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  • 5/27/2025
In this lecture, Stefan examines Ludovic Jullali's critique of anarcho-capitalism through the lens of Robert Nozick's philosophies. Jullali categorizes it as a "dangerous and contradictory doctrine," arguing that its intellectual shortcomings hinder its viability in practice. Jullali discusses natural rights, emphasizing the implications of mutual protection associations in a stateless society.

Stefan contrasts voluntary private protection with state coercion, asserting that the competitive nature of markets limits any single agency's dominance. Stefan addresses economic inefficiencies of state systems and advocates for the evolution of protective agencies that prioritize prevention over reaction to crime. Throughout the lecture, he responds to critiques regarding external threats and competing legal systems, ultimately defending anarcho-capitalism as a framework that promotes individual rights and decentralized governance.

Link to article: https://www.researchgate.net/publication/374088008_A_Criticism_of_Anarcho-Capitalism

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Transcript
00:00All right, so returning to some political theory, Ludovic Jolali has a criticism of anarcho-capitalism
00:10And let's have a look at that, this is from 2023
00:16A criticism of anarcho-capitalism
00:19He says, introduction, in the present text the author is animated by the desire to put forward a criticism of the anarcho-capitalist doctrine
00:25Ah yes, doctrine, always the most neutral word that could possibly be used
00:29The author will describe anarcho-capitalism as a dangerous and contradictory doctrine which does deserve damnatio memoriati
00:38I assume that's damnation into the annals of memory
00:42The anarcho-capitalist doctrine, in spite of its interesting investigative acceptation, is unable to materialize itself in the public domain in virtue of its intellectual weakness
00:53All right, whatever, okay
00:56So the big issue he has here, the set of natural rights, this is from Robert Nozick
01:04The set of natural rights, in particular the rights of non-aggression and enforcement, permits individuals in the state of nature to enforce their rights, defend themselves and punish and exact compensation from aggressors
01:15The right of enforcement further allows them to seek recompense for harm done to others
01:20Nozick posits that these rights would lead to groups of individuals to join together in the formation of mutual protection associations
01:26I guess what I call DROs
01:28These protective associations will each establish procedures for intra-association strife as well as conflict between members and non-members
01:36The pressures of a totally free market, the need for division of labor, economies of scale and so on together, blah blah blah
01:41Okay, so he's basically saying that you're going to end up with some sort of police force or, you know, something like that that is going to protect people, all right
01:51The weaker, less efficient associations will go out of business as people flock to the associations which guarantee the best protection for the cheapest cost
01:59Ultimately, a single protective association or federation of United Agencies will gain dominance in a particular geographical area
02:06Nozick calls that association the dominant protective association
02:09Nozick seriously considers the possibility that the dominant protective agency constitutes a minimal political state
02:19And I couldn't disagree with that more strongly if I tried, but we'll sort of get to that
02:24We are thus obligated to understand whether it is really possible to create a stateless society
02:30Nozick has seen a stateless society is condemned, sooner or later, to be characterized by the presence of a form of state, right
02:42And I, again, couldn't disagree more and we'll sort of get into that, right
02:52Let's see
02:59De jure, what is that? I don't know
03:02I know de jure, I think de jure is probably a typo for de jure, unless, of course, it means something else
03:08But de jure, it's in effect, right, a stateless society
03:13The Principle of the Invisible Hand, sponsored by Nozick, states how the citizens living in a stateless society
03:18for putting forward their affairs and preserving their individual, i.e., personal safety
03:22would act in order to favor the appearance of a widespread number of protective associations
03:26The protective association is, de facto, a surrogate of state
03:31The state, the social apparatus of coercion and compulsion, does boast a pivotal role in society in virtue of a variety of reasons
03:40The state does exist as an apotropaic institution
03:44Apotropaic simply means having the power to prevent evil, to ward off evil, so it's a way of stopping evil
03:50An apotropaic institution, the apotropaic function of the state, is equal to the state's capacity to avert what is perceived by common sense as evil
03:58The state can put forward its apotropaic function only by publicly boasting force and vindictive power
04:06So, this idea, or argument, that in order to protect your property, people need a coercive institution, which they do, right
04:17And to protect persons and property, they need a coercive institution, okay
04:23And then one of those is going to become the most popular, and that is going to be kind of like a state
04:32And that is, it's so beyond false, I can't even tell you
04:39And I'm going to be annoying here, I guess, as usual
04:45Let me just, yeah, I don't think Robert Nozick did a lot of business stuff
04:53Yeah, so he taught, he received a PhD in philosophy in Princeton, taught at Princeton, Harvard, Rockefeller University
05:02At Harvard for the remainder of his teaching career
05:07Yeah, so no business experience
05:11And it just, it bothers the living hell out of me when people start talking about the business of, say, dispute resolution organizations
05:20Or these sort of protective agencies
05:22They talk about all the business stuff, having never actually worked in business
05:26Now, I mean, one of my strengths as a philosopher and theoretician is I've actually done the stuff that I'm talking about
05:35Like, empirically have done the stuff that I'm talking about
05:39I've worked in business now, as an entrepreneur, for like 30 years, right
05:45So, thinking that a very successful protection agency is going to become like a state
05:53Is fundamentally misunderstanding the longevity and cycle of business, right
06:00So, of the hundred biggest companies at the turn of the 20th century, like three are still in business
06:08Since I was a kid, IBM was the giant, Microsoft barely existed
06:13Now, Microsoft is the giant and so on
06:17So, just the idea that there's going to be this dominant protective agency and that's going to be like a state is bad
06:26So, let's get into his argument
06:28Just because there's a cycle
06:30You have a particular genius who starts the business
06:33And who's he going to get to replace himself?
06:37I mean, maybe some other genius, but they're pretty rare
06:40Entrepreneurial geniuses don't tend to want to take over big existing companies
06:44And there's always going to be something that disrupts the business, right
06:50So, you've got a giant media empire, a newspaper empire, television empire
06:56Then the internet comes along and you've got vloggers and podcasters who eat your lunch
07:01Like the Substack people and all of that, they just eat your lunch completely
07:04There's just constant churn and change, right
07:09You've got this big, giant software company
07:12And then AI comes along and can enable people to write code very quickly, right
07:18So, you have all of this business stuff constantly is getting disrupted, right
07:24You have some big, giant gas and oil company
07:29And then along comes better solar power, better batteries, electric vehicles and so on
07:35And things change quite a bit
07:38So, maintaining the quality of an organization, particularly in a truly free market, right
07:45So, in the existing system, what happens is there are fewer disruptors
07:51Because most people's brains are crippled by absolutely crappy and mind-destroying government schools, right
07:58So, government schools are there to make sure that you don't compete with the powers that be
08:02By being smart and entrepreneurial, creative and curious
08:05So, people just get their brains absolutely shredded and destroyed by government schools
08:11There's less competition
08:13Property rights in terms of intellectual property create a big, giant legal fence
08:18There's lots of patent trolls and so on rolling around
08:21So, it's really tough to break into new markets
08:25Because there's all of these fairly ambiguous intellectual properties, copyrights and patents
08:30And all of this sort of stuff, trademarks that create a huge legal quagmire
08:37There's, of course, endless amounts of licensing and requirements to go through multi-year
08:43And sometimes half a decade to a decade plus hoops in order to be able to perform various functions within society, right
08:53So, then, of course, you have unions, government-sponsored unions that make it very hard to compete
09:01You have tariffs and excise duties and other forms of taxes
09:06You have regulations and OSHA and disparate impact legalities
09:12All kinds of crazy stuff that means it's virtually impossible or very hard to compete with large established companies
09:17Because they're constantly buying up politicians and preventing others from coming into the field, right
09:23So, if you open it up to a true free market, there will be massive amounts of innovation occurring in the protection of property
09:33And, of course, in the protection of property, what we want for the most part is prevention, not cure, right
09:39You would rather, you know, if somebody steals your TV but it can't be started without your thumbprint
09:44That's going to be very, very helpful
09:47If you can reduce the amount of criminality and violence within society
09:53Then people won't need these protection agencies nearly as much, which is the peaceful parenting argument
09:59You raise children peacefully and they are going to not be violent and not be criminals
10:07And, therefore, you're just not going to need these companies very much
10:11So, there's constantly people who are going to find ways
10:14Because the protection agencies for persons and property are going to charge a lot
10:17And there's going to be constantly coming along other companies that want to undercut them
10:22That want to prevent these kinds of things
10:24And even if you have some absolutely brilliant genius dispute resolution organization
10:28Well, it won't be able to copyright its entire business model
10:31And all big companies get sclerotic, they harden their arteries, they get layers and bureaucracy and all kinds of HR nonsense
10:39And then smaller, leaner companies come along that can undercut them and provide better services
10:43Because they can start from scratch, all this kind of stuff
10:45So, this idea that you're going to get some big DRO, some big police and protection agency
10:52That's just going to last like a government, despite the fact that there's constant innovation
10:57And I remember this, of course, when I was in the business world
11:01As a software entrepreneur, man alive, I had to constantly innovate like crazy
11:08I had to come up with wild new ideas, I had to experiment with things, I had to automate things
11:12I had to find ways to produce the software, the customized software, faster and more accurately
11:18And so we'll build web interfaces and integrate with all other kinds of systems
11:23There's just a massive amount of innovation that was required
11:27So, just when people say, well, you're going to get one big DRO and it's going to harden
11:32And just become like a state
11:35It's just people who've never operated in business
11:37In business, you're constantly, again, without the protection of the state
11:40Without the reinforcement of the state and all of that
11:42You're just constantly surfing against absolute creative geniuses
11:46Who are going to eat your lunch unless you eat theirs first
11:49And it's really hard to maintain the growth
11:53So, think of it, you want to think of big corporations in a free society like bands
12:00Like a music band, right?
12:04So, if you look at John Lennon, right?
12:09He had Sean Lennon as kids and Julian Lennon
12:11They're both great musicians
12:13And Julian Lennon had Much Too Late For Goodbye
12:16It's a pretty good song, sounded a lot like his dad
12:19So, they're stronger than average musicians
12:23But they're not as good as their dad
12:28And their kids won't be as good as them
12:31Who is not as good as their dad
12:34So, the people who were in the Beatles
12:37They didn't just sell their life
12:40They didn't just sell their brand and say
12:42Well, four other guys can now be the Beatles
12:45That's just not how it works
12:48So, a group of musicians, a band
12:54They just won't last
12:56I mean, the Eagles have been broken up for years now
13:00Pink Floyd, broken up for years
13:02And people go on to do solo stuff and all of that
13:04But it's just not the same
13:06You can't maintain a band
13:07It's like saying, well, some band is going to come along
13:09That's going to be the most popular band in history
13:11Like the Beatles or Queen or Rolling Stones
13:13Some band is going to come along
13:14The most popular band in history
13:15And they're just going to last forever
13:16It's like, well, no, they're not
13:18Because they're going to die off
13:20And there's going to be other bands that come along
13:22And compete with them and so on, right?
13:23So, remember, in a free society
13:25The barrier to entry is almost infinitely lower than it is now
13:28And you don't get access to government power, regulations
13:31And bureaucracy and red tape
13:34To keep other people out of the market
13:36So, people are going to figure out
13:37What's the cheapest and best way
13:39To protect people's persons and property
13:41And they're going to say, well
13:43The best way to do that is peaceful parenting
13:45And so, there's going to be DROs
13:48There's going to be DROs that give massive discounts
13:52To children who've been raised peacefully
13:54And they'll check that
13:55And sort of brain scans and so on
13:56I write about all of this in my novel, The Future
13:58Which you should definitely check out
14:00But, yeah, it's not going to last
14:05Stuff in business doesn't last
14:07It's constantly churning
14:08It's constantly changing
14:09There's constant innovation
14:11And what was the biggest company 30 years ago
14:15Is not going to be a big company now
14:17And it's going to be like 5, 10 years in a free market
14:19Anyway, so let's go on with this guy
14:21Anarcho-capitalism as a performative contradiction
14:24Nozick's Invisible Hand argument
14:26Is in a position to show how
14:28The anarcho-capitalist doctrine
14:30Does contain in itself
14:32In aprioristic terms
14:34A performative contradiction
14:36A performative contradiction arises
14:38When the propositional content of a statement
14:40Contradicts the presuppositions of asserting it
14:43As I call it, self-detonating arguments and so on
14:47Like if I write you a letter
14:50Containing the argument that letters
14:52Never get delivered to the right person
14:54That would be a performative contradiction
14:56Anarcho-capitalism promises a stateless society
14:58However, in virtue of the capitalistic
15:00Acceptations which characterize
15:02Capitalism itself
15:04An anarcho-capitalist society
15:06Would give birth to a crypto-stated society
15:08Namely a society governed by a dominant
15:10Protective agency
15:12Protective agencies are very expensive
15:14So society will look at the best ways
15:16To reduce criminality
15:18To reduce the need for protection
15:20Which is peaceful parenting
15:22And that's not a theory, right?
15:24I've got the whole bomb in the brain series
15:26That's proven all of that
15:28Okay, anarcho-capitalism promises a stateless society
15:30No, anarcho-capitalism does not promise
15:32A stateless society
15:34Anarcho-capitalism
15:36Is the definition of a stateless society
15:38So promises is
15:40What the goal is
15:42What the goal is
15:44Like if I define a mammal
15:46As, you know, give birth to a live young
15:48Has got hair, warm-blooded, whatever
15:50I don't say that the definition of mammal
15:52Promises these things, the definition of mammal
15:54Is these things
15:56Anarcho-capitalism is a stateless society
15:58And he says, however, in virtue of the capitalistic
16:00Acceptations which characterize
16:02Capitalism itself
16:04An anarcho-capitalist society would give birth to a crypto-stated society
16:06Namely a society governed by a dominant
16:08Protective agency
16:10Well, let's say
16:12Of course it wouldn't
16:14Because there's constant churn
16:16And prevention of problems
16:18Rather than solving problems
16:20Would do all of this
16:22I mean, there was a company
16:24That was very big
16:26Making rotary telephones
16:28Where are they now, right?
16:30So governed by a dominant
16:32Protective agency
16:34But that dominant protective agency
16:36Cannot initiate the use of force against you
16:38It cannot initiate the use of force against you
16:42So it is a voluntary
16:44You can do without
16:46It's protection if you want
16:48You can provide your own protection
16:50You can band together with your neighbors
16:52To have protection of some kind
16:54You can do a wide variety of things
16:56Rather than take this
16:58You can't do that with the state
17:00This dominant protective agency
17:02Isn't going to be able to go
17:04Into multi tens of trillions
17:06Of dollars of debt
17:08On you and your children's behalf
17:10It's not going to be able to suck up
17:12Against your will and against your approval
17:14Money from your bank account
17:16It's not going to deduct its source money
17:18It's a voluntary thing
17:20I'm sorry, this is just a dumb argument
17:22It's not even an argument
17:24It's basically saying
17:26So there's slavery
17:28And
17:30In the future
17:32All you're doing
17:34Is replacing
17:36Slavery with wage slavery
17:38I mean, people are still going to have to get up
17:40They're still going to have to go and work for a living
17:42So it's exactly the same as slavery
17:44No, it's goddamn well not
17:46One is voluntary, one is not
17:48You know, penis and vagina
17:50It's the same with voluntary passionate lovemaking
17:52As it is with coercive knife to the throat rape
17:54Both involve penis and vagina
17:56It's like, no it doesn't
17:58One is voluntary, freely chosen
18:00And the choice can be undone at any time
18:02It can be captured
18:04Oh my god, putting the word crypto
18:06You know, it's like
18:08Rape is crypto lovemaking
18:10Is not a valid statement
18:12Or lovemaking is crypto rape
18:14Putting the word crypto in front of it doesn't
18:16One's voluntary, one's not
18:18One's moral and one's not
18:20One conforms to the non-aggression principle
18:22And universal moral absolutes
18:24And one does not
18:26So anyway, let's see here
18:28The author by putting the focus
18:30On the psychological aspects
18:32Of the investigation does state how
18:34In virtue of an icon effect
18:36The citizens are prone to adhere to institutions
18:38Which are already famous and experienced within the country
18:40Crowdial philosophy
18:42Psychology
18:44I don't really understand that sentence
18:46I apologize
18:48Icon effect, he's given footnotes before
18:50Crowdial psychology
18:52I don't know
18:54But the passage of time, the protective agency that is in a position
18:56To become the largest and most famous within the country
18:58By the icon effect, the goodwill of the people
19:04The function
19:06The function boasted
19:08By the dominant agency of protection
19:10Is equal to the function which is commonsensically
19:12Associated with the traditional state
19:14Yes
19:16One offers you the services voluntarily
19:18Protecting life and property
19:20The other one violates life and property
19:22And then fails to protect you
19:24So the state, at least in America
19:26I'm sure this is true in many places
19:28The state has no duty to protect
19:30This has been repeatedly affirmed
19:32By courts
19:34All the way to the top
19:36It is
19:38Fundamental in a state of society
19:40That the state has no duty
19:42To protect you
19:44You can call the cops
19:46The cops can show up, do nothing
19:48And you have no recourse whatsoever
19:50So there's no duty to protect you
19:52So
19:54I don't know really what to say
19:56About that
20:00A DRO, if it fails to protect you
20:02Will
20:04Suffer sanctions
20:06It would have to include that
20:08It would have to include that
20:10In the contract
20:12Because
20:14Nobody would sign on to a DRO
20:16That did not have any particular
20:18Duty
20:20To protect you
20:22So this
20:24Apotropaic function
20:26This fighting evil function
20:28Is not
20:30The state
20:32The state initiates the use of force against you
20:34Takes your resources
20:36Against your will by definition
20:38Because otherwise it wouldn't have to
20:40And it has no duty to protect
20:42And you have no recourse if it fails to protect you
20:44So it says the dominant agency of protection
20:46Is a de facto state
20:48That is distinguished by the same coercive powers
20:50Of the state
20:52Totally false
20:54That's totally false
20:56So
21:02The two people using force
21:04Are not the same
21:06Because there's the initiation of the use of force
21:08And then there's
21:10Legal and moral self-defense
21:12Some guy pulls a gun on you
21:14And you outdraw him and shoot him
21:16It's like saying well you're both the same
21:18You're both drawing guns and pointing them at people
21:20It's like well one is the initiation of the use of force
21:22And one is not
21:24So maybe he'll break it down
21:26Let's see here
21:30The dominant agency of protection
21:32In spite of its
21:38Apotropaic function and coercive abilities
21:40Is not a public institution
21:42The agency of protection is equal to a private business
21:44Which uses private means of production for materializing
21:46Its business
21:48The dominant agency of protection
21:50In spite of its endemic
21:52Action is equal to a private business
21:54That cannot be questioned by the citizens
21:56On the basis of an official and objective
21:58Code
22:00What?
22:02The dominant agency of protection
22:06In spite
22:08Of its
22:10Endemic
22:12Action
22:14Is not
22:16Prevalent
22:18Or limited to a particular
22:20Locality, region, or people
22:22Its local action
22:24Is equal to a private business
22:26That cannot be questioned by the citizen
22:28On the basis of an official and objective
22:30Code
22:32What is that?
22:34It cannot be questioned by the citizen
22:36On the basis of an official and objective code
22:38Well of course it can
22:40Of course it can
22:42If you sign with a cell phone company
22:44There's pages and pages of
22:46ULIS and dispute resolution and so on
22:48I don't really get that
22:50If you sign with a protection agency
22:52There's going to be a whole bunch of things
22:54That they agree to and a whole bunch of things that you agree to
22:56And they're going to train you on
22:58For instance
23:00What you're allowed to do in terms of self-defense
23:02There'll be training videos
23:04And questionnaires and so on, right?
23:06So I don't know what this means
23:08The modus operandi of the agency of protection
23:10Is self-made
23:12The modus operandi of the agency of protection
23:14Is self-made
23:16No, it's not self-made
23:18It's made based upon what is considered
23:20Most efficient and valuable to the customer
23:22So he goes on to say
23:24While the state is officially recognized
23:26As an objective model of justice
23:28The state is constitution maker
23:30The dominant agency of protection
23:32It's the head DRO
23:34Or the most popular DRO
23:36Does put forward its business
23:38Without presenting itself
23:40Under the
23:42Form of an objective institution
23:44What does that mean?
23:46What does that mean?
23:48The dominant agency of protection
23:50Is equal to a private actor
23:52Who profits through its activity
23:54While state action
23:56Is accountable to the people
23:58And questionable by the people
24:00What?
24:02State action is accountable to the people?
24:04And questionable by the people?
24:06Absolute bullshit
24:08That's embarrassing
24:10There have been countless studies done
24:12You can look at the myth of the rational voter
24:14The countless studies done
24:16That the preference of the people
24:18Has
24:20Virtually no effect
24:22On the actions of the state
24:24The preference, even in a democracy
24:26It doesn't matter
24:28In Europe they've been crying out for lower immigration
24:30For decades
24:32So it doesn't matter
24:34No, it doesn't
24:36The dominant agency of protection
24:38State action is accountable to the people
24:40And questionable by the people
24:42Nope
24:44State action
24:46How many people believe something shady happened
24:48With the end of Epstein?
24:50How many people want the list released?
24:52How many people
24:54Go through all the hoaxes?
24:56How many people want those
24:58As it seems to be the case
25:00If Jeffrey Epstein filmed a bunch of people
25:02For purposes of blackmail and so on
25:04And
25:06How many people want
25:08Those accountable?
25:10Those people arrested held accountable
25:12How many people
25:14Want some sort of
25:16Justice for some of the really bad stuff
25:18That happened under the COVID nightmare?
25:20Doesn't matter, doesn't happen
25:22Right?
25:24So, while state action is accountable
25:26To the people and questionable by the people
25:28The dominant agency of protection
25:30Is private matter
25:32That operates according to private economic calculation
25:34What does that mean?
25:36What does that mean?
25:38Private economic calculation?
25:40Yes, in order to provide
25:42In order to provide
25:44Services to people
25:46You have to do that, which pleases them
25:48So I don't know what private economic calculation means
25:50The enormous ethical gulf
25:52Says the writer, which separates
25:54The dominant agency of protection from the state
25:56Exists as such in virtue of the
25:58Tragic unaccountability
26:00Of the agency of protection
26:02What the fuck is that talking about?
26:06So, okay, so
26:08A voluntary private company
26:10That can't initiate the use of force against you
26:12Is tragically unaccountable
26:14But the state, which can borrow
26:16Print and, you know
26:18Kind of attack you
26:20Kind of at will
26:22Well, that's
26:24Accountable
26:26But a private business
26:28That has to please its customers
26:30Is tragically unaccountable
26:32Oh my god, this is wild
26:34A private business exists
26:36De su
26:38And for itself
26:40Right?
26:42Because lord knows, people in the government
26:44Are just absolute selfish angels
26:46Who
26:48Don't act for themselves at all
26:50They're just absolutely
26:52Kantian idealistic
26:54Altruists that never
26:56Ever aim. This is why
26:58Politicians never get wealthier
27:00And all of that
27:02Because they're just there for the benefit of others
27:04Right?
27:06While the function of the state is objective
27:08And no
27:10Profiteering
27:14The dominant agency of protection
27:16Exists as a profiteering agent
27:18That in addition does not have
27:20The ontological duty to serve the community
27:22In its entirety
27:24The agency of protection serves
27:26Its clients who are, in whatever case
27:28Non-equal to the entirety of the population
27:30The function of the state is objective
27:32And no profiteering
27:34So apparently, people in the government
27:36Are not interested
27:38In profiting
27:40Again, politicians make absolute
27:42Fortunes and
27:44Depending on how you measure and calculate it
27:46Government employees
27:48Make between a third and a half more
27:50Than private sector employees
27:52And
27:54Have job security that
27:56Can't be dreamed of
27:58People who vote for the welfare state
28:00Profit to the tune of
28:02$80,000 a year plus in benefits
28:04So
28:06They vote for that kind of profiteering
28:08We've seen, of course, recently under Doge
28:10All of these
28:12Non-profits which get massive amounts of
28:14Government money
28:16Hundreds of billions of dollars
28:18And just pay themselves
28:20Massive salaries and don't really
28:22Get anything done
28:24So this person, this writer
28:26Actually seems to exist
28:28The function of the state is objective
28:30Whatever that means
28:32And it's not for profiteering
28:34So somehow, people in the government
28:36Which is, you know, a third of people
28:38In some countries, right, or more
28:40The people who work for the government
28:42Are a completely separate species
28:44From the people who work
28:46In the private industry
28:48Because people in private industry
28:50Are interested in profit
28:52But people in governments
28:54Are not at all, in any way
28:56Interested in profit
28:58So we've got two classes of people
29:00Pure profit-driven people
29:02And pure altruists
29:04Who are completely indifferent to profit
29:06And this is the same as the Marxist thing
29:08Just create two classes of human beings
29:10Which makes no sense
29:12Wild, man
29:14That's everything
29:16Oh, that's it?
29:18This is his argument?
29:20Okay
29:22Alright
29:24Let's do one or two more
29:26This is painful
29:28On private production of defense
29:30On the dangers of insuring pluralism
29:32According to Hoppe
29:34This is Hans-Hermann Hoppe, I assume
29:36Insurers could and would
29:38Differ and distinguish themselves
29:40With respect to the behavioral code imposed on
29:42They could and would exist
29:44Side by side
29:46For instance, Catholic insurers
29:48Applying canon law
29:50Jewish insurers
29:52Applying mosaic law
29:54Muslims applying Islamic law
29:56And non-believers
29:58Applying secular law
30:00Of one variant or another
30:02All of them sustained by
30:04And vying for a voluntarily
30:06Paying clientele
30:08Consumers could and would
30:10Choose and sometimes change the law
30:12Applied to them and their property
30:14That is, no one would be forced to live
30:16Under foreign law
30:18And hence a prominent source of conflict
30:20Would be eliminated
30:22According to several thinkers
30:24The absence of the state
30:26Would give birth to sectarianism
30:28In various fields
30:30Hoppe's prediction is the overture
30:32To tribalism and mutual incomprehension
30:34The variety of successes
30:36Marking the democratic age
30:38Of the state and its subjective nature
30:40Endemic and
30:42Malleating powers
30:44Oh, to malleate
30:46To beat with a hammer, pound
30:48To beat or mark a dent
30:50Okay
30:52The process of unification of customs
30:54And objectivization of human logic and behavior
30:56Sponsored by worldwide governments
30:58Worldwide pedagogical institutions
31:00And the internet would certainly be endangered
31:02By the passing away of the state
31:04And the appearance of economic and behavioral tribalism
31:06If you're not tribal under the state
31:08That's just not true at all
31:10Races tend to be tribal, religions tend to be tribal
31:12Tribalism under the state absolutely exists
31:14And I suppose
31:16As states become more powerful
31:18Multiculturalism is funded
31:20Through debt, right?
31:22And so
31:24The fact that as the state becomes more powerful
31:26You end up with more of these sort of
31:28Multicultural values
31:30Differences
31:32Is not
31:34It's sort of impossible to notice, right?
31:36When the government was relatively poor
31:38Say, in the
31:40I don't know, 13th, 14th, 15th centuries
31:42How much
31:44Of all of this multiculturalism
31:46Was going on, say, in the West
31:48Well, not that much, right?
31:50So when the government gets more money
31:52Then it can buy votes, it can expand the welfare state and so on
31:54Which is going to attract some people who are there for free stuff
31:56Not for freedom, as I sort of talked about before
31:58So
32:00The idea that
32:02Somehow
32:04A free society with no enforced
32:06Welfare state
32:08Would create all of these
32:10Multicultural conflicts
32:12Doesn't sort of fit at all
32:18An anarcho-capitalism and warfare
32:20According to Harpy, in addition to the opposition
32:22Of an armed private citizenry
32:24The aggressor state would run
32:26Into the resistance of not only one
32:28Oh, you know what, I'm going back here for a sec
32:30I'm going to go back here, right?
32:32So he says that Catholic insurers applying canon law
32:34Jewish insurers applying mosaic law
32:36Well, so
32:38Of course we're talking sort of multi-generational issues here
32:40Which are very interesting
32:42Multi-generational issues would go something like this
32:44So
32:46Let's just say person A and person B
32:48Person A
32:50Has
32:52Just the non-aggression principle
32:54And protection of property rights
32:56Libertarians, all that kind of stuff
32:58So they're just basically interested in
33:00That, right?
33:02All I want is the non-aggression principle
33:04All I want is
33:06Protection of property
33:08It's very minimal
33:10And let's say there's some other people who have
33:12You know, 10,000 laws that they want enforced
33:14Well, what is the price difference going to be
33:16In these situations, right?
33:18Well, what is the price situation?
33:20What is the price difference
33:22For the non-aggression principle and protection of property
33:24Versus
33:26I want you to enforce these 10,000 laws
33:28Well
33:30It's going to be a couple of bucks a month
33:32For
33:34Simple laws
33:36Protection of property
33:38And non-aggression principle
33:40And to enforce 10,000 laws
33:42On people who are part of that DRO
33:44Well, that's going to be
33:46$3,000 a month
33:48Because it's just way more expensive to enforce
33:503,000 laws than a couple of simple principles
33:52Especially proactive laws
33:54So over time
33:56Money in society
33:58Is going to concentrate
34:00In the wallets of those
34:02Who are libertarians
34:04Who are non-aggression principle
34:06Protection of property
34:08Because it's going to be way too expensive in the long run
34:10To enforce these
34:12Other rules and other laws
34:14So that is going to
34:16Long curve towards minimal laws
34:18So I just want to mention that
34:20All right, let's get on
34:22Oh gosh
34:24So this guy quotes Harpy
34:26In addition to the opposition of non-private
34:28Citizenry, the aggressive
34:30State would run into the resistance
34:32Of not only one
34:34But in all likelihood several insurance
34:36And reinsurance agencies
34:38In the case of a successful
34:40Attack and invasion, these insurers would be
34:42Faced with massive indemnification payments
34:44Unlike the aggressing state, however
34:46These insurers would be efficient and competitive
34:48Firms
34:50These other things being equal
34:52The risk of an attack
34:54And hence the price of defense insurance
34:56Would be higher in locations in close proximity
34:58To state territories than in places far away from any state
35:00To justify this higher price
35:02Insurers would have to demonstrate defensive readiness
35:04Vis-a-vis any possible state aggression to their clients
35:06In the form of intelligent services
35:08The ownership of suitable weapons and materials
35:10Training blah blah blah
35:12So what's he talking about here
35:14In other words
35:16The insurers would be effectively equipped and trained
35:18For the contingency of a state attack
35:20And ready to respond
35:22With a two-fold defense strategy
35:24On the one hand, insofar as their operations
35:26In free territories are concerned
35:28Insurers would be ready to expel, capture or kill
35:30Every invader while trying to avoid
35:32And minimize all collateral damage
35:34On the other hand, insofar as their
35:36Operations on state territory are concerned
35:38Insurers would be prepared
35:40To target the aggressor at the state for retaliation
35:42That is, insurers
35:44Would be ready to counteract and kill
35:46With long-range precision weapons
35:48Or assassination commandos
35:50State agents from the top of the government hierarchy
35:52Sorry
35:54Of king, president or prime minister
35:56On downward
35:58While seeking to avoid or minimize
36:00All collateral damage on the property of innocent civilians
36:02Non-state agents
36:04They would thereby
36:06Encourage internal resistance
36:08Against the aggressor government
36:10Promote its delegitimization
36:12And possibly incite the liberation and transformation
36:14Of state territory into a free country
36:16One of the greatest failures of anarcho-capitalism
36:18Is represented by its approach to warfare
36:20An anarcho-capitalist society
36:22Would simply
36:24Would be simply unable to defend itself
36:26From the attack of a traditional army
36:28Nations boasting
36:30Traditional armies, i.e.
36:32Armies equipped by the state
36:34Would not take into consideration
36:36Insurance agencies as military actors
36:38Uh
36:40How?
36:42How do you know?
36:44A nation slash community
36:46Protected by insurance agencies
36:48Is, in military terms, equal to an undefended territory
36:50Easily invadable
36:52This is just statements
36:54I don't quite understand
36:56This is just statements
36:58It is ridiculous to underestimate
37:00The risks of war and invasion
37:02Which are all historical events already documented
37:04Which do reflect objective
37:06Definitions of human psychology
37:08Uh
37:10What?
37:12Okay, he says here, a nation cannot exist as such
37:14Without being able to boast effective defense
37:16Okay, how has that worked in America?
37:18How has that worked?
37:20The American government is the largest
37:22And most powerful government in the history of the world
37:24With the strongest military presence
37:26And
37:28People just walked across the border
37:30And took state resources through welfare
37:32By the millions
37:34So how's that working out?
37:36How's that working out?
37:38Just as all
37:40Anarcho-capitalism glorifies
37:42The industrial spirit of mankind
37:44And the rights of the individual
37:46Over his or her private property
37:48However, just anarcho-capitalism
37:50Is unable to defend the private property
37:52Of the individual from foreign attack
37:54But Hoppe made a whole argument
37:56About this
37:58About how you would target the
38:00Leaders
38:02Of the military
38:04Or you would target state leaders
38:06And generals and so on, right?
38:08So
38:10Do you just quote someone
38:12And then completely ignore it?
38:14Uh
38:16Just saying, well, you wouldn't be able to
38:18Private companies would not be able to defend
38:20Against the government
38:22I don't
38:24I mean, guerrilla warfare
38:26Is very common
38:28You know, the resistance
38:30Against, say, the Nazi occupation
38:32Of France, the French resistance fighters
38:34They were not state actors
38:36I had a conversation
38:38Many years ago with a guy
38:40Who was talking about how
38:42You know, when it came to Iraq
38:44It was a bunch of guys
38:46In, you know, on the back
38:48Of a pickup truck in flip-flops who were taking on
38:50The US military
38:52And they were not state actors in that way
38:54So
38:56There's tons of examples of guerrilla fighters
38:58Pushing back state actors
39:00Non-state resistance
39:02To state military actors
39:04So I don't
39:06Like, you can't just say
39:08It doesn't happen, it won't happen, it's impossible
39:10When there's tons of examples
39:12I don't know
39:14Uh
39:16So
39:18Those citizens living within an anarcho-capitalist society
39:20Would find themselves without defense
39:22And terrified by the risk of encountering
39:24An age of war
39:26So
39:28There's just saying stuff, though
39:32I know
39:34In hypothetical terms, the anarcho-capitalist doctrine
39:36Can be successful only within a fictitious scenario
39:38Namely a world in which all the countries
39:40Are anarcho-capitalist
39:42Anarcho-capitalism thus reaches its maximum level
39:44Of non-utility once the latter is contextualized
39:46Within warfare logic
39:48Yeah, so it's just a bunch of nonsense
39:50It's like when
39:52All armies used to be slave armies
39:54He said, well, I don't want a slave army
39:56Saying, well, then you're not going to have any defense
39:58It's just completely limited thinking
40:00Or non-thinking
40:02So I don't
40:04Yeah, he's going to quote stuff
40:06I'll just do one more chapter
40:08Because this is not as good as I
40:10I was hoping it would be a lot better
40:12Uh, chapter five, on anarcho-capitalism and the law
40:14For Hoppe, quote
40:16On the other hand, a system of insurers
40:18Offering competing law codes
40:20Would promote a tendency towards the unification
40:22The domestic, Catholic, Jewish, Roman, Germanic, etc.
40:24Law would apply and be binding
40:26Only on the persons and properties
40:28Of the insured
40:30The insurer and all others insured
40:32By the same insurer under the same law
40:34Canon law would apply to profess Catholics
40:36Blah, blah, blah
40:38Uh, so you'd be able to
40:40Interact with Muslims from Catholics
40:42Uh, similar
40:44Okay, um, competing law codes
40:46Arrive at distinctly different conclusions
40:48A problem would arise
40:50The insured would want to be protected
40:52Against the contingency of intergroup conflict, too
40:54So you'd have
40:56Particular groups with their own laws
40:58For that group, but then you would have
41:00Uh, common law
41:02Which would be property rights
41:04Non-aggression principle between groups, right?
41:06So, uh, a Muslim group
41:08And a Mormon group
41:10Would have their own particular rules
41:12Internal to themselves
41:14Which are now enforced a lot through ostracism
41:16If they don't have access to the power of the state
41:18But between
41:20Say, the Muslim group and the
41:22Mormon group, they would not be allowed
41:24To initiate the use of force and steal
41:26From each other, right?
41:28Alright
41:30Uh, but if competing law codes
41:32Arrive at distinctly different conclusions
41:34As they would in at least
41:36Some cases by virtue of the fact that they represent
41:38Different law codes, a problem would arise
41:40The insured would want to be
41:42Protected against the contingency of intergroup
41:44Conflict, too, but domestic
41:46Intergroup law would be of no avail in this regard
41:48In fact, at a minimum
41:50Two distinct domestic
41:52Law codes would be involved, and they would come to
41:54Different conclusions. In such a situation
41:56It could not be expected that one insurer
41:58And the subscribers of his law code
42:00Say the Catholics would simply subordinate
42:02Their judgment to that of another insurer
42:04And his law say that of the Muslims
42:06Or vice versa. Rather, each
42:08Insurer, Catholic and Muslim alike
42:10Would have to contribute to the development of intergroup
42:12Law, i.e. law applicable in cases
42:14Of disagreement among competing insurers and law codes
42:16Yeah, so, I mean
42:18Every cell phone provider
42:20Offers different plans, but they all
42:22Carry each other's signals if necessary
42:24Right?
42:26I mean, Rogers is a company that operates
42:28In Canada, and Rogers has a plan
42:30By which you can use your phone in the States
42:32So
42:34They have as a minimum
42:36And of course it's the same thing with email, right?
42:38Email bounces around a bunch of different servers
42:40And they all
42:42Agree to process the email
42:44In a way that makes sense
42:46So
42:48And where there wasn't, so let's take
42:50For example
42:52I'm obviously no expert on this kind of stuff
42:54But let's take some rule like
42:56In some Muslim communities
42:58The standard for proving
43:00Rape is a lot higher than, say
43:02In a Christian community
43:04Right? You need more witnesses and more
43:06Verification and so on, right?
43:08And I'm sorry if I've got all of this wrong, I'm just taking this example
43:10Out of my armpit
43:12So
43:14If there is a different
43:16Definition
43:18Of, or if there is a different
43:20Legal standard for
43:22Establishing that a rape occurred
43:24Between, say, Muslims and Catholics
43:26Then
43:28Those two groups
43:30Would not interact
43:32On a sexual level, right?
43:34They would probably try and stay away from each other
43:36On a sexual level because of the
43:38Difference in proof
43:40So then there would be
43:42One group would stay
43:44With their own group, the other group would stay with their own group
43:46And those kinds of things
43:48Would cause
43:50A
43:52Fragmentation
43:54The fragmentation is largely already occurring
43:56But yeah, there would be a certain amount of fragmentation
43:58Right?
44:00So if there was a group that said
44:02Oh yeah, I'm not saying
44:04This is any particular group, right?
44:06I'm talking about a group, the Elbonians, right?
44:08So the Elbonians are like, oh yeah, we can rape at will
44:10Okay, well
44:12I don't think there would be
44:14Many DROs that would want to deal
44:16With that kind of stuff, but let's say that one was made up
44:18Within the Elbonian community
44:20Yeah, we can rape at will, we can steal at will, whatever, right?
44:22Well, everybody would stay away
44:24From that area and that group
44:26And nobody would do business with them, and nobody would want to socialize
44:28With them, and they would be kind of ostracized
44:30Within the society
44:32Because it would be pretty risky and difficult
44:34And dangerous, right?
44:36So that group would suffer
44:38Economic ostracism
44:40Because they had these sort of bad rules and laws
44:42Like rape at will, steal at will, or whatever, right?
44:44And so
44:46There would be a very strong pressure
44:48To have
44:50More rational rules
44:52That were cheap and effective for the society
44:54As a whole
44:56So you've got to look at these things
44:58Like not in static
45:00Oh, there's going to be groups that disagree
45:02For sure
45:04And right now
45:06The groups that disagree get to hijack the state
45:08And impose their will of right and wrong
45:10On populations of tens or hundreds of billions of people
45:12So that's no good
45:14Right?
45:16That's no good
45:18It's like saying, well, you know, if people date
45:20Some people will ask others to date
45:22They won't get a yes, they'll be unhappy
45:24And then some people will end up going through life single
45:26And so on
45:28It's like, yeah, that's a risk, for sure
45:30And that risk will work itself out over time
45:32It will diminish over time
45:34And
45:36The solution to that
45:38Is not to have the government
45:40Force everyone to get married
45:42So if the government forces everyone to get married
45:44And chooses their marriage partners
45:46To say, well, we don't have problems with singletons
45:48We don't have problems with romantic disappointment
45:50Yeah, but you're forcing everyone to get married
45:52That's like institutionalized rape houses
45:54Like, that's terrible
45:56Right?
45:58So the fragmentation
46:00And some of the balkanization that would occur
46:02In a free society
46:04A stateless society
46:06That's a real issue
46:08And it would work itself out over time
46:10Because those who had the least intrusive
46:12The least initiation rules
46:14Response rules
46:16Somebody has to violate persons of property
46:18In order for the state actor
46:20In order for the DRO
46:22The quasi-state actor
46:24In this guy's nomenclature
46:26The quasi-state, the DRO
46:28Would be cheapest
46:30Most effective, most efficient
46:34With regards
46:36To
46:38Protecting property and persons
46:40And that's about it
46:42So over time, it would flow that way
46:46And of course, anarcho-capitalism
46:48Will only arise
46:50When a significant portion of society
46:52Raises their children peacefully
46:54Which means not imposing
46:56Anti-rational doctrines
46:58On the children
47:00And again, there's no
47:02Snap your fingers and have it change all by tomorrow
47:04Anarcho-capitalism
47:06Would lead to the dramatic process of schism
47:08Of the law
47:10Again, just saying stuff
47:12From a historical perspective
47:14The process of unification of the law
47:16Is one of the greatest achievements of human history
47:18An achievement which brought mankind closer
47:20To the objectification of human logic
47:22Really?
47:24Unification of the law
47:26So, is he saying
47:28That
47:30The constitution
47:32That was adopted
47:34By the USSR
47:36And imposed, of course, eventually on the Eastern European countries
47:38Is he saying that
47:40The
47:42Objectification
47:44The unification of the law
47:46Is one of the greatest achievements in human history
47:48Yeah, but what goddamn law
47:50Are you talking about?
47:54I mean, if you look at North Korea
47:56It used to be a bunch of different fiefdoms and princedoms
47:58Way back in history
48:00And now it's unified
48:02But it's the largest open-air prison in the world
48:04And people are treated like
48:06Absolute slave cattle
48:08It's horrendous
48:10So, unification of the law
48:12So, putting everyone under
48:14A centrally coercive dictatorial system
48:16Of rules
48:18For the profit of corrupt people
48:20That's one of the greatest
48:22I don't know, it's wild, right?
48:24The process of schism of the law
48:26Is in logical opposition to the economic reasoning
48:28Of the economic profit
48:30Is this translated?
48:32It's not good English, right?
48:34The schism of law is equal to ghettoization
48:36And mutual incomprehension
48:38Once different communities
48:40Are accustomed to different logics of law
48:42Intergroup incomprehension and clashes
48:44Are ordinary events
48:46The principles of intergroup clash
48:48Harpy, see above citation, advocates
48:50The development of intergroup law
48:52Once Harpy advocates the development of intergroup law
48:54He advocates nothing but the objective code
48:56Which is traditionally associated with the state character
48:58Anarcho-capitalism despises state
49:00However, it
49:02Especially in moments of emergency uneasiness
49:04Regrets its customs
49:06I'm sorry, this just
49:08I don't follow this at all
49:10Because he's not talking about the rationality
49:12And the logic and the universality
49:14The non-aggression principle
49:16Leads to a stateless society
49:18Because the non-aggression principle is universal
49:20Which means you can't have people
49:22Who have the right to initiate the use of force
49:24Which is the nature of the state
49:26That's just a fact, right?
49:28So he's not dealing with any of the arguments
49:30He's just creating
49:32Ooga-boogas of bad outcomes
49:34Ooga-booga, bad outcomes
49:36Well, you won't be able to protect yourself
49:38Against non-state actors
49:40Sorry, you won't be able to protect yourself
49:42Against state armies
49:44And there's going to be a fragmentation
49:46And all these bad things are going to happen
49:48You're going to end up with the state anyway
49:50None of this deals with the logic
49:52This is the equivalent of saying
49:54Well, if we end slavery, nobody's going to
49:56Pick their food
49:58And you won't have any cotton
50:00And everybody's going to starve to death
50:02And freeze to death
50:04I mean, it's just ooga-booga stuff, right?
50:06Ooga-booga, bad outcomes
50:08Well, if we don't do the rain dance
50:10Because the crops will all die
50:12So give me, you know, 500 bucks
50:14And I'll do the rain dance
50:16This is not an argument at all
50:18This is just, you know, bad things will happen
50:20Bad things will happen
50:22Without a government
50:24Okay, well, that's not an argument
50:26That's just
50:28It's shaking the voodoo stick
50:30Of consequences to hope to get you away
50:32From some sort of rational analysis
50:34Of an idea or argument
50:36Anyway, I don't particularly feel like going on
50:38Because I find this is
50:40And also he just quotes things
50:42And then just says, well, this won't happen
50:44This is impossible, he's wrong about this
50:46And there's no actual arguments or evidence
50:48Unfortunately, look, if there's better stuff
50:50I did about a quarter of this, right?
50:52If there's better stuff out there
50:54That's a good criticism of ANCAP
50:56I would like to see it
50:58But this ain't it
51:00So, freedomain.com slash donate
51:02If you'd like to help out the show
51:04I'll put a link to the document below
51:06You can do it at your own leisure
51:08But I'm curious what you think about this analysis
51:10And I look forward to your feedback and your support
51:12Again, freedomain.com slash donate
51:14Bye

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