Why the State is different

May 24, 2008 – 11:39 pm by John

…there are two general means whereby human beings can satisfy their needs and desires. One is by work—i.e., by applying labor and capital to natural resources for the production of wealth, or to facilitating the exchange of labor-products. This is called the economic means. The other is by robbery—i.e., the appropriation of the labor-products of others without compensation. This is called the political means. The State, considered functionally, may be described as the organization of the political means….
—Albert Jay Nock

I found a great column written by Lew Rockwell in 2003, Why the State is different. It is quite instructive for non-libertarians for understanding the libertarian perspective on things and understanding why our objections to the State cut to the very root of the Statist system.

He begins,

A common accusation against libertarianism is that we are unnaturally obsessed with tracing social and economic problems to the state, and, in doing so, we oversimplify the world. If you let the people who say this keep talking, they will explain to you why the state is not all bad, that some of its actions yield positive results and, in any case, the state should not always be singled out as some sort of grave evil.

I’ve thought about this before, how libertarian writers might be rightly accused of focusing only on the problems the State causes and how anarchy will both eliminate those problems and make the remaining ones easier to solve, but we should keep in mind that the very reason we have states to begin with is that lots of humans are either really bad people or do bad things thinking they’re doing good, so they would continue to harm people in a free society. Anyway…

Let us turn our attention to a news item that underscores in what respects the state is different from the rest of society. It concerns the new law passed by Congress and signed by the president that criminalizes the sending of commercial spam. From this one case, we can observe a number of traits of the state that demonstrate just how truly outside of society it really is, and therefore why it is right to focus such close attention on it.
[...]
As always in commerce, there are those who stand to make a buck by solving problems. Entrepreneurs dream up new methods and capitalists take risks to bring them to market. Each product that is offered is distinctive. Consumers try out a number of different ones. The ones that work better than others—and sell for the right price and are easy to install—displace those that work less well. Profits flow to those who have done the best job.

This is the way the market works, and all is done voluntarily. The power to judge, to make some products succeed and some fail, is in the hands of consumers. Consumers base their judgments on what is good for them personally, so there is a constant feedback mechanism, from the desktop to the capitalists to the entrepreneurs to the traders who buy and sell stocks of companies that bring the products to market at the least-possible cost.
[...]
People make money even as society is served.

Now, let us contrast this gorgeous web of trial and error with the ham-handed approach of Congress and the president. Someone had the idea that spam is bad, and thus does the solution present itself: make it illegal, which is to say, threaten spammers with fines and jail and, if they resist enough, death. It is no more or less complicated than that. There is no trial and error process, no imagination required, no permission from consumers to be sought, and no investors to issue a judgment on the merits or demerits of this approach. Congress speaks, the president agrees, and it is done.
[...]
Hence Lesson One in the uniqueness of the state: the state has one tool, and one tool only, at its disposal: force.

Now, imagine if a private enterprise tried that same approach. Let’s say that Acme Anti-Spam puts out a product that would tag spammers, loot their bank accounts, and hold them in captivity for a period of time, and shoot spammers dead should they attempt to evade or escape. What’s more, the company doesn’t propose to test this approach on the market and seek subscribers, but rather force every last email user to subscribe.

How will Acme Anti-Spam make money at its operation? It won’t. It will fund its activities by taking money from your bank account whether you like it or not. They say that they can do this simply because they can, and if you try to stop it, you too will be fined, imprisoned, or shot. The company further claims that it is serving society.

Such a company would be immediately decried as heartless, antisocial, and essentially deranged. At the very least it would be considered uncreative and dangerous, if not outright criminal. Its very existence would be a scandal, and the people who dreamed up such a company and tried to manage it would be seen as psychopaths or just evil. Everyone would see through the motivation: they are using a real problem that exists in society as a means to get money without our permission, and to exercise authority that should belong to no one.

Lesson Two presents itself: the state is the only institution in society that can impose itself on all of society without asking the permission of anyone in particular. You can’t opt out.

A seemingly peculiar aspect of the anti-spam law is that the government exempts itself from having to adhere to its own law. …

Lesson Three: the state is exempt from the laws it claims to enforce, and manages this exemption by redefining its criminality as public service.

What is considered theft in the private sector is “taxation” when done by the state. What is kidnapping in the private sector is “selective service” in the public sector. What is counterfeiting when done in the private sector is “monetary policy” when done by the public sector. What is mass murder in the private sector is “foreign policy” in the public sector.

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