I’m pretty sure much anti-market sentiment comes from a grave misunderstanding of the market.
People view the market as something to be controlled from outside, to be regulated from outside, by the government and bureaucrats. By third parties.
The reality is that a freed market will be regulated, but not by third parties. The regulation will be done by us, the market participants. Who do you trust more to regulate the market? Those freely engaging in exchange or some bureaucrat or politician who not only does not know anything about the exchange but who is also open to bribery (or open to bribing others through use of their power)?
I know who I’d prefer – those acting in the market.
Sheldon Richman makes this point in an article at the FEE: Regulation Red Herring. He doesn’t put it quite how I’d like, but it is a great article.
The concept can be developed further, and this is what Charles ‘RadGeek’ Johnson does in this post.
He poses the question
In a freed market, who will stop markets from running riot and doing crazy things? And who will stop the rich and powerful from running roughshod over everyone else?
And answers it We will.
He expands on Sheldon’s point. Sheldon focuses on one sort of order that emerges in the freed market, the spontaneous order which emerges from voluntary exchange. Charles adds another form – organisation:
In a freed market, if someone in the market exploits workers or chisels costumers, if she produces things that are degrading or dangerous or uses methods that are environmentally destructive, it’s vital to remember that you do not have to just “let the market take its course” — because the market is not something outside of us; we are market forces. And so a freed market includes not only individual buyers and sellers, looking to increase a bottom line, but also our shared projects, when people choose to work together, by means of conscious but non-coercive activism, alongside, indeed as a part of, the undesigned forms of spontaneous self-organization that emerge. We are “market forces,” and the regulating in a self-regulating market is done not only by us equilibrating our prices and bids, but also by deliberately working to shift the equilibrium point, by means of conscious entrepreneurial action — and one thing that libertarian principles clearly imply, even though actually-existing libertarians may not stress it often enough, is that entrepreneurship includes social entrepreneurship, working to achieve non-monetary social goals.
All power to the people!
Go read the whole thing.
What drew me to libertarianism was not some ego trip, or some sense of superiority or some sort of conservative nostalgia for a non-free past. No it was this love of freedom and desire for people to be free and to have control over their lives to improve it.
Even the vulgar-libertarian literature I’ve read was about improving people’s lives, although they missed the broader context of exploitation and fail to recognise the social entrepreneurship which is possible and important.
This is the real Left. It is real democracy. I might even go so far to say that its real socialism (not the sorry caricature which the authoritarians and social democrats present us).