Thursday, November 23, 2006

Nozic and Anarchy/ Communism

Let us assume that there are basically two types of state. One employs a monopoly of violence and has limited involvement in other areas. This is often called “Capitalism”.
The other has a monopoly on the economy and limited involvement in other areas. This is often called “Communism”. For the late Robert Nozic, as a libertarian modern states are often an approximation of “Communism”, whereas anarchy, for him, would lead to a “dominant protection agency” which would become the Universal Protection Agency, which would lead to “Capitalism”.

In reality, centralised state economies only directly control industry and mostly regulate other areas. In the USSR, for example, the existence of a black market denied the state’s monopoly on the economy. Similarly, armed criminals and terrorists make a mockery of the state’s monopoly on violence. Of course, if the Capitalist State genuinely did have a monopoly of violence, it would have no legitimate reason to exist, just as if a Communist State actually had a monopoly of economical activity, it would have no reason to exist if it has no competitors.

What if a Corporation has an economic monopoly and also runs the state? There is in fact a country just like this. Unrecognised by most nations, Transendentria sits precariously next to Moldova, near the Black Sea. Its economy and government are entirely controlled by an entity called the “Sheriff Corporation”, but inside its borders they act as if it is the last part of the Soviet Union. Capitalism meets Communism head on and sets up home together.

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