Cooking the Books 2 – An anarcho-capitalist president?

In August the media reported the success in Argentina’s presidential primary elections of Javier Milei, ‘a self-described ‘anarcho-capitalist’’ (Financial Times, 31 August), ‘the ultra-right libertarian and ‘anarcho-capitalist’ who represents angry Argentina’ (El País, 14 August).

If they now have a chance of one of theirs being elected as president, the anarcho-capitalists have come a long way since we debated them in the 1980s and 1990s, challenging their argument that socialism (as a society based on common ownership without production for sale) was impossible and refuting their spurious ‘economic calculation argument’.

The theory, the Financial Times noted, was the brain-child of Murray Rothbard (1926-1995) who ‘developed a radical version of libertarianism that he called ‘anarcho-capitalism’. In this worldview, states are ‘organised banditry’ and taxation is nothing but ‘theft on a gigantic, and unchecked, scale’. As Quinn Slobodian points out in his recent book Crack-up Capitalism, in Rothbard’s ideal polity, ‘contracts would replace constitutions’ and people would not be citizens but ‘clients of a range of service providers’’ (tinyurl.com/484hr8b8).

We can confirm this from the many debates we had with them. They did argue that capitalism can, and should, exist without the state; in fact that as long as the state existed there was not real capitalism but ‘statism’ or ‘corporatism’. Capitalism, they said, had never been tried. In their view, the functions of the state, including the courts, the police and the armed forces, should be exercised by competing private enterprises whose services individuals could buy according to choice. In fact, everything should be dealt with by buying and selling contracts between individuals and groups of individuals.

This includes the sale of body parts. They are divided over whether parents can sell their children. Milei, who is evidently a loud-mouth who speaks before he thinks, confirms both. According to El País,

‘In June of last year, he referred to the sale of organs as ‘just another market’ during a radio debate. ‘Who are you to determine what [a person] does with his life?’ Milei questioned. (…) Days later, a journalist asked him if he subscribed to another theory that suggested ‘the sale of children.’ Milei replied, ‘It depends,’ and further got himself tangled up. ‘Shouldn’t the answer be no?’ the journalist pressed. ‘If I had a child, I would not sell it,’ Milei said. ‘The answer depends on the terms in which you are thinking; maybe 200 years from now it could be debated’ (tinyurl.com/ykvn5baj).

Capitalism in Argentina must have reduced workers there to the depths of desperation if so many are prepared to vote, even as a protest, for a person with such crazy ideas.

Anarcho-capitalism is a dystopian nightmare that, if it could be implemented, would make capitalism even worse than it is now by subjecting everything, literally everything, to being bought and sold. It would reduce us all to isolated atoms only interacting in the market place.

Capitalism has never existed without the state and never could have. It was helped into being by the exercise of coercive state power both to accumulate the first money invested as industrial capital (colonial plunder, slave trade) and to create a propertyless proletariat by driving peasants off the land (enclosures, clearances). As Marx put it, capitalism came into the world ‘dripping from head to foot, from every pore, with blood and dirt’ (Capital, vol 1, ch. 31). Once established, capitalism still needed a social organ of coercion to maintain the monopoly over the means of production by a few and to exclude the working class from them except to work for wages and produce profits.

In any event, if Milei is elected president, there is no chance that he will abolish the state in Argentina. ‘Anarcho-capitalism’— capitalism without a coercive state — is a contradiction in terms.

Next article: Proper Gander – SSRIs and side effects ➤