Market Anarchy 101

    There is a basic truth that no politician or economics professor will likely ever admit; in order for any market to truly realize its full potential, the government must concede complete control of it to the producers and consumers. It is a hard truth initially to wrap your head around. How can we as consumers possibly protect our investments without regulation? Don’t we need an over seer? The short answer is no. The long answer is that the free market handles regulation and competition much more effectively than the government has or ever will.

    Don’t believe me? Try shopping for different cable providers where you live. Try to buy medications without a doctor’s prescription when you’re sick. Try making money from having consensual sex. Try voluntarily betting your money online.

    The fact is that most people are frightened to live in a society that government doesn’t intervene in.

    The FDA, for example, takes years to approve a new drug. While the bureaucrats mill around and test a vaccine or medication, people die who could have otherwise been helped by the drug. If someone is dying of cancer anyway, why not let them voluntarily take the risk? The worst that could happen to them will happen without the drug anyway.

    What about the children? The mentally disabled? Who will take care of them? Wherever a market demand for something exists, so will there be people who will want to be in business. The fact is that even now, with the huge tax burden (which can be argued is anywhere from 40-70%), people are charitable. Imagine how much charity would rise were the average worker able to keep more of his or her money.

Of course this is pure speculation, but it is logical speculation.

    The point is that organizations run by the government which “guarantee” that the unfortunate will be taken care of will be better handled by a laissez faire system. When places like hospitals and orphanages are allowed to compete unrestricted, the consumer will win. Government run institutions have no incentive to keep things running smoothly, because the “owner” is the federal government. Private owners are motivated to offer the best services possible, because when their organizations fall into disrepair, they suffer in the market, and another entrepreneur is ready to take his place with his ideas.

John C. Keyser

May 23, 2007