As others on this list have noted, Natl and State LP appears to be
drifting toward Big Govt Conservative-Republicanism. The latest I've seen in
this trend is Brian Holtz's article, "A Taxation Taxonomy," in the Sept.
2006 California Freedom. There's much to criticize, the most egregious of
which is the statement: "In the following taxonomy I describe various kinds
of tax in decreasing order of desirability." <Mike
As you can see from my original blog posting
<Yahoo | Mail, Weather, Search, Politics, News, Finance, Sports & Videos; , my fellow editors changed
my phrase "increasing order of undesirability". Do you deny that some taxes
are more undesirable than others? For example, do you deny that a 100%
inheritance tax is worse than a pollution tax designed to reflect the cost
of the negative externality?
1. Desirable for whom? A major lesson of libertarianism is we're all
unique individuals with our own values, preferences, and desires. What's
desirable for one is often not for another. <Mike
Yes, yes, we all have our own peculiar utility function, but let's not
repeat the Austrian mistake of thinking that because interpersonal
comparison of utility is not possible to arbitrary precision or in every
situation, it follows that in no class of situations is calculation possible
to a close enough approximation for a polity to to make order-of-magnitude
comparisons that apply to the overwhelming majority of citizens. For a
critique of the Austrian complaint about calculation, see Why I Am Not
<Bryan Caplan; an Austrian
Economist by GMU's anarchocapitalist Bryan Caplan.
2. Who decides what this order of desirability is? I assume Big Govt.
<Mike
The order of undesirability is decided by the same people who decide that
murder is wrong. Is that a decision of Big Government?
3. What is to be done with this "decreasing order of desirability"? I
imagine levy a "desirable tax" (an oxymoron). Forcibly imposing one person's
preferences on another (in the form of taxes, no less!) is anti-liberty.
<Mike
Allowing polluters to commit aggression -- and fantasizing that e.g.
tailpipe emissions can be managed by micro-torts -- is anti-liberty.
Resource usage fees and land value taxes are also quite consistent with even
extremist anarcholibertarian dogma. As I say in my article -- and as you
ignore -- "a libertarian polity would probably not need any form of taxation
beyond" these, and my discussion of taxes on consumption, income, and
property "is relevant mainly for transitional tax policy on the way to
Libertopia".
Despite all the article's short-comings, Brian's first sentence is
right on target: "Many Libertarians oppose all forms of coercive
taxation..." It's time Brian spoke out for "The Party of Principle," rather
than morph us into "The Party of Desirable Taxes." <Mike
If you think there is some bumper-sticker-sized axiom (like the Zero
Aggression Principle) that deterministically uncompresses into the One True
Libertarian Political Theory, then you should read about the half-dozen
<Yahoo | Mail, Weather, Search, Politics, News, Finance, Sports & Videos; principled self-consistent
flavors of libertarianism that are prominent among the thousands of variants
that can be assembled from the 17 free variables
<Yahoo | Mail, Weather, Search, Politics, News, Finance, Sports & Videos; in libertarian theory.
There are more things in the libertarian universe, Horatio, than are dreamt
of in your ZAP bumper sticker.
Jeremy Linden wrote:
if it is possible to fund the police and military without having taxes,
that would be great. However, if that's not possible, ranking my priorities,
"having police" is higher up there than "absolutely no taxes, ever." I don't
see anything un-libertarian about this position. <JL
Indeed, I contend it is in fact more aggression-minimizing -- and thus more
libertarian -- to recognize that national defense and police protection for
the weak are textbook public goods
<http://en.wikipedia.org/wiki/Public_goods> that free markets will
inevitably underproduce due to the free-rider
<http://en.wikipedia.org/wiki/Free_rider_problem> problem. Unfortunately,
this little bit of economic theory wasn't rigorously defined until
Samuelson's 1954 paper, but Rothbard had already sealed the
anarcholibertarian scriptures five years earlier -- dooming legions of his
acolytes to ignorance about such subsequent innovations in the theory of
political economy.
Any just taxes should be a true user fee, for a service from which
everyone benefits. Police and military protection, along with courts, are
one of those true public goods where you can't just "opt out" of in anything
other than a true anarchist situation, so they are the least undesirable
taxes. <JL
As I say in my article: "if the optimal amount of a product or service can
be financed by voluntary transactions, then the government should probably
not be involved in providing that product or service in the first place."
Note that police protection per se is not a public good, since the police
can decline to protect you if you don't pay. The public good here is police
protection for those unable to pay. We pretty much all want to see the
indigent have police protection, but we each can free-ride on the charity of
others to finance that protection, and so that protection will inevitably be
underproduced by a totally free market.
Brian Holtz
2006 California LP Platform Committee Rep
<http://marketliberal.org/FixLP.html> Advice for the Libertarian Party
2004/6 Libertarian candidate for Congress, CA14 (Silicon Valley)
http://marketliberal.org/>
blog: http://knowinghumans.net/>
book: http://humanknowledge.net/>