Markets without Capitalism

In peer to peer theory, I see markets eventually being subsumed as a subsystem in a Commons-oriented political economy.

Such an approach requires disentangling markets, from capitalism as a system geared towards endless growth and overuse of limited resources.

Below a citation from Kevin Carson of Mutualist.org, who contrasts 'genuinely free market policies', from neoliberalism. Carson is part of the left-libertarian 'individualist anarchism' tradition.

Free-Market Policies for Development

Kevin Carson[1]:

"So what kinds of genuinely free market policies could the West undertake to promote prosperity in the Third World? Here are a few, for starters:

1. Western governments should support genuine property rights in the land. That is, they should stop siding with the Latifundistas and other landed oligarchies against land reform, and support strengthening of the peasantry's traditional tenure rights in the land. The history of American foreign policy in the Third World, unfortunately, is pretty accurately symbolized by its intervention on behalf of United Fruit Company in Guatemala: decades of collusion between landlord and general oligarchies, American agribusiness interests, and the U.S. national security establishment. Murray Rothbard, a libertarian considerably less prone than the Catoids to confuse "property rights" and the "free market" with plutocratic interests, acknowledged that most "property rights" in the Third World were really what Thomas Hodgskin called "artificial" and Albert Jay Nock called "law-made" (see "Rothbard on Feudalism and Land Reform") Such property claims, descended largely from state grants of land under colonial regimes, came at the expense of the legitimate property rights of the peasants who had appropriated the land through their own labor.

One reason Third World labor is willing to work in sweatshops as their "best available alternative" is that they've been forcibly deprived of any better alternative. If the countless land expropriations of recent decades had not taken place, if the property rights of peasant cultivators had been upheld against quasi-feudal property rights based on state land grants to absentee landlords, if hundreds of millions of now landless laborers still had independent access to subsistence farming, the bargaining position of labor against Wal-Mart's suppliers would be considerably different. As was the case with the enclosures in Britain, employers find it a lot harder to get cheap labor when workers have independent access to the means of production. Some factual questions were recently raised about Ellennita Muetze Hellmer's JLS article "Establishing Government Accountability in the Anti-Sweatshop Campaign," but that shouldn't obscure the validity of her central point: it's disingenuous for sweatshop employers to congratulate themselves on providing crutches to destitute Third World laborers when they've colluded with government in breaking their legs in the first place.

2. Repudiate international "intellectual property" accords. The central motivation behind the GATT intellectual property regime was to permanently lock in the collective monopoly of advanced production technology by TNCs, and impede the rise of independent competition in the Third World. It would, as Martin Khor wrote, "effectively prevent the diffusion of technology to the Third World, and would tremendously increase monopoly royalties of the TNCs whilst curbing the potential development of Third World technology." The developed world pushed particularly hard to protect industries relying on or producing "generic technologies," and to restrict diffusion of "dual use" technologies. Not to put too fine a point on it, the aim of international "intellectual property" law is to lock the Third World into a permanent status of global sweatshop, hewers of wood and drawers of water for Western capital [Martin Khor, The Uruguay Round and Third World Sovereignty (Penang, Malaysia: Third World Network, 1990); Chakravarthi Raghavan, Recolonization: GATT, the Uruguay Round & the Third World (Penang, Malaysia: Third World Network, 1990)].

3. Replace the phony neoliberal version of "privatization" with the real thing--that is, privatization based on respect for the property rights of the taxpayers whose sweat equity is embodied in the assets. Murray Rothbard argued that state property should be treated as "unowned" in the Lockean sense, and subject to homesteading by those actually mixing their labor with it ["Confiscation and the Homestead Principle," Libertarian Forum June 15, 1969]. In the case of public utilities, that means organizing them either as producers' co-ops under the control of workers' syndicates, or consumer cooperatives owned by the ratepayers. All state property and services should, in some similar fashion, be returned directly to the people. The state has no right to sell, to its favored cronies, property that was originally paid for with money looted from the taxpayers.

4. More generally, the U.S. should abandon the Palmerstonian model of fake "free trade" for the genuine article, as conceived by Cobden. According to Oliver MacDonough ["The Anti-Imperialism of Free Trade," The Economic History Review (Second Series) 14:3 (1962)], the Palmerstonian system was utterly loathed by the Cobdenites. The sort of thing Cobden objected to included the "dispatch of a fleet 'to protect British interests' in Portugal," to the "loan-mongering and debt-collecting operations in which our Government engaged either as principal or agent," and generally, all "intervention on behalf of British creditors overseas" and all forcible opening of foreign markets. Cobden opposed, above all, the confusion of "free trade" with "mere increases of commerce or with the forcible 'opening up' of markets."

Real free trade policy, on the other hand, doesn't require multilateral bureaucracies like the WTO. It simply requires eliminating U.S. trade barriers, and allowing Americans to trade or invest anywhere they want to in the world on whatever terms they can negotiate--provided that they also internalize all costs and risks of doing business overseas, without the U.S. government subsidizing their operating costs, insuring them against nationalization by hostile governments, and suchlike. It's that simple." (http://mutualist.blogspot.com/2006/05/vulgar-libertarianism-watch-part-xvii.html)

More Information

To investigate: the conception of Fernand Braudel

Manuel de Landa on anti-markets

The reform movement of Natural Capitalism

Market anarchism: "Francis Tandy’s 1896 book Voluntary Socialism is one of the classics of market anarchism." See at http://praxeology.net/FDT-VS.htm

The blog on Uncapitalism, at http://uncapitalist.com/blog/about.php

Our entries on Monetary Reform and Taxation Reform