I am starting a new post to discuss Anarcho-Capitalism. This discussion is a continuation of a discussion that was started on Fiat Currency and the need for 100% Reserve Banking. The original discussion can be found at:
Here is a snippet of the discussion:
Fine, cite specific examples then. An appeal to “all of history” isn’t really an argument.
Sure. Americans left King George the 3rd, who was taxing them 2 or 3 %, and decided to tax themselves 35~45%. All governments exist to tax. There is no easier target than a nationalistic and socialistic electorate.
How?
Why?
No WWI and no WWII, why would the Nazis be an issue?
Socialists truly are the scoundrels of our times, but how many countries did the communists actually invade?
You mean the war the Americans started?
Austrian economics is not libertarianism, but many of us in this community, which doesn’t necessarily reflect the views of the institute or its scholars, are radical libertarians. So any premise about government intervention, is not generally going to get much review because the premise is often rejected here.
If we’re doing value free economic analysis, then it’s strictly an unemotional (so no pandering to foreign boogeymen) analysis of the market vs. the state.
In order to have a central bank or fiat money, you need a state which subverts market processes. Which then leads one to ask, if the premise is that we NEED central banks and we NEED fiat money (100% reserve or otherwise) and both require subverting the market, then why would we need markets at all? If markets have any virtue, then why must we use the monopoly coercion of the state to subvert some but not others.
In other words, what makes fiat money and central banking so exceptional to things like food and medicine and education and entertainment and so on? What are their unique characteristics that require force because the market will not choose them freely, and if they would not be chosen freely, isn’t that an argument that they are not in fact “needed”?