupt. For example in Somalia and Libya, countries with little in the way of government and lots of guns (as close to a libertarian society as you’ll find!) there are active slave markets.

And there’s the second problem for libertarians, democracy would collapse pretty quickly in a libertarian society. Taking objectivism to its logical conclusion, the easiest way to win an election is to bribe election officials and intimidate voters. e.g. the wealthy landowner threatens mass evictions, the billionaire says his goons will go on the rampage if they don’t win the election. This is how African dictators can win elections with margins of +90%. And even if the wealthy lose the election, they can simply ignore anything the government does that they don’t like, as they are essentially untouchable in a libertarian society.

In a society whereby the wealthy can grow their fortunes unchecked and utilise the power it gives them without any checks or balances, then it becomes essentially impossible to have a democratic and free society. Take for example Rockfeller or the other billionaire’s of the “robber baron” era. With no government to break up his monopoly (and an Objectivist philosophy that basically said it would be morally wrong for him to give anything away to charity) his fortune would have grown even larger, his descendants would now not only control 90% of the US oil supply, but probably 90% of the US energy supply as well as many public utilities (e.g. internet access, water, hospitals, police, fire services, etc.). At this point, they become the defacto ruling royal family of the US, emperors in all but name, with the role of US president essentially becoming “ass kisser in chief” (you can just see the debate with Hilary and Trump demonstrating their butt kissing techniques).

Now libertarians will say, oh that would never happen, we’d just boycott the business of those we don’t like (in which case you need to go look up the meaning of the word “monopoly” cos that’s sort of the problem, you can’t boycott a monopoly!). Or they’ll argue that sooner or later another billionaire will build up an even vaster fortune and take over. Oh great, so because one rich asshole is better at screwing us over than some other rich asshole, he gets to be emperor instead. Ya, that sound way better than our current system of government!

The sad fact is that libertarianism only works if you ignore the last thousand years of history. A libertarian society would quickly become a feudal society, where the rich will grow vast fortunes unchecked and abuse their power without limit. Where the poor, if they are unable to pay the vastly overinflated prices the rich with their monopolies charge, will be at risk of being sold into slavery. Where speaking out will be impossible, as the press and internet are controlled by the rich. And those who do a Robin hood and fight back will be derided as socialists and terrorists.

In truth, if there’s anything that libertarianism is at the oppose end of the political spectrum to it is democracy and free markets.

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3 thoughts on “The libertarian slavery paradox

  1. Pingback: The libertarian slavery paradox | AGR Daily News Service

  2. Can’t boycott a governmental fiefdom, public-private partnership, or public-private merger either… In fact, they have a tendency of aspiring for the latter and falls under Corporate Welfare/Crony Capitalism, which are also the foundations of structure for Oligarchy, Kleptocracy, and Plutocracy.

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