Is Anarcho-Capitalism Practically Viable?

Many individuals argue that anarcho-capitalism, similar to communism, lacks practical application in real-world scenarios. While both ideologies hold rigid beliefs in the absence of centralized government, history suggests that neither system has consistently delivered the intended benefits.

Human Nature and Historical Context

Anarcho-capitalism posits that a free society, where individuals interact through private property and liberty rights, would naturally organize efficiently. However, history and current global realities indicate otherwise. Societies on the microscale, such as families, often experience conflict and aggression. Without an external authority to mediate, conflict can escalate to harmful levels.

Similarly, at a macro level, international relations have not fared well under a system with no overarching legal framework. While countries engage in trade and exchange on their own terms, conflicts continue to exist. The lack of a unified international law has led to numerous wars and the imposition of power by stronger nations over weaker ones.

State Monopoly of Violence and Coherence

To prevent the unchecked exploitation and conflict seen in anarchy, humans have historically created a state monopoly on violence. This government acts as a centralized entity that regulates and enforces laws, ensuring a semblance of order. Even in the most ideal anarcho-capitalist utopia, a state-like entity would still exist to ensure that private institutions, such as police and prisons, function effectively.

Neoliberalism and State Connivance

Anarcho-capitalism is often seen as an extreme form of neoliberalism. Proponents of anarcho-capitalism often overlook the role of the state in the establishment of social institutions like private property and markets. These institutions have developed through state violence and class regulation, with the state playing a crucial role in maintaining power structures.

Combining money and war has historically bolstered the state’s ability to maintain its power and enforce its policies. The dichotomy between the state and capitalism is illusory, and the idea of a “free market” without state intervention is a misconception.

Capital and State as Imagined Dichotomy

Anarcho-capitalists often advocate for the privatization of state functions, such as social security, education, and healthcare. However, in its purest form, anarcho-capitalism still requires a centralized authority to regulate and enforce the rules of society, which is essentially a state.

Thus, the idealized anarcho-capitalist society, while theoretically appealing, fails to account for the practical necessity of a state to maintain order and prevent the unchecked exercise of power. The state, with its monopoly on violence, remains a necessary evil to ensure a degree of social coherence and protection against exploitation by the stronger over the weaker.

While anarcho-capitalism may offer a fascinating thought experiment, history and current global politics suggest that a balance between individual freedoms and structured governance is essential for societal well-being.