Why coercion is an essential and beneficial element of maximal-capitalist society.

No, you are making the assumption that he can’t. Being rich is not dependent on being an efficient manager. You can be very inefficient and still be rich if you control valuable resources. Or be very efficient yet barely make a profit, if the resources you control have a low market price. The whole issue of efficiently or inefficiently managed resource is completely irrelevant. A capitalist will want to conquer poorly defended resources regardless of how well they are managed. The only question is whether that has a chance to be a profitable venture.

No, I’m saying that for the sake of the argument we should assume that there are no defenses at all, so we can move the debate forward. Because that’s really not the issue. The real question is whether it would be anywhere near profitable to maintain a military force for the purpose of stealing natural resources. Tanks are expensive. Paying people to risk their lives is expensive. And once you take over a natural resource you have to defend it. It has to have a huge profit margin if you want to have any chance of making back that investment, and if it is very profitable lots of people will want to steal it from back you. Then you still have to exploit the damn resource, which also costs money. All of that adds up to so much that it’s not possible to recover your costs. It’s kind of like the predatory pricing debate, just with explosions. A big company could try to offer it’s product below production cost to drive it’s competitors out of business, become a monopoly and make a huge profit on raising the price. But they would have to make a loss for a long time in the hope of recovering it later. They would just bankrupt themselves by offering their product below production cost, so nobody tries it. (The details of that are available on the internets.)

War isn’t very lucrative. It would be even more expensive for private entities, since they don’t have the legitimacy of being the government, which people consider the manifestation of “societies” will. Private entities can’t rely on patriotism, they would have to pay people a lot to get shot at. Also there’s the cost of being evil. People don’t like greedy rich companies, they won’t cooperate gladly, and they might even try to boycott them. Not to mention that if it’s profitable to steal resources there will be other evil resource-conquering PDA’s to compete with. So it will be war; they sometimes lose a battle and don’t get the resource, people die, they have to buy ammunition and replace destroyed material. It just wouldn’t be profitable.

What statists? We are talking about private entities, right? Emerging hegemon defense cartels.

If you are asking how an anarchist society would defend against states that aren’t anarchist yet you are asking a completely different question. We can debate that, but not here.

In no way am I claiming that coercion as a means to obtain economic gains would cease. Capitalists will try to steal resources if that would be profitable. The point is that it wouldn’t be. Coercion isn’t profitable unless you are the state who doesn’t have to bear the full cost of your actions or you are an entity like the mob that enjoys state barriers that make coercion artificially profitable. For private people “crime doesn’t pay”. That doesn’t mean that they won’t do it anyways because they are irrational about it, but your argument here is that they would have an economic incentive to do so.

Now that’s just a strawman argument. Obviously I’m not suggesting some sort of utopian ‘no resources’ society. I am arguing that maintaining a huge military force to conquer natural resources wouldn’t be profitable compared to, say investing in biotech companies or car factories. Because owning natural resources isn’t where great wealth comes from in a developed capitalist society. Natural resources are getting cheaper, in anarcho-capitalism that would be even more so. If you want to show that PDA’s would battle over resources in an anarchist society, you have to show that businessmen would make more profit by putting their money into tanks to steal resources than voluntarist ventures like building factories.

Exactly. It’s always more capital intensive to wage war than to, say, produce shoes.

I respond to the rest later.

No, because states created the barriers that makes these protests artificially profitable.

Remember my sentence: When has large-scale coercion by private entities been worthwhile without state barriers that made it artificially profitable?

We can also scratch ‘large-scale’ from that sentence: No coercion by private entities has ever been worthwhile without state barriers that made it artificially profitable. EmperorNero’s 2nd law. (The first one is that there is no such thing as a rich socialist country.)

By “statists” do you mean people who employ coercion? Because usually it means “people who support a strong state”, and that wouldn’t make sense in an anarchist society.

Sure there is, competition. That would be the old debate whether free markets naturally lead to monopolies. I say no, but there is plenty of literature about that on the web.

I’m not saying that. I think people will become nicer in general, but deviants will continue to exist.

Peaceful capitalist envlaves would not be overrun by more aggressive and violent profit driven enclaves for the same reason that South Korea isn’t overrun by North Korea; the former would be so much more productive and therefore stronger.

Baseless assertion. Also, who is making the calculation as to what is “maximum”? – valject

The market. Owners who are negligent in managing their valued resources (and they are many in capitalist systems since 99.99% ultimately fail) will not have a level of security that matches the economic value of the resource .

however I have explained this in detail repeatedly – read my posts.

(But you failed to address the question in any way. Just saying “The Market” is not an answer. You are assuming that using a resource to the maximum benefit is shown by how much security one has to protect that resource rather than how much the owner is profitting by utilization/selling of a resource. Address this, please. You’re using the term “maximum benefit” in the same way that an anarcho communist throws around the world “average”. What is the balance, exactly, that you are claiming between the value of a resource and a level of security? If value is subjective, shouldn’t the level of security necessarily always change? And doesn’t that mean it’s not something that is so clear cut as you like to put it? I mean, what if I value an old sandwich at a security level of, say, fifty soldiers?)

It sounds to me like you’re just saying a wealthier company will always rob from slightly less wealthy companies ALL THE TIME.–valject

strawman. I challenge you to produce a single post in which I stated ALL THE TIME. please read my posts.

coercion will be used when (1) peaceful exchange is not possible, (2) peaceful exchange is more costly than the use of coercion, and (3) the transaction costs of coercion are less than the anticipated gain from annexing the valued resource.

(Not a strawman at all. It was quite implicit. You implied that a company that profits greater than others, allowing them to afford to buy a bigger army, would view how their less successful (even if they were, in fact, somewhat successful) competitors as misusing resources that they themselves could use. Therefore, pending the the impetus of said company, they would plunder their competitors. If your idea holds true, this would be as constant as there are A) successful companies, B) slightly less successful companies, and C) entrepreneurs willing to hire guns to steal from others. Since A and B are given in any society with a market, and we both concede that there are such people as C, that is precisely what you are saying, whether you put it into words or not.)

And isn’t the diversion of resources from production to plunder one of an inherently lower economic benefit than if they were to continue production on something that is apparently making them wealthier than the owner of resources you are suggesting they might attack?–valjack

No.

the USA spends less than 5% on defense as a percentage of GDP, in contrast net profit within the economy is more than 5%/GDP. Using your ‘logic’, if an operating expense of more than 4% of total costs than it is not cost effective. This is an absurd assertion since by coercion and profit are integral components of a prosperous and dynamic free market

essentially, they create a dynamic in which valued resources must be utilized effectively or plunder and loss will result. society as a whole benefits.

(This entire blurb assumes that the USA operates the same way as a business. What makes you certain that such expenses would be equivalent? You assume defense costs to be the same as a country’s defense costs vs. GDP? What if it is a country of conscription? I mean, let’s put aside the whole problem of economic calculation involved in a public defense system as opposed to the private one. The USA pays for its defense forces by taxation. A country can tax too much. A business can only charge so much. So a percentage of the one versus the other is a difference of acquisition of funds via force as opposed to sales. On what deranged chart do the two cross over and point to a sum? They are not equivalent. If they are, show how. By all means.

I think you’ve missed something quite important. I posed a question asking if it would be less productive to invest in an army to plunder competitors rather than to improve services. I don’t deny for a minute that it’s possible to get a good gain through plunder in very specific circumstances. For instance, someone could be sitting on a pile of gold, and gold could be in high demand. If they don’t sell, and they aren’t defending it, or can’t defend it, then sure, someone could hire an army, steal it, and sell to meet demand for profit. But that’s a pretty specific situation, not to mention that ANY situation, not just the ones that are actually profitable, in which someone might use their wealth to plunder someone, has incredible blowback from many different directions. Funds and personnel are diverted from both production and defense of one’s own assets in the hopes of staging an assault. The one being assaulted may be a producer of something that is very popular, and people may boycott the attacker. The attacker might not actually put the resources to as “maximum” a benefit as they thought they could. The values of people desiring the resource in question may change. The original owner may seek vengeance. What if the person being attacked also produces something useful to the attacker? There’s a lot of good reasons here to just wait until the hoarder is forced to sell to get buy. If they absolutely won’t sell, sooner or later everyone else will put economic pressure on the to do so, perhaps choosing to boycott that person, too.)

Wouldn’t that leave them open to attack themselves? Isn’t it much more economically beneficial to not attack someone and worry about oneself? Your premise says nothing.–valjack

No. You dont understand the nature of force and coercion. Your thinking is from the pacifist perspective – pacifist are of no consequence since they dont know how to confront or wield force – hence they have no power. Your assertion that it isnt economically beneficial is wrong – in many cases it will be beneficial depending on the tenets I have repeatedly outline above and in previous posts.

moreover, if coercion was no effective, then why do statist maintain power despite the demonstrated failure of the system to generate wealth ?

(You assume far too much. What makes you think I’m a pacifist? I don’t remember ever calling myself a pacifist. Why do you assume a pacifist doesn’t know how to wield force? And since when can’t a pacifist understand the nature of coercion? What do you think it is to wait until a company becomes insolvent to buy assets cheaply? A gun doesn’t have to be put to someone’s head to coerce them to sell at a lower price. The pacifist merely waits until the seller has no choice. You could say coercion has a dual-naturedness in that regard. It can be direct, or it can be like a game of chess, where you back the competition into a corner financially. That’s actually pretty powerful. Where do I assert that it isn’t economically beneficial to steal by force? As a personal opinion, I believe that there are times when it is, and there are times when it isn’t. You can at least acknowledge that stealing is not always beneficial, can’t you? I merely raised the question of whether a businessman, in a world that you describe, where he is under the threat of being assaulted for his assets, is better off not trying to attack someone else in order to defend his own resources. The only case in which my question isn’t valid would be if the person or company in question was “top dog”, so to speak. The perceived most efficient company, with the most wealth and the greatest ability to pay for an army, is the only one who doesn’t face that situation. Certainly we’re not limiting the discussion of a company’s use of force to this one entity? After all, they are so wealthy that they can just defend themselves and keep doing good business. Perhaps they get the notion to plunder once in a while, just for kicks, but at the top, why bother?)

INvestors and consumers generally dont make choices based on the promotion of pacifist beliefs. THe firms that are the most profitable, attract the most investment and consumers are the ones that are the most effective economically — not the most peaceful or nice.

(I don’t remember ever saying that pacifism was a driving factor in business decisions. Perhaps it is sometimes. I don’t deny that either. But quite frankly, business is business. Just because pacifism isn’t a driving force doesn’t mean it never plays a role. Being violent isn’t always a driving force in business decisions, and you’re certainly not throwing that one to the wind in this discussion. Otherwise your whole idea comes to a screeching halt.)

in sum, consumers and investors who allocate capital based on aesthetic subjective value judgments like peace, fairness, justice, et al instead of profit will soon see their net worth decline to nothing.

(So using force isn’t also a subjective business decision? You’re implying that heavily. Violence is every bit as aesthetic as peace. Can you prove that there is not a single business that can’t prosper by being peaceful? Because I’m pretty sure Google hasn’t gone to war with anyone lately. I’ll give you the benefit of the doubt and say that government prevents them from doing so, but that just goes to show that peacefully approaching business is possible. Of course, I don’t see where justice and fairness fit into this conversation at all. I don’t think anyone was claiming that a company would be better off redistributing their wealth than plundering another company.)

capitalism = profit and nothing more. it could be accomplished by peaceful means, however when a conflict exists between peace and profit – guess who wins ?

(Prove that one always wins over the other. I could punch my best friend and take his wallet. I’d say that peace has every bit as much a chance to win as profit, as long as profits can be made in other ways. Now, if we somehow formulate a world where it is impossible to profit but for stealing, then I totally agree with you. But that’s just because self-preservation is a powerful driving force.)

maximal-capitalism is profit, not maximal-pacifism.

(Define your terms? What is maximal-capitalism? What is maximal-pacifism? I mean, it’s either capitalism or it isn’t. It’s either pacifism or it isn’t. And again, where am I saying I’m a pacifist? Where am I waving a pacifist banner and saying “Everything will be peachy and people will automatically never hurt each other!”? All I’m saying is that the situation you’ve described isn’t the impenetrable wall of logic you prescribe it to be.)

IN contrast, why are capitalist under seige despite their demonstrated ability to generate societal wealth and prosperity ?

in sum, statist know how to wield armed force and other coercive means – capitalist don’t.

(So here you’re saying that successful businesses WON’T wield force? Which side are you on again? I mean, even I won’t go so far as to say that successful companies are full of angels who would do no harm. That’s every bit as ludicrous as saying it will always happen, inevitably. So I guess what you meant to say is the exact opposite: Those who DON’T have the means to use things efficiently will rob from those who do. Well, no argument here. I pay social security, after all.)

So how far do you think you can go, robbing the people who are paying you for things? Eventually, people stop buying things from you, and you have less revenue with which to assemble the army you seem to think Facebook.com would employ-- valjack

investors, labor, and consumers are not going to invest in failed enterprises that cant defend their valued resources because of sympathy. moreover, the absurd assertion that aggressive and successful firms are going to be vilified for being profitable has no standing logically or in the real world.

(So why do so many people talk about the evils of Wal-mart? No, I should stop there…that’s enough…but I just can’t control myself sometimes. Are you saying that no one EVER villifies things that successful firms do? I’ll tell you what’s absurd. You just said, above, that capitalists are always under attack by statists. I mean, really. You’re doing somersaults from one standpoint to the next. And you make another assertion above: That people are going to invest in enterprises based on the level of security they have. First, why would anyone invest in a failed enterprise? I’ll assume that’s an error in word order…forget that. But if the company being attacked was successful in the first place…and people make investments based on ability to defend resources…then aren’t they well defended?)

if your premise was correct, then why are the US and China global and regional hegemons when these nations are among the most violent ?

in sum, ancap society would be based on maximal-Ccapitalism not maximal-pacifism.

(I thought it was based on free trade? And what do states have to do as proof to what you are trying to get across?)

You didn’t subtract the cost of corporate warfare, tough guy. – valjack

cease the ad hominems or I will no longer waste my time dealing with you.

I did consider the costs of coercion – within an inefficient, wasteful, and corrupt politically connected liberal democracy, the military-industrial complex consumes less than 5% of GDP to maintain global hegemony. WIthin efficient and productive PDAs, the use of coercion would represent considerably less a percentage of operating revenue. Indeed, as I stated previously coercion will represent less costs than profit on the balance sheet.

(It’s not ad hominem if I also attack the argument, which I did quite succinctly. You did not subtract the cost. You “considered” the cost. The point exactly being that you CANNOT subtract the cost, because you don’t know it. You are not only assuming it will be worth the cost, you’re comparing it to an unrelated system and an unrelated situation. Do you think that all costs for defense are going to fall in the same range, percentage wise versus profits, as the military industrial complex shows versus GDP? Can you show how you arrived at this conclusion? You are also making the assertion about the costs of hiring a PDA. Here’s a situation. Did it ever occur to you that the price to hire for assault as opposed to defense of one’s own property might be higher? Sure, you can probably find a company willing to risk its reputation as a defender of assets and attack someone like hired goons…but don’t you think the price of service is going to go up when they have to acquire such a reputation? I can’t prove that it will, but neither can you prove that it won’t. And what if they perceive the value in the assault being launched, and raise their price given the circumstances that the hiring company stands to gain a good profit? And wouldn’t this be a boon to the strictly defensive PDA market? Wouldn’t more people, seeing these attacks happening, invest in defense, thus increasing the amount and competitiveness of defensive agencies? Competitive pricing will make such service much more acquirable than hiring an assault team, won’t it? If we’re just going to throw around some current comparisons, it costs a lot more to hire a killer than a bodyguard. But hey, I won’t say that this proves anything. After all, there will be differing circumstances that I can’t put into calculation. I can, however, consider. And I know the difference.)

You made two assertions without offering any proof. While I agree that anarchism is not always going to be peaceful (why the hell do you think people protect themselves to begin with? You yourself assumed that PDAs exist), you nevertheless offer no proof. --valjack

the best way to argue your point is absent emotion and invective. nonetheless, coercion is simply a means by which inefficient owners are relieved of their resources in the absence of peaceful means – hence society as a whole benefits.

(What about the benefits of whatever the inefficient owner had to offer? Again, this person could still be making a profit at something, and just happens to be holding a resource that someone else thinks could be useful. Is attacking that person and taking that resource, scaring away their workers and possibly doing damage to property of any benefit? What if that person was making socks and happened to have oil. Someone wants the oil, but the owner doesn’t want to sell. So they go in, fire some bullets, damage some machines, and scare off workers. Now this guy has oil, and if his guess is right he can do something with the oil for profit. However, people have left their job making socks, and damage to machines is causing less socks to be made. So society is shorted socks. What if winter is coming soon?)

In contrast, pacifists would have inefficient and wasteful owners maintain control over under utilized resources and not suffer the consequences of poor managed simply because these pacifists have an aversion to a legitimate, oft used, and beneficial means to obtain desired and positive ends – coercion.

(You make the assumption that anyone who isn’t a pacifist would murder their own mother for a buck. You also think the pacifist wouldn’t put pressure on someone to sell. It’s possible to not sell in turn, thus making it difficult to live so long as the owner of a resource won’t trade. And just how often will anyone sit on a valuable resource anyway? Especially after going broke? It’s not impossible, but is this something you think would be a common occurence? And that has to cross another line on the graph representing someone who would actually have a use for the resource AND has the money for a strike force. In fact, if this idiot goes bankrupt while having gold bricks laying around, force is hardly even necessary. Run up and take the gold without hiring anyone. Certainly that is more efficient than hiring a strike force. At least…providing you know the owner isn’t carrying. Oh, yes. Very important point. If that person is leaving himself open to such a situation as being plundered, isn’t it his responsibility? You talk about how it’s legitimate, which is a subjective notion, so you can’t prove that. You say “oft used” with complete disregard for the fact that the choice to use force is also situational and subjective, and you throw around the term “beneficial” like you have some magic knowledge of what’s best for society, for a company, for a defense firm, etc. And then, with zero proof, you say it is a positive end. Hey, it’s not the best analogy, but potassium cyanide can help you crap if you need to. But there are other effects that should probably be taken into account.)

you are on the wrong side of history, logic, and human nature. essentially, your thinking is not guided by fact, logic, natural law, and empiricism — it is guided by subjective value judgments that you cannot enforce or defend in the real world.

(Funny that…I’ve been saying the exact same thing about your arguments. Oh, and explaining my assertions. What’s not subjective about what you are saying? If my claim that other ways to deal with the situation exist, and you say that I am on the wrong side of things in all those regards, then you imply that history, logic, and human nature has never shown any form of a peaceful transaction. I’d say there’s been a lot of peaceful AND coercive things, even in the most extreme historical texts. And I certainly don’t go around touting peace to be “legitimate” like it’s a given.)

I am not going to waste my time reading and responding to the rest of your post – it is getting too personal and mean-spirited. Read my posts, I have most likely covered your arguments in previous posts.

(It STARTED mean spirited. Not personal, though. Egypt was personal. You’re just passing practice. I’m exactly the type of person you are referring to, in fact. I’m the unforgiving capitalist. And a good businessman keeps on top of his game. And I don’t care about your other posts if your argument is here. If you can answer me in other posts. Link them. Or don’t. None of this matters to me a hair, sir. I’m exercising my mind and having fun doing so. Terribly sorry to say, but the world isn’t all peace-loving, just, and fair people.)

(You’ll end this quickly with a challenge to me? Nobody cares about you and I, genius. They’re going to put in their two cents, same as us. What am I, some kind of god that they are all measuring themselves against? I doubt they think so, even if both of us do.)

Question for valjact:

is security needed in ancap society ?

You would have to show me such a society before we could prove anything one way or another. My opinion, yes. What do you think that proves about your own argument?

will coercion be present in ancap society ?

Well, unlike some folks, I don’t pretend to know if the cat is dead or alive inside the box. My opinion again? Yes. And again, how does that prove the absolute you suggested?

after you respond to these questions we can proceed.

Hah! Proceed with WHAT? You prancing about proclaiming what the state of affairs will be like some self-proclaimed omniscient? No thanks. Everyone else is doing a fine job of handling this without me. And I have bigger fish to fry…but don’t feel offended, as perception of what constitutes a big fish is subjective from person to person.

If this principle were true, we could apply it to the two party voluntary exchange example. The initiation of violence from one party to the other is some how argued to benefit both.

IE the argument is, that even if one party would not have voluntarily gone with the exchange, it was good for them regardless. This form of indentured servitude, is said to benefit the suffering party.

This is essentially the skeletal form of Rettoper’s argument. Stating that coercion is an essential element, ignores voluntary exchange and praxeology all together.

Capitalism is built from praxeology. Not from coercion.

is security needed in ancap society ? – Rettoper

You would have to show me such a society before we could prove anything one way or another. My opinion, yes. What do you think that proves about your own argument? --valjact

will coercion be present in ancap society ? – Rettoper

Well, unlike some folks, I don’t pretend to know if the cat is dead or alive inside the box. My opinion again? Yes. And again, how does that prove the absolute you suggested?-- valjact

If coercion is present in ancap society AND if security is needed — then do you agree/disagree with the following tenets:

other factors being constant – as the level of security for a given resource decreases does the likelihood of predation of that resource increase ?

And,

other factors constant – if the value of a given resource increases, the level of security remains unchanged, does the likelihood of predation of that resource increase ?

If this principle were true, we could apply it to the two party voluntary exchange example. The initiation of violence from one party to the other is some how argued to benefit both. — filc

strawman — only you are applying my principle to two party voluntary exchange.

IE, I challenge you to produce the quote in which I stated that both parties benefit from violence.

nice try, but no cigar.

This is essentially the skeletal form of Rettoper’s argument. Stating that coercion is an essential element, ignores voluntary exchange and praxeology all together. --filc

this is your crude bastardization that has nothing to do with my thesis. it is another strawman argument.

for your benefit I will repeat some basic tenets that are obvious by objective, rational, and independent thinking measure:

coercion will be used by rational profit seeking actors in ancap society to obtain valued resources when the following conditions are present:

1) peaceful exchange is not possible,

2) peaceful exchange is more costly than the use of coercion,

3) the transaction costs of coercion is less than the anticipated gains from annexing the valued resource.

IN sum, I do not ignore voluntary exchange. It is fundamental to my argument at it implies that peaceful exchange is preferred to coercion when possible.

is security needed in ancap society ? – Rettoper

You would have to show me such a society before we could prove anything one way or another. My opinion, yes. What do you think that proves about your own argument? --valjact

will coercion be present in ancap society ? – Rettoper

Well, unlike some folks, I don’t pretend to know if the cat is dead or alive inside the box. My opinion again? Yes. And again, how does that prove the absolute you suggested?-- valjact

If coercion is present in ancap society AND if security is needed — then do you agree/disagree with the following tenets:

other factors being constant – as the level of security for a given resource decreases does the likelihood of predation of that resource increase ?

And,

other factors constant – if the value of a given resource increases, the level of security remains unchanged, does the likelihood of predation of that resource increase ?

(To be able to get anything out of this, we have to know at least certain other factors. Those factors, problematically, consist of each individual that could conceivably be involved with the predation. You’re looking at it in black and white. Let’s examine some situations in response to both of your questions. First, “level of security” is an arbitrary attachment. A multi-millionaire could look at a firm’s security and say, “It’s very good security. I don’t want to mess with that.” On the other hand, a scheming, intelligent, homeless bum might look at the same security and say, “I can deal with that.” Same with individual private contractors. Their prices could also vary depending on their perception of the difficulty fo the job versus their resources, or any other number of factors on their own side, even if we keep the factors of the potential victim constant. The likelihood of predation is the problem that warrants my refutation. It is the point entirely. It’s not a matter of me saying it isn’t likely. It’s a matter of the subjectiveness inherent in the idea. You are simply denying that an individual person has a choice in the matter of whether or not to be a predator if the opportunity arises. You aren’t even taking into account the subjective nature of an individual to decide what warrants becoming a predator. At the very least, you would have to be able to prove that obtaining the resources is easier for the attacker than to simply not bother, and that is a devil’s proof. You can’t do it. You can’t show this as a definite pattern of action in these circumstances, let alone demonstrate it at the individual level. I won’t go proposing that I can prove it would not happen, but it’s a fool’s errand on both sides of that fence. It simply is indeterminate. How can you possibly imagine that you know that everyone will look at the same levels of security for the same things at certain values and have the same reaction? And there is a whole other part to that which has yet to come up, but should. A businessman with no moral objection to theft might seize such an opportunity, determined by his own belief that it is beneficial for him. However, this does not prove that a businessman with a moral objection to theft will do the same in the same situation. Do you acknowledge, at the very least, that? That a person with an objection to theft won’t steal just because there is an opportunity? I’ll acknowledge that anyone can change their objection, or do something they objected to and feel bad about it, but I will not acknowledge that it is a given that anyone with such an opportunity will always change their predisposition. There’s no proof that can be given to back it up as a constant. If you would stop claiming that the issue is completely clear-cut, you might find we actually agree. It’s what “tu ne cede malis” is saying, in fact. But there’s not a chance in hell I’ll grant acknowledgment to a proof that does not exist.)

IN sum, I do not ignore voluntary exchange. It is fundamental to my argument at it implies that peaceful exchange is preferred to coercion when possible.

(This is your problem. It does not follow at all. You can NOT prove that peaceful exchange is a preference. How do you know? Perhaps I prefer to beat the hell out of people and take their stuff. It’s a subjective problem, not an objective one. There is absolutely nothing about a free market society that implies peaceful exchange being preferred when possible. Nothing. Rather, the one advocating a free market is usually demonstrating reasons why people might, as a matter of coercion by natural forces rather than authoritarian ones, engage in peaceful exchange. All the preferences of each individual with regards to peaceful exchange or coercion of their neighbors remain completely subjective, no matter the type of society.)

Valjact,

If coercion is present in ancap society AND if security is needed — then do you agree/disagree with the following tenets:

other factors being constant – as the level of security for a given resource decreases does the likelihood of predation of that resource increase ?

And,

other factors constant – if the value of a given resource increases, the level of security remains unchanged, does the likelihood of predation of that resource increase ?

Thanks for the dissertation, but you still have not answered these simple questions.

This is your problem. It does not follow at all. You can NOT prove that peaceful exchange is a preference. --valjack

of course peaceful exchange is preferable since both parties agree to it. In contrast, when coercion is utilized only one party considers it a favorable course of action.

Perhaps I prefer to beat the hell out of people and take their stuff. It’s a subjective problem, not an objective one.–valjact

of course the means used to obtain desired ends are subjective. however that doesn’t mean these actions are random in the aggregate or that they cant be calculated and planned for.

by your definition, and using pacifist ancap ‘logic’ determining and allocating an intelligent assessment on security spending is not possible.

it is amusing that pacifist ancaps are as equally clueless at calculating the economic cost of security as the statist is at calculating prices in a command economy.

for example, if you discount my assertions – how would you calculate an appropriate expenditure on security for a given resource in your ancap society ?

There are exchanges outside of 2 party exchanges? And if so, lets say a 3 party exchange. Everyone passes one good to the left, I don’t still don’t see how anything would be different.

Umm… Isn’t the entire premise for your whole argument that a certain level of coercion(Taxation and policing), maintained by a “Liberal Democracy” is in the aggregate better for society?

Or are you finally changing your position?

No it seems like a pretty acurate summarization of your position.

All of this just seems like a re-iteration of what I summarized, and you rejected, above. FYI I don’t see any strawmen anywhere. :stuck_out_tongue:

If coercion is present in ancap society AND if security is needed — then do you agree/disagree with the following tenets:

other factors being constant – as the level of security for a given resource decreases does the likelihood of predation of that resource increase ?

And,

other factors constant – if the value of a given resource increases, the level of security remains unchanged, does the likelihood of predation of that resource increase ?

Thanks for the dissertation, but you still have not answered these simple questions.

(Actually, I did. You read the part about the millionaire and the thief, right? Giving you a yes or no allows you to steer the debate without acknowledging any inherent problems your question might have. I cannot allow that. The simple fact, of course, is that I can only tell you my own likelihood. Can you prove that it is more or less likely, beyond a shadow of a doubt, without making broad assumptions about individual character and situation? I wager that you cannot.)

He will try. He consistantly ignores the economic costs of institutionalized crime. Assuming that theft always yields one-way profit.

This is your problem. It does not follow at all. You can NOT prove that peaceful exchange is a preference. --valjack

of course peaceful exchange is preferable since both parties agree to it. In contrast, when coercion is utilized only one party considers it a favorable course of action.

(Just saying “of course” isn’t proof. I even offered an example, from my own perspective. I clearly show, when I say that I’d like to beat people up, that it is a preference. Whethere or not the other party agrees is irrelevant. You’re speaking of it being preferable as if there is an outside party making that judgment across a broad social spectrum. The addition of the preferences of both parties to provide a zero-sum is just some made up thing. You’re just describing an AND gate.)

Perhaps I prefer to beat the hell out of people and take their stuff. It’s a subjective problem, not an objective one.–valjact

of course the means used to obtain desired ends are subjective. however that doesn’t mean these actions are random in the aggregate or that they cant be calculated and planned for.

(The means used are objective. My fist is a fact. My gun is a fact. My choice in means, and my choice in which action to take, also objective, as they are choices that can be plainly shown to have been made, but my reason for making each choice is completely subjective.)

by your definition, and using pacifist ancap ‘logic’ determining and allocating an intelligent assessment on security spending is not possible.

(Not at all. But we’ll get to the bold print for that.)

it is amusing that pacifist ancaps are as equally clueless at calculating the economic cost of security as the statist is at calculating prices in a command economy.

(I’m not a pacifist. Whatever calculation problem you are seeing is skewed, because you are viewing it from the perspective that the amount of security needed for a certain resource is objective. If nobody wants to steal what I have, but I really think that it’s valuable enough that someone will, it is my subjective decision that is going to guide my choice in amount of security, which will be determined versus other factors that I may value more or less highly. Perhaps I’m willing to forego having someone to sweep the floors each night in exchange for extra security. Perhaps I’m a neat freak, and even though I’d like more security, I value having a clean floor more than the excess. But let’s see you go ahead and tell me what the price of security is before I make that decision.)

for example, if you discount my assertions – how would you calculate an appropriate expenditure on security for a given resource in your ancap society ?

(By my own tastes, and my own perceived needs. I don’t necessarily know beforehand how to calculate how much money to bring to McDonald’s. I might get there and see a new item, or decide I want something different. I can BUDGET for McDonald’s, and I can BUDGET for security, but even my budget allocation for each is subjective, and subject to change as well. You can try to put a formula to it as much as you like, but it will fall prey to the same problems as the labor theory of value. Certainly you don’t think that the amount of security necessary in individual situations has a fixed value?)

filc, this is your lucky day ! You are now the owner of a valued resource. Now answer the following questions:

does coercion exist in ancap society ?

if so, is security required ?

if so, how is the cost of security for a given resource calculated ?

In sum, are ancaps capable of calculating the costs of security ?

although it appears that pacifist ancaps incapable of making a practical and economically sound determination of security costs since they dont seem to understand that a relationship exists between a resources value, the level of security, and the risk of theft.

amusingly, it appears that the ‘pacifist wing of the ancap party’ is rendered prostrate when trying to determine a reasonable and rational amount of money to spend on security for a given resource irrespective of whether it is a 10 speed bike or the panama canal.

it appears that they are incapable of making practical assessments and putting these assessments into a plan of action when subjectivity is in the equation.

i got news for ancaps, subjectivity is a fact of life when making calculations for determining the level of security for a given resource or determining prices for goods and services in a free market. Nonetheless, certain tenets are self-evident among rational profit seeking actors in any society:

coercion will be used by profit seeking actors when:

1) peaceful exchange is not possible,

2) peaceful exchange is more costly than the use of coercion,

3) the transaction costs of coercion is less than the anticipated gains from annexing the valued resource.

IN sum, if a profit seeking actor does not utilize coecion under these circumstances, then that actor is either acting irrationally or profit is not the primary motivation of that actor.

Lastly, the actors in ancap society that are primarily profit seeking (as opposed to pacifists, egalitarians, spiritualists, nationalists, environmentalists, racists, sexists, et al) will eventually acquire the most capital and hence be the most powerful actors in society since capital is the means by which coercion is best applied (battleships, stealth bombers, satellites, tanks, cruise missiles, et al)

all other factors being constant – as the level of security for a given resources decrease – do you agree that the likelihood the resource will be subject to predation increases ?

and,

all other factors being constant — as the value of a resource increases and the level of security remains constant, do you agree that the likelihood the resources will be subject to predation increases?

The same way the cost of a donut is calculated at starbucks.

**

The relationship does not differ between the subjective valuation of a donut, when the markets pricing mechanism creates a price for such a service. it is all subjective valuation. I feel like we have already answered this for you 10 fold? Are you now trying to pretend that valuation changes when security is involved?

If we could calculate the equilibrium price of any good in the market(Security for example), it would undermine the whole point of the market in the first place now wouldn’t it?

Woops Stepping over into Rettoper paradox world!

Umm, this isn’t news. It’s a core tenant?

**

**

Or the actor’s profit loss analysis takes additional factors into consideration that you simply overlook. Like long-term reputational consequences, long-term deterioration of exchange, market ostracization, legal expense. The list I am sure goes on.

Theft usually is the result of high time preference amongst the individual. The more and more organized the crime syndicate becomes, the less and less criminal becomes thier behavior. Untill eventually they are forced to act as honest businessmen and are at the mercy of consumer sovereignty. A perfect example of this is the mafia being pushed into gambling and drug sales. A profit maximizing crime syndicate will become an honest business in short time frame, if the goal is long-term revenue generation.

The same way the cost of a donut is calculated at starbucks. --filc

how is the cost of both a donut and security determined ? provide a hypothetical firm, pick your donut, pick your resource, and give me an example of what factors of production and demand lead to price of a donut or the level of security that will earn the vendor a profit and protect his investment at the same time. Similarly, list the specific factors or considerations that the owner of say the panama canal must examine to determine a reasonable level of security that will still allow him to earn a profit from his resource while still deterring theft.

i think your demonstrable inability as a pacifist to engage in economic calculation with respect to security in a capitalist system parallels the statist inability as an egalitarian to engage in price determination in a command economy.

If we could calculate the equilibrium price of any good in the market(Security for example), it would undermine the whole point of the market in the first place now wouldn’t it? --filc

your engaging in another strawman argument. the fact that equilibruim is fluid does not mean that the primary factors that influence the determination of the level of security is fluid and undetrimenable. for example, while the optimum price for a good or service cannot be determined at any given point since it is both subjective and fluid — the factors that drive the price can be determined. with respect to security it is obvious to any rational actor that the value of a resource drives the level of security in the same direct correlation that an increase in supply leads to lower prices.

In sum, it is self-evident to all but faith-based pacifists that the value of a resource is critical to determining how much capital should be expended to defend that resource. Moreover, as the level of security for a given resource decreases, there is a corresponding increase in the risk of theft of that resource irrespective of whether it is the panama canal, saudi oil, mesabi range, et al.

otherwise the level of security for a given resources is indetriminable or cannot be calculated with any degree of rational and objective determination similar to the statist problem calculating prices in a command economy.

in sum, capitalism is the optimum system because it is based on economic profit. the problem occurs when faith-based actors put some aesthetic economically uncalculable goal ahead of profit. with the marxists, it is egalitarianism. with the environmentalists, it is mother earth. with the islamists, it is allah. with you, it is pacifism.

Or the actor’s profit loss analysis takes additional factors into consideration that you simply overlook. Like long-term reputational consequences, long-term deterioration of exchange, market ostracization, legal expense. The list I am sure goes on. – flic

it is obvious from your statement that you are not a profit-seeking actor – you are a pacifist first, a capitalist second. Hence, you will not prevail in open competition for scarce resources with capitalists since you will act in the name of pacifism and peace instead of earning a profit.

i can easily expose this weakness.

would you invest in an enterprise that guaranteed the highest return on your dollar, if that firm used coercion to obtain these profits ?

or would you choose to invest in a less profitable but peaceful enterprise that provided 90% of the return on investment of the coercive enterprise ?

of course, you cannot calculate or determine the profitable course of action since your motivation is primarily pacifist instead of capitalist.

In sum, faith-based pacifists will slowly lose wealth and capital relative to primarily profit-driven actors in ancap society. And again, pacifists will remain marginalized and fringe in ancap society as they are in contemporary soceity.

Theft usually is the result of high time preference amongst the individual. The more and more organized the crime syndicate becomes, the less and less criminal becomes thier behavior.-filc

True, and pacifism is the tool by which the established order, however corrupt, inefficient, and negligent, preserve their hold on underutilized resources without suffering the consequences of bad management.

did you ever consider why the most extreme statist regimes are among the most peaceful ? the established order hates coercion once it gains power since coercion is the primary means by which these brutal, corrupt, and wasteful regimes are removed from power.

A profit maximizing crime syndicate will become an honest business in short time frame, if the goal is long-term revenue generation. – filc

where do you include ‘honesty’ on your balance sheet ? what is the cost per unit of honesty ? on what market does honesty trade ? or for that matter pacifism ?

you are trying to introduce aesthetic faith-based value judgments when making economic calculations that distort your ability to correctly judge market forces.

stick to those considerations that you can include on your balance sheet or income statement.

for example, I am the owner of the panama canal — you are my security manager – approximately how much do we need to spend on security and why ? what are the threats and how can we meet those threats ? what type of weapon systems, if any, do we need ? do we need intelligence agents, if so, what percentage of costs?

and dont tell me that you cant determine real costs and systems for providing security since these prices are fluid and subjective – I know that is the case, however I want a list of security expenditures and the rationale for why I need them or dont need them. by your example, nobody would be able to rationally and profitably spend a dime since they would be rendered prostrate and hand wringing in the fetal position due to the subjectivity and fluidity of the markets.

and if you tell me that the risk of theft is not possible because all citizens in ancap society suddenly become pious, then you can go back to flipping burgers at the local fast food joint because your fired.

the amusing thing about this whole argument is that you are arguing for the capitalist point of view on a capitalists website and in reality you place pacifism ahead of profit.

you are not a capitalist. I am.

you are primarily a pacifist who desperately wants to believe that the most effective system for generating societal health and well being is also pacifist – and that simply is not true.

if you want pacifism, look to a geopolitik that of liberal democracies – they will be utterly peaceful (and somewhat prosperous if statist abuses can be institutionally and systematically removed)

Can you prove that it is more or less likely, beyond a shadow of a doubt, without making broad assumptions about individual character and situation? I wager that you cannot – valjack

He will try. He consistantly ignores the economic costs of institutionalized crime. Assuming that theft always yields one-way -filc

logically, I can guarantee that the profit driven actor will accumulate more wealth and capital then the pacifist driven actor assuming both are rational.

I can also guarantee that the profit driven actor in ancap society will be more effective at wielding armed force because of his material wealth and the fact that coercive power is best wielded by those that possess the most technologically advanced and numerous tanks, planes, ships, et al – that can best be secured by an unrestricted policy of profit seeking versus conditional profit seeking that imposes limitations on the means used to obtain profit – namely coercion is off limits.

I can also guarantee that profit driven investors and enterprises will be the most prosperous and powerful actors in ancap society and that these actors will fund activities and enterprises with only one goal in mind, profit — IN contrast, the pacifists in ancap society will be funding individuals and enterprises that are not necessarily the most profitable, hence they will see their wealth and capital decline relative to the more profit -driven actors in ancap society.

Hence, the pacifists will not have a pot to piss in at the end of the day ---- not much different from the condition they find themselves in throughout history. Like the native american indian who both shunned profit and coercion – they will be enslaved or marginalized in ancap society.

in sum, neither of you are capitalists, you are primarily pacifists hoping dearly that the most efficient system for generating wealth is pacifist. and that isnt true when peace and profit clash — profit is king. at least you have discovered that capitalism is the most efficient so you have that going for you which is preferable to the marxist, islamist, tree hugger, unionist, nationalist, fascist, et al.

I can prove this easily:

if the greatest return on your investment was an enterprise that used coercion to obtain its profits – would you invest in this firm ?

of course, you will engage in the faith-based pacifist rationalization that coercion is not profitable despite the fact that every 2nd grader history student knows the efficacy of coercion to obtain desired ends including economically profitable ends.

in reality the money and wealth goes to the most profitable individual and enterprise in capitalist society — not the most peaceful. warren buffet continues to get preferential rates of return on his investments because of his success at generating a profit not because he is a nice guy ---- indeed, buffet is known for investing in firms that are complicite in violating the civil and political rights of innocent civilians. of course a few marginal pacifists of no consequence will not fund any of his enterprises, however these pacifists are not primarily profit driven actors so they dont have much wealth anyway.

that is why pacifists like yourselves will either have to wake up to reality or remain forever fringe and marginalized by faith-based and economically unsound aesthetically driven decisions that negatively impact your economic wealth relative to more profit driven actors.

in sum, if you really want peace:

why is this the best course of action ?

because liberal democracy is not based on profit – it is based on life, liberty, and private property with the emphasis on life and liberty first. However, it is free, stable, peaceful, and prosperous (albeit not as prosperous or free as ancap society since ancap citizens are free to engage in the means of choice for obtaining ends – including but not limited to coercion)

Rettoper: Is it cheaper to defend or attack?

It is my understanding that defense is less costly than offense which means anyone taking an aggressive stance will end up losing in the end. Let’s assume that you do have some PDA that has slowly grown over time and is now the dominate force. Let’s also assume, for the sake of argument, that the military might is robotic armies so we don’t have to deal with moral and public opinion in our war scenarios. This mega PDA launches an attack against Joe’s mine who is defended by some smaller competing PDA. Big super-PDA can win the fight, but their losses will be higher than the losses of small defensive-PDA defending Joe’s mine. The big PDA gets the mine but the cost of the ‘war’ was higher to them than it was to Joe defending his mine. On top of that the big offensive PDA has to put in the resources to rebuild the infastructure of the mine since in the process of the war it was destroyed (perhaps as sabatoge by Joe during his retreat).

In the end what will happen is that the big offensive PDA will slowly bleed resources from small losses with each battle while other competing PDAs are losing less (running at lower costs, means higher profits). Meanwhile, people peacefully running their mines do not have to go through the process of post-war cleanup and rebuilding which means they are running their mines at a lower overall cost as well (meaning higher profits). So this war mongering PDA, while successful at hostile takeovers, is bleeding money compared to the rest of the world. It will, over time, lose it’s competative advantage and eventually fall to to another competing PDA.

If you assume that offense is cheaper than defense however, I can see how your war mongering PDA may be able to come out ahead, assuming the difference between offensive costs and defensive costs are enough to offset post-war cleanup costs.