It would be unjust perhaps in the sense that these people innocently and willingly trusted the promises of liars and thieves. But their paying into the system is much like the T-bill holder’s buying a share of the ill-gotten goods of taxation receipts. By paying into the system, welfare and SS, etc., citizens expected to receive their share of ill-gotten goods in due course. Just as the government bond-holder expects to be repaid.
It would not be unjust to take away that unjust expectation built on an unjust mechanism, of taxation. Rothbard uses the same argument to show why nullifying public debt would not be unjust to bondholders–because they’re essentially buying a share of the proceeds from robbery which is unjust in the first place. Similarly it would not be wrong to take away a man’s slaves and not compensate him for lost property, as slavery is innately wrong.
But your point is taken and in actual practice we’d want to ease transition. If we ever got a chance to remake the system, it would make a good deal of sense to sell off government assets and try to pay back people for what they’ve paid into the system, especially those currently relying on that promise to pay and those just about to.
But from there, the system would have to be allowed to wither on the vine, and the unjust appropriation of funds via taxation ended once and for all, to be replaced by the voluntary system of mutual aid I laid out previously.
All Debts contracted and Engagements entered into, before the Adoption of this Constitution, shall be as valid against the United States under this Constitution, as under the Confederation.
change this to
all depts and contracts, including this constitution, are nullified, start over
will be interesting to see how people fare with renegotiated contracts or having to find other people to contract with. the invisable hand can work it’s magic.
if the state just nullifies it existance, it will be a good test for free market private courts.
But their paying into the system is much like the T-bill holder’s buying a share of the ill-gotten goods of taxation receipts.
Not really. In most cases the payments were not voluntary. Even in capitalistic countries the payments of “social” taxes were forced, but in socialistic countries the people were not even given (most of) their money in the first place. The party told you where to work, how much to get for that, and even if you managed to save, “denominations” and defaults made sure noone had any wealth in cash or bonds by the time regimes crashed. And any kind of investment was illegal for most of the time.
Ok, I realize most people on the forum care about the US first, but as I said, even in the US the payments were not voluntary.