Categotry Archives: Justice

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Futile Temporary Totalitarianism in Boston – Video by G. Stolyarov II

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Categories: Justice, Politics, Tags: , , , , , , , , , , , , , , , , ,

The aftermath of the Boston Marathon bombings of April 15, 2013, showed all too clearly that totalitarianism does not need decades of incremental legislation and regimentation to come to this country. All it needs is the now-pervasive fear of “terrorism” – a fear which can give one man the power to shut down the economic life of an entire city for a day.

This video is based on Mr. Stolyarov’s recent essay, “Futile Temporary Totalitarianism in Boston“.

References

-”U.S. Cities With Bigger Economies Than Entire Countries” – Wall Street Journal – July 20, 2012
- “Adding up the financial costs of the Boston bombings” – Bill Dedman and John Schoen, NBC News – April 30, 2013
- “United Airlines Flight 93” – Wikipedia
- “Richard Reid” – Wikipedia
- “Umar Farouk Abdulmutallab” – Wikipedia
- “Homicides decrease in Boston for third straight year” – Matt Carroll, The Boston Globe – January 1, 2013
- “List of motor vehicle deaths in U.S. by year” – Wikipedia
- “How Scared of Terrorism Should You Be?” – Ronald Bailey, Reason Magazine – September 6, 2011
- “Terrorism Risk Insurance Act” – Wikipedia
- “Business Frets at Terrorism Tag of Marathon Attack” – Associated Press – May 13, 2013
- “TIME/CNN Poll Shows Increasing Number Of Americans Won’t Give Up Civil Liberties To Fight Terrorism” – Tim Cushing, TechDirt – May 6, 2013

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Effects of Indefinite Life on Criminal Punishment – Article by G. Stolyarov II

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Categories: Justice, Transhumanism, Tags: , , , , , , , , , , , , , , ,

The New Renaissance Hat
G. Stolyarov II
March 20, 2013
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How would criminal punishments be affected if humans attain indefinite life? I was recently invited to comment on this subject in an Immortal Life debate thread.

I actually created a video on this very subject in January 2012: “Life Extension, Crime, and Criminal Justice”.

Importantly, there would be considerably less crime in a society where indefinite life extension has been achieved. People would have fewer motivations to commit crime, as they would be considerably healthier, happier, and more prosperous. Moreover, they would have more to lose through criminal punishment. They would make plans with a much longer time horizon in mind, and criminal behavior could derail those ambitious plans.

My general view is that criminal punishment would be transformed, especially in the case of capital punishment. Capital punishment might itself be redefined from execution to the simple withholding of life-extension therapies, allowing the unmitigated process of senescence to proceed. This would be effective in allowing appeals and the discovery of evidence of innocence – since a biologically young offender might have a good sixty years in which to make a successful case. I still see the need for that kind of “death penalty” for actual murder, though. Depriving a person of life in a society where indefinite life is possible is no longer a matter of shortening a life by a few decades. Rather, it curtails a potentially unlimited lifespan, full of irreplaceable individual experiences, achievements, and values. Thus, while the troubling aspects of physically violent execution might disappear, the severity with which the offense of murder is perceived would also increase. For some people who might otherwise have been inclined toward crime, this might lead them to reconsider and form internal inhibitions.

As regards imprisonment, being incarcerated for life would be much more severe of a punishment if a person is to live indefinitely – especially if parole is not an option. Perhaps this sort of life imprisonment would be used for offenses that are a degree less egregious than the kinds of offenses that result in the gradual “natural” death penalty that consists of withdrawing rejuvenation treatments. For lesser offenses, though, the focus of the criminal-justice system would shift from punishment to restitution. In a future that is far more prosperous and where advanced medical care is abundant, it would be much easier to fix injuries or restore property to a pre-damaged form. The offender would be asked to pay for the damage (perhaps twice the cost, in accordance with Murray Rothbard’s “two teeth for a tooth” rule of restitution).

My video elaborates on all of these points, for those who are interested in delving into them in greater depth.

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Reflections on Victor Hugo’s “Les Misérables” – Article by Edward W. Younkins

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Categories: Fiction, History, Justice, Philosophy, Tags: , , , , , , , , , , , , , , , ,

The New Renaissance Hat
Edward W. Younkins
February 18, 2013
Recommend this page.
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This essay is not a review of Tom Hooper’s recently released film of the tremendously popular 1980s stage musical. However, the release of this film has given me the occasion to read and to reflect upon the original text of Victor Hugo’s 1862 classic, Les Misérables, a mosaic of social indictment, history, social philosophy, sentimentality, and spirituality.

Victor Hugo’s Les Misérables (1862) is the great prose epic of the nineteenth century. Interweaving the social and spiritual threads of human life, the novel has been influential in making people desire a more just world. In Les Misérables the author condemns the unjust class-based social structure in nineteenth-century France for turning good people into criminals and beggars. He makes a case that crime and poverty can be eliminated through universal education, a criminal justice system that is flexible and focused on rehabilitation rather than punishment, and the more equal and humane treatment of women. Despite these broad recommendations, Hugo offered no practical solutions for reforming schools, the police, the courts, and the prisons. Les Misérables is a call for a wiser and nobler civilization. When it was released, it inspired a great deal of sympathy for hapless people oppressed by the state. It was also viewed as a celebration of revolution against tyranny.

Les Misérables is an epic novel focused on characters fighting against their exploitation and oppression. We see the injustices and disproportionate sentences piled upon Jean Valjean, the abuses suffered by Fantine, the brutality foisted on Cosette, the maltreatment of Enjolras  and his fellow revolutionaries, the plight of homeless children, and so on. All of these are examples of society’s injustice toward the lower classes. Through these stories, the novel exudes sympathy from the reader for the most wretched in society. The message is that, if men murder and steal and women fall from grace out of desperation, it is not their fault because they can find no honorable path to sustainability within the constructs of society. Rather, it is the fault of society and its creations, the state and the law. The state and its legal system are shown to be disinterested in the conditions of the dangerous classes. Society is thus culpable for dehumanizing the poor and for the crimes committed by the dregs of society. Les Misérables chronicles the corruption of police power, shows that society gives the convict no chance for redemption, and illustrates how France’s prison system not only continues, but also accelerates, the downward spiral of criminals. On the one hand, Valjean represents suppressed and destitute people whose place in life is determined by positive laws created by society’s elite in order to perpetuate their own superiority. On the other hand, Valjean illustrates that it is possible for men to rise above their circumstances.

Bishop Myriel is not a typical bishop or even a conventional Christian. He operates on his own innate sense of morality—it is not provided by Christianity. True morality is higher than, and separate from, any particular religion. Religions pass away but God remains. Myriel acts out of genuine sympathy and caring for the weak and the downtrodden. The Bishop has chosen a consistent belief system and life path and has dedicated his life to the active service of humanity by performing good deeds and engaging in heartfelt charity. Myriel believes that it is each man’s duty to perform good acts despite the fact that he may never know if the good acts he has performed for people will lead them to change their lives for the good. His religious humanism is far from orthodox Christianity.

When Myriel, the Bishop of Digne, forgives Jean Valjean for the theft of the silver, he offers him his initial opportunity for redemption. After this incident, Valjean has a choice to make. He could either continue on a path of crime or he could follow the example set by the Bishop. Having learned from his past, Valjean goes on to help the poor and the wretched. He adopts a new life, identity, and mentality. His new life includes honesty, love of neighbor, love of enemy, and love of God. Throughout his life, the Bishop is always with him as symbolized by the candlesticks. Myriel acts as a model and an inspiration for Valjean for the rest of his life. Throughout the novel, Valjean imitates more and more the Bishop’s asceticism, renunciation of worldly pleasures, and emphasis on sacrifice.

The moral duty to help the poor that Valjean accepts does not come from any social institutions. Rather, it flows from an expansive notion of God. Valjean illustrates that reason is inadequate in the resolution of moral problems. However, thought does direct Valjean toward the consideration of a dilemma, but at every decision point his emotions serve as the guide to right behavior. The hero performs good deeds intuitively as if he is acting in response to an inner voice. This Kantian perspective is that each person has an inner voice (perhaps his conscience), the source of moral laws, that tells him what his duties (i.e., moral obligations) are. The message seems to be that faith can transform one’s life. For Valjean, merely believing in God is not enough. He does not just contemplate the divine. Having learned from his experiences, he goes on to act to help people by his own initiative. For him, God, fulfillment, and salvation are attainable without the help of any organized religion.

Choice is difficult for Valjean who has a double nature—he has the experience of a convict and the instincts of a saint. He is a product of the social conditions that led him to steal a loaf of bread for his sister’s family and his prison time for punishment of that crime. Despite that, he still has the potential for good in him. Over and over he has to choose between doing what is right and doing what is safe and secure. At virtually every turn Valjean doubts and questions himself before making the morally correct choice. Les Misérables is very much a story of a man’s conscience at war with itself. After meeting the radiantly spiritual Bishop Myriel, Valjean’s life becomes a continuing struggle between his activated moral sense and his life-long criminal tendencies.

As Monsieur Madeleine, Jean Valjean redeems himself by becoming an innovative entrepreneur who creates a successful manufacturing business that brings about progress and prosperity for an entire region. This successful and kind person voluntarily does good deeds to help the less fortunate. Valjean’s actions exhibit justice to individual people rather than observance of the requirements of some abstract legal order. In addition to providing a reasonable standard of living for his employees, he builds schools and hospitals with his own money and distributes a large share of his wealth to the poor. Then, of course, he takes care of Fantine and rescues, raises, and protects Cosette. Ironically, the tolerant Valjean sympathizes with others but is unable to sympathize with himself. He understands that, although a person can repent of a crime, he can never escape the dishonor from committing it.

Inspector Javert cannot accept transgressions of the law regardless of circumstances. He represents the idea of punitive secular justice and is solely concerned with detection and retribution. Javert is absolutely committed to rules and to their administration. As a defender of France’s legal system, he is dedicated to following the letter of the law rather than the spirit of the law. The well-intentioned, rigid, and dogmatic Javert wants to protect society from the criminal element and has total faith in the system of laws that he represents. Javert, the personification of public authority, contends that theft is wrong regardless of mitigating factors. Myriel, representing morality, would say that theft should be forgiven in the case when one acted to keep people from starving. Of course, our hero, Valjean, is caught between these two worldviews. Toward the end of the novel, Javert comes to understand that Valjean is concerned with a moral law higher than positive state law. At the end he empathizes with Valjean and comprehends that divine law has supremacy. Javert commits suicide because this realization disaffirms everything in his life that he believed in. The story of Javert provides a lesson about the limitations of the law of men. At the end of his life, Javert understands that Jean Valjean’s resistance to Javert’s tyranny is rooted in a belief in a higher power and law than the laws of men.

Enjolras and his diverse band of revolutionaries have a dream of a better world and do all they can to make that world a reality. They love man, tend to reject organized religions (including Christianity), and attempt to overturn the existing social order. Enjolras, the leader of the ABC (the Abaissé or the abased) Society wants to elevate men. The ABC’s 1832 revolt demanded legislation that would make possible liberty, justice, equal education, equal opportunity, and so on. Enjolras is a devoted, purposeful, political idealist who inspires others with his utopian vision of future progress. The other revolutionaries turn to Enjolras for the meanings behind their actions.

The novel teaches that individual men are dignified, honorable, and benevolent, but that social institutions are not, the result being the corruption of individual human beings. Like Rousseau and Turgot, Hugo subscribes to the idea of the natural goodness of man. All three believed in progress and in the perfectibility of man. They viewed progress as a basic law of the universe. Created by God, man has the capacity to become a civilized moral person if he is not corrupted by society. It is the corrupting influence of society that is responsible for the misconduct of the individual. If individuals are properly educated then they would not want to do evil.

Hugo maintains that society must be changed, but also that it is individuals who must first be transformed. It is these transformed individuals who can then foster the advancement of society. Accepting the Platonic idea that the individual’s soul is noble but the body is degraded, the author of Les Misérables teaches that one must achieve spiritual grandeur and a virtuous character in order to battle for justice in the here and now. Some individuals have the ability to triumph over evil both in themselves and in society and its institutions if they are willing to actively respond to the divine. In Les Misérables the life of each character influences others. It follows that, if each individual comprehends and accepts his influences on other persons, then society may become more just, caring, and merciful. Hugo contends that the requisite love of humanity can only come from faith in the divine. Faith in God is thus placed at the heart of this work. For Hugo, belief in God by acting people of good will is necessary to instill the social order with kindness and to make society more humane. Like Pascal, Hugo urges his readers to bet in favor of the existence of God and perhaps even in the possibility of an afterlife for the soul. In Les Misérables there are only a few exceptional virtuous individuals such as Myriel, Jean Valjean, and Enjolras, who can attain this level of existence. It follows that rehabilitation and elevation of the social order is most likely impossible given the above requirement and reality.

The novel’s ethic of social service emphasizes the alleviation of poverty. It portrays poor people being helped by the charitable works of a private individual (Valjean) rather than by government. Depicting the abject poverty of the poor, Les Misérables questions the morality of a political and economic system that permits children to be orphaned and homeless, mothers dying in the streets, and good men imprisoned for minor transgressions committed to feed their families. Hugo’s goal was to elicit his readers’ compassion and to stimulate their moral sensibilities by portraying how poverty brutalizes and dehumanizes people and how strict and relentless law enforcement creates the savages that it wants to eliminate. He wanted to educate the bourgeois and to awaken their consciousness and concern for France’s social problems. Hugo wanted people to take action to ease the burden of the less fortunate through good deeds and through changes in the social system. Les Misérables is Hugo’s plea for social change that vacillates between human and institutional reality and his hope for, and vision of, a better world.

In Les Misérables Hugo depicts that society is nothing more than the collection of individuals whose lives affect one another. For example, it is clear that Jean Valjean is concerned only with the individuals who make up society. In the novel, the circumstances and conduct of various seemingly randomly introduced characters converge and become intertwined with the struggles of Valjean. From the beginning of the story, there is a web of influence that builds as characters affect one another. Early on we see G______, a representative of the assembly during the French Revolution that dissolved the monarchy, humbling Bishop Myriel who recognizes his moral devotion to humanity and progress prompting the Bishop to redouble his own tenderness and love for the weak and the suffering. The network of interconnections grows as characters such as Valjean, Fantine, Cosette, Javert, Fauchelevant, the Thénardiers, Marius, M. Gillenormand, Colonel Pontmery, Champathieu, Enjolras, and others appear. The author brings many of these characters together toward the climax of the novel.

Les Misérables illustrates that in every idea, and that for every person, perspective is partial and, therefore, insufficient by itself alone. Hugo shows that the complexity of life requires that no one philosophy, perspective, emotion, tradition, or behavior is capable of providing a total picture of what it means to be human. Like Kant, Hugo laments the fact that a person can only perceive and comprehend things through his own consciousness. According to Kant, man’s knowledge lacks validity because his consciousness possesses identity. For Kant, knowledge, to be valid, must not be processed in any way by consciousness. Hugo, like Kant, seems to be looking for knowledge that could be called absolute, unqualified, pure, or diaphanous. Kant maintains that identity, which itself is the essence of existence, invalidates consciousness. To know what is true, a man would have to abandon his own nature, which is an absurd impossibility. It follows that for both Hugo and Kant, reason must be forsaken and the emotions must be embraced, if one wants to deal with the fundamental concerns of existence. Hugo does seem to imply that knowledge can be enhanced by dialectically relating each perspective with opposing viewpoints. However, he realizes that, even with this dialectic interaction, one’s knowledge would still be limited. Even when many angles of perspective can be coordinated simultaneously, one’s understanding of a process, experience, or event is still limited.

Les Misérables is a fascinating maze of characters, emotions, ideas, paradoxes, and antitheses. The novel co-mingles ever-shifting and blurred shades of criminality, heroism, misery, resilience, good, evil, irony, pathos, poetry, free will, providence, action, the social, the spiritual, and much more. Hugo thus deals with the emotions, hopes, fears, passions, and doubts that are reflective of people’s common humanity. Les Misérables is a detailed reporting of men’s feelings and ideas that transcend time and place. It follows that this great novel is as relevant today as when it was published more than 150 years ago.

Dr. Edward W. Younkins is Professor of Accountancy at Wheeling Jesuit University. He is the author of Capitalism and Commerce: Conceptual Foundations of Free Enterprise [Lexington Books, 2002], Philosophers of Capitalism: Menger, Mises, Rand, and Beyond [Lexington Books, 2005] (See Mr. Stolyarov’s review of this book.), and Flourishing and Happiness in a Free Society: Toward a Synthesis of Aristotelianism, Austrian Economics, and Ayn Rand’s Objectivism [Rowman & Littlefield Pub Incorporated, 2011] (See Mr. Stolyarov’s review of this book.). Many of Dr. Younkins’s essays can be found online at his web page at www.quebecoislibre.org. You can contact Dr. Younkins at younkins@wju.edu.

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The Patent Bubble and Its End – Article by Jeffrey Tucker

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Categories: Economics, Justice, Politics, Tags: , , , , , , , , , , , , , , , , , , , ,

The New Renaissance Hat
Jeffrey Tucker
February 3, 2013
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“Then they pop up and say, ‘Hello, surprise! Give us your money or we will shut you down!’ Screw them. Seriously, screw them. You can quote me on that.”

Those are the words of Newegg.com’s chief legal officer, Lee Cheng. He was speaking to Arstechnica.com following a landmark ruling that sided with a great business against a wicked patent troll company called Soverain.

What is a patent troll? It is a company that has acquired patents (usually through purchases on the open market) but does not use them for any productive purpose. Instead, it lives off looting good companies by blackmailing people. The trolls say, “Pay us now or get raked over the coals in court.”

Soverain is one such company. Most companies it has sued have paid the ransom. Soverain has collected untold hundreds of millions in fines from the likes of Bloomingdale’s, J.C. Penney, J. Crew, Victoria’s Secret, Amazon, and Nordstrom.

It sounds like a criminal operation worthy of the old world of, say, southern Italy (no offense, guys!). Indeed, but this is how it works in the U.S. these days. The looting is legal. The blackmail is approved. The graft is in the open. The expropriation operates under the cover of the law. The backup penalties are inflicted by the official courts.

To be sure, the trolls may not be as bad as conventional patent practice. At least the trolls don’t try to shut you down and cartelize the economy. They just want to get their beak wet. Once that happens, you are free to go about your business. This is one reason they have been so successful.

Soverain’s plan was to loot every online company in existence for a percentage of their revenue, citing the existence of just two patents. Thousands of companies have given in, causing an unnatural and even insane increase in the price of patent bundles. Free enterprise lives in fear.

Let me add a point that Stefan Molyneux made concerning this case. The large companies are annoyed by the patent-troll pests but not entirely unhappy with their activities. The large companies can afford to pay them off. Smaller companies cannot. In this way, the trolls serve to reduce competition.

[Stefan made his comments on an edition of Adam v. The Man, in which we were both guests. you can watch the entire show here.]

When Soverain came after Newegg’s online shopping cart demanding $34 million, a lower court decided against Newegg, but only imposed a fine of $2.5 million. Newegg examined the opinion and found enough holes in the case to appeal. It was a gutsy decision, given the trends. But as Cheng told Ars Technica:

“We basically took a look at this situation and said, ‘This is bull****.’ We saw that if we paid off this patent holder, we’d have to pay off every patent holder this same amount. This is the first case we took all the way to trial. And now nobody has to pay Soverain jack squat for these patents.”

It’s true. The case not only shuts down the Soverain racket. It might have dealt a devastating blow to the whole patent hysteria and the vicious trolling that has fueled it all along.

And truly, the patent mania has become crazy. No one 10 years ago would have imagined that it would go this far.

“It’s a sign of something gone awry, not a healthy market,” attorney Neil Wilkof told Gigaom.com, with reference to the utterly insane amounts that well-heeled tech giants have been paying for patents. “I think we’re in a patent bubble in a very specific industry. It’s a distorted market and misallocation of resources.”

[Note: This entire racket is anticipated and debunked in the pioneering work on the topic. The new edition of Stephan Kinsella's Against Intellectual Property is now available for free to Club members.]

Earlier this year, Google shelled out $12.5 billion for the acquisition of Motorola Mobility. Facebook threw down $550 million for AOL’s patents. Apple and Google spent more last year on patent purchases and litigation than on actual research and development. The smartphone industry coughed up $20 billion last year on the patent racket. A lawsuit last year against Samsung awarded Apple $1 billion in a ridiculous infringement case.

These are astronomical numbers — figures that would have been inconceivable in the past. Everyone seems to agree that the system is radically broken. What people don’t always understand is that every penny of this is unnecessary and pointless. This market is a creation of legislation, and nothing more. The companies aren’t really buying anything but the right to produce and the right not to be sued, and that is not always secure.

Let’s back up. Why are there markets in anything at all? They exist because goods have to be allocated some way. There are not enough cars, carrots, and coffee to meet all existing conceivable demand. We can fight over them or find ways to cooperate through trade. Prices are a way to settle the struggle over goods that people grow or make, or services people provide, in a peaceful way. They allow people to engage to their mutual benefit, rather than club or shoot each other.

But what is being exchanged in the patent market? It’s not real goods or services. These are government creations of a bureaucracy — an exclusive right to make something. They are tickets that make production legal. If you own one, there is no broad market for it. It has only a handful of possible buyers, and the price of your good is based entirely on how much money you think you can extract from deep pockets. Sometimes, you actually force people to buy with the threat that you will sue if they don’t.

That’s not how normal markets operate. There was a time when patents didn’t even apply to software at all. The whole industry was built by sharing ideas and the spirit of old-fashioned competition. Companies would work together when it was to their mutual advantage and hoard competitive reasons when it was not. It seemed to work fine, until legislation intervened.

Today the entire fake market for patents is sustained by the perception that courts will favor the patent holders over the victims. The Newegg case changes that perception, which is why it has been the most closely watched case in the industry. This might signal the end of the reign of terror, at least one form of it.

But, you say, don’t creators deserve compensation? My answer: If they create something people are willing to pay for, great. But that’s not what’s happening. Soverain’s bread and butter was a handful of patents that had been on the open market, changing hands through three different companies over the course of 10 years, until they landed in the laps of some extremely unscrupulous wheeler-dealers.

In other words, patents these days have little to nothing to do with the creators — any more than mortgage-backed securities at the height of the boom had anything to do with the initial lender and its risk assessments. Once a patent is issued — and they are not automatically valid, but rather have to be tested in litigation — it enters into the market and can land anywhere. The idea that the patent has anything to do with inspiring innovation is total myth. It is all about establishing and protecting monopolistic weapons with which to beat people.

Many people have been hoping for patent reform. It probably won’t happen and might not even need to happen. If this case is as significant as tech observers say, a sizeable portion of this fake industry could be smashed via a dramatic price deflation. When something is no longer worth much, people stop wanting it.

Patents date from a time when a great industrial innovation made the headlines just because it was so rare. That’s not our world. Government has no business allocating and centrally planning ideas. Here’s to Newegg: Take a bow. Someone had the guts to say no. This time, for once, it worked.

Yours,
Jeffrey Tucker

Jeffrey Tucker is the publisher and executive editor of Laissez-Faire Books, the Primus inter pares of the Laissez Faire Club, and the author of Bourbon for Breakfast: Living Outside the Statist Quo It’s a Jetsons World: Private Miracles and Public Crimes, and A Beautiful Anarchy: How to Build Your Own Civilization in the Digital Age, among thousands of articles. Click to sign up for his free daily letter. Email him: tucker@lfb.org | Facebook | Twitter | Google.

This article has been republished pursuant to a Creative Commons Attribution 3.0 License.

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The Vital Importance of Property in Land: Part 3 – A Rational System of Land Ownership – Article by G. Stolyarov II

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Categories: Economics, Justice, Philosophy, Tags: , , , , , , , , , , , , , , , , , , , , , , , , , ,

The New Renaissance Hat
G. Stolyarov II
November 11, 2012
Recommend this page.
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In this third installment of my short series on land and property rights (see my first and second installments), I aim to outline a rational, libertarian system of land ownership that simultaneously respects each individual’s private property and allows each individual ample opportunities to obtain land of his or her own. This is a system that allows every individual his or her inviolate sphere of action and control, while at the same time ensuring that no individual who strives to obtain land through sufficient exertion will be denied the ability to own landed property.

The rational criterion for how land may be initially appropriated from the state of nature is the first-occupier rule. The first person to transform a piece of land from the state of nature becomes that land’s rightful owner – but only if the land is substantively transformed and put to a use that can be reasonably expected not to terminate at any fixed time. In other words, a person may only initially appropriate that land which the person actually uses and does not expect to stop using entirely. The use may be sporadic and intermittent, but as long as the land is not abandoned altogether and the reasonable possibility of using it remains, the right to ownership remains with the person who first transformed it. A person can indirectly “use” the land by hiring others to work on it or manage it. As long as there exists an economic connection back to the owner, the use criterion is met. The land’s original owner may sell it to others or give the land as a gift. At that time, the new owner obtains the same prerogatives as the original owner had.

The use criterion prevents arbitrary claims over un-transformed land and also minimizes the possibility of conflict by reference to a criterion that relies on an ongoing state of use of the land. If a piece of land becomes completely abandoned by its owner, in the sense that the owner does not himself, or through the employment of others, perform or intend to realistically perform any physical actions on or pertaining to the land, then this land reverts to the state of nature and legitimately may be claimed by any subsequent first occupant. The use criterion distinguishes the libertarian view of land ownership from certain arbitrary legal precedents in many parts of the world – e.g., the “right” of kings in various Medieval and Early Modern European countries to all of the prime forests of those countries, which denied their subjects the ability to obtain any of the produce of the forests without special permission, or the “right” of certain Latin American potentates to vast tracts of completely undeveloped land, on which thousands of people have lived for generations as “squatters” who possess the land de facto but not de jure. The use criterion suggests that it may be the case that laws treat as private property land which should, in fact, be considered a part of the state of nature and opened to be claimed by future first occupants in substance.  This could, in practice, result in considerable upward economic mobility and improvements in standards of living for many people.

In an ideal libertarian system, owned land is truly owned – i.e., it is free of any encumbrances that the owner has not voluntarily entered into. The owner has the complete right to utilize the property as he sees fit, as long as he does not infringe on others’ rights to life, liberty, and property. There may be some role for the law to restrict the use of certain activities that necessarily infringe on others’ rights, such as spilling sewage into a river that runs adjacent to numerous owned plots of land – or emitting disease-causing chemicals into the air. These activities with negative external effects may be permissible in some cases if the affected other individuals consented to their conduct (with their consent possibly accompanied by compensation from the person engaging in the negative-externality-causing activity). Furthermore, the first occupier of a region has a greater prerogative to engage in such activities if the adversely affected neighbors voluntarily move in after the activity was known to be underway. (In other words, the neighbors could have avoided the adverse effects by going elsewhere, but they knowingly chose to move in anyway.)

An ideal libertarian system would have no property taxes or any other taxes that depend on one’s present wealth in any way. Irrespective of what other taxes may exist (and I have elsewhere argued for a system that can fund the government without relying on compulsory taxation at all), the concept of ownership should not be tied with any ongoing payment, unless the property was purchased by means of assuming a debt obligation. Even with regard to debt obligations, foreclosure on a property should be prohibited until the purchaser’s equity has been reduced to zero by an accumulation of amounts equal to the sum of delinquent payments, plus interest at the agreed-upon loan rates.

An owner of land may agree to an easement on the land in the form – for instance – of allowing a utility to place its infrastructure there, or allowing public traffic through a portion of the land. This easement should be entirely voluntary on the part of the owner, and it is legitimate for the owner to request compensation for granting the easement if he wishes. Likewise, the owner may rent the property to others at a mutually agreed-upon price, or, at his discretion, allow others to use or live on the property at no cost. A contractually conferred easement or tenancy may limit the owner’s subsequent ability to deny certain prerogatives to the tenants or parties using the easement, and a free market would facilitate the evolution of contracts that allow such parties the ability to use the land, subject to certain basic conditions, without fear of unilateral or arbitrary cessation of an arrangement on which they rely.

How would roads be built in such a world? How would utility lines be laid? Perhaps a contractually irrevocable perpetual easement might be the way to facilitate such arrangements while fully respecting private property. Instead of being bullied by eminent-domain legislation to sell the land or grant the easement, the owner may be enticed to collect a perpetual stream of income from the private road company or private utility. The road easement would be priced at prevailing market rates – not through a judicial fiat determining “fair market value,” but rather through negotiations based on millions of data points regarding what owners of similar land used for roads have been willing to accept without any compulsion.

As Roderick Long points out, it is also possible for a libertarian view to accommodate a type of “common” land which is neither private nor governmentally owned. This category of commons could be created by means of a private owner opening his land to common use in perpetuity – as in a landowner designating his property a public park or thoroughfare. Such common land does not revert to the state of nature, because it continues to be used regularly – e.g., by means of moving through it. The latest private owner retains a certain degree of rights to the land, in the sense that his designation for how the land may be used must be respected. However, as long as this designation’s terms are obeyed, the latest owner has surrendered his discretion over any particular instance of the common land’s use. The ability of common land to arise could be facilitated by the formation of voluntary cooperatives that purchase private land and declare it to be common. These cooperatives could then also supply services to keep the land in proper order for the purpose to which it is intended to be put. An example of this might be a group of shop owners in a busy urban area deciding to render the street adjacent to the shops to be common, so that any person could approach the shops without paying fees to any party, or being otherwise restricted. The shop owners could form a cooperative to purchase the land constituting the street. The cooperative would then declare such land to be common and would provide maintenance and security services to ensure that the street remains clean and accessible, and that no one significantly obstructs passage.

A true libertarian system would likely lead to the creation of numerous common spaces that would give people without substantial wealth the ability to use land for certain purposes which may bring them economic benefit and enrichment. For instance, it is conceivable that a common working area could be established, where individuals may bring their tools and utilize certain space for the period of their presence – on a first-come, first-served basis.

A legitimate question may arise as to how far up and down a right to legitimately acquired land extends. Again, the boundaries of such ownership should be circumscribed by considerations of use, as well as considerations of personal safety. It is reasonable to conclude that one’s owned airspace does not extend 10,000 meters into the air – which would have restricted the ability of airplanes to pass overhead. However, it is also reasonable to conclude that airplanes should be prohibited from flying at 50 meters above a residential area – even if they do not directly damage any property during a particular flight – because the risk of such damage is too great. The precise amount of owned airspace cannot be given a priori through philosophical argument – but use and safety do set some minimum bounds for the owner to rely on, and a rational legal system would work out the implications of these principles for various types of situations and technological possibilities.

Similarly, to what extent could a land owner lay claim to resources underneath the land? Clearly, one owns the land on which one’s house stands, to a depth that is sufficient to ensure that the house would not subside into the earth. However, does a land owner have the right to a mineral deposit 5 kilometers underneath the land? Perhaps so, if extracting the mineral would require transformation at the surface of the land. However, if a vast underground cave network leads to the mineral deposit from an entrance external to the land’s surface – or if such an access route can be created without any risk to the land on the surface (or the health, safety, or comfort of the owner), then does the owner still have a property right to the mineral – particularly if the owner does not intend to do anything with it and lacks the technical skills in any event? This is again a question that can only be addressed fully by considering the technological possibilities at hand, as well as the circumstances of a particular case. The general principles of use and safety would, however, result in the land owner receiving some claim to most underground resources in most real-world situations.

A libertarian system would penalize violations of others’ private property using Murray Rothbard’s “two teeth for a tooth” rule. In other words, a person who has infringed on another’s rights to property owes the victim twice the amount of the economic harm inflicted. A person who steals a television owes the victim two televisions (or the market value thereof). A person who breaks a window owes the cost of replacing two windows. This treatment both fully compensates the victim and punishes the violator by having the violator forfeit an equivalent item to the item of which the rightful owner was unjustly deprived. Monetary compensation may often be an appropriate way to address this when the property damaged could not easily be conceived of as a discrete unit.  It is important for the punishments for violations of property rights to be proportionate and only directed toward true violators. In other words, there are limits to the kind and degree of force that a property owner may wield to protect his property – depending on the circumstances and the nature of the threat. However, deadly force may be used if the property owner has justifiable reason to believe that his life or the lives of others on his property are threatened. When only inanimate property is threatened, incapacitation of the violator should be pursued instead of deadly force.

The great opportunity-promoting effects of a true libertarian system of land ownership would arise from the absence of any zoning laws and building restrictions – or restrictions of any sort on land use that does not pose negative externalities. Even private associations that attempt to foist such restrictions would be limited by law from prohibiting non-coercive, non-damaging uses of unencumbered property, over which the owner would remain sovereign. Thus, the tyranny of zoning and the tyranny of homeowners’ associations would both be absent in a libertarian system. Rapid economic growth and a flowering of individual expression on private property would result. Furthermore, more convenient economic arrangements  would arise – such as the pre-zoning-era practice of a store owner living with his family on the second floor above the store he owns on the first.  A libertarian system of true private land ownership would result in many more “mixed-use” areas arising, where functions of life and business are not artificially segmented from one another, but rather occur together in such a manner as is most convenient to the residents. Travel times to one’s place of employment would be greatly reduced, resulting in immense savings on transportation costs and improvements in personal safety. More rapid construction would occur, as building permits would not be required.

Under a libertarian system along the lines described above, much land currently in the state of nature would be converted to useful purposes, including the construction of residences for people who find the currently available stock of housing to be too expensive. The massive increase in the supply of housing would cause prices to fall to truly affordable levels for most. Furthermore, the freedom to build would result in an increased and accelerating rate of technological and design innovation – since no third party would be permitted to prohibit a structure for employing unusual esthetic elements or a method of construction that differs from what prevails in the area. More generally, esthetic criteria would never justify coercive prohibition of property use in a libertarian system; only physical harm to other persons would. Ultimately, the result of recognizing a genuine, rational regime of property rights would vastly enhance individuals’ standards of living not just through increased material prosperity, but through the improved satisfaction of living as a true master of one’s own sphere of life and activity.

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Free Speech is Vital for Civilization – Video by G. Stolyarov II

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Mr. Stolyarov explains why recent riots in the Middle East and some Western countries should not be allowed to infringe upon the absolutely vital right of free speech – including tasteless and offensive speech – for any individuals. Only by allowing unbridled criticism of political and religious ideas can a society undergo true innovation and transformative changes that raise standards of living across the board.

Mr. Stolyarov also elaborates upon the absolute distinction between the expression of ideas and physical actions that have the potential to harm other people. He explains that an idea per se can be interpreted in many ways and is not a guarantee of any given behavior. Furthermore, he criticizes the “internationalist” school of law, which would subordinate the American First Amendment to a repressive global “consensus” which would limit certain forms of unpopular expression. The pursuit of truth, not consensus, ought to determine which ideas prevail and which are abandoned.

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Against Collectivist Violence in the Middle East – Video by G. Stolyarov II

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Mr. Stolyarov condemns the murderous attacks on U.S. facilities in Libya, Egypt, and Yemen and discusses how the philosophy of collectivism and collective guilt is the motivation for the attacks. These completely unjustified killings should result in the recognition that individuals should only be judged as individuals and only for the deeds that they personally committed, and that guilt by association is unacceptable. Mr. Stolyarov also calls for a non-interventionist foreign policy, for the individual perpetrators of the atrocities to be brought to justice, and for a more general Enlightenment to occur in the Middle East.

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References

-”US envoy killed as Libya mob storms embassy” – Agence France-Presse – September 12, 2012
-”New details emerge of anti-Islam film’s mystery producer” – Moni Basu – CNN- September 13, 2012
- “2012 U.S. diplomatic missions attacks
- “Yemeni protesters storm U.S. embassy compound in Sanaa” – Reuters – Mohammed Ghobari – September 13, 2012
- “Libya arrests four suspected in deadly US Consulate attack in Benghazi” – NBC News – September 13, 2012

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On Indefinite Detention: The Tyranny Continues – Article by Ron Paul

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The New Renaissance Hat
Ron Paul
May 28, 2012
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The bad news from the recent passage of the 2013 National Defense Authorization Act is that Americans can still be arrested on US soil and detained indefinitely without trial. Some of my colleagues would like us to believe that they fixed last year’s infamous Sections 1021 and 1022 of the NDAA, which codified into law the unconstitutional notion that some Americans are not subject to the protections of the Constitution. However, nothing in this year’s bill or amendments to the bill restored those constitutional rights.

Supporters of the one amendment that passed on this matter were hoping no one would notice that it did absolutely nothing. The amendment essentially stated that those entitled to habeas corpus protections are hereby granted habeas corpus protections. Thanks for nothing!

As Steve Vladeck, of American University’s law school, wrote of this amendment:

“[T]he Gohmert Amendment does nothing whatsoever to address the central objections…. [I]t merely provides by statute a remedy that is already available to individuals detained within the United States; and says nothing about the circumstances in which individuals might actually be subject to military detention when arrested within the territory of United States…. Anyone within the United States who was subject to military detention before the FY2013 NDAA would be subject to it afterwards, as well…”

Actually, the amendment in question makes matters worse, as it states that anyone detained on US soil has the right to file a writ of habeas corpus “within 30 days” of arrest. In fact, persons detained on US soil already have the right to file a habeas petition immediately upon arrest!

I co-sponsored an amendment offered by Reps. Adam Smith and  Justin Amash that would have repealed the unconstitutional provisions of last year’s NDAA by eliminating Section 1022 on mandatory military detention and modifying Section 1021 to make it absolutely clear that no one can be apprehended on US soil and held indefinitely without trial or be held subject to a military tribunal. Our language was clear: “No person detained, captured, or arrested in the United States, or a territory or possession of the United States, may be transferred to the custody of the Armed Forces for detention under the Authorization for Use of Military Force, this Act, or the National Defense Authorization Act for Fiscal Year 2013.”

The term “person” is key in our amendment, as our Founders did not make a distinction between citizens and non-citizens when determining who was entitled to Constitutional protections. As the father of the Constitution James Madison wrote, “[I]t does not follow, because aliens are not parties to the Constitution, as citizens are parties to it, that whilst they actually conform to it, they have no right to its protection.”

We should not forget that our Article III court system is a strength not a weakness. The right to face our accuser, the protections against hearsay evidence, the right to a jury trial – these are designed to protect the innocent and to determine and then punish guilt. And they have been quite successful thus far. Currently there are more than 300 individuals who have been tried and convicted of terrorism-related charges serving lengthy terms in US federal prisons. Each of the six individuals tried in US civilian courts for the 1993 bombing of the World Trade Center are serving hundreds of years in prison, for example.

Last week was discouraging and disappointing to those of us who value our Constitution. That the US government asserts the legal authority to pick up Americans within the United States and hold them indefinitely and secretly without a trial should be incredibly disturbing to all of us. Americans should check how their representative voted. Politicians should not be allowed to get away with undermining our liberties in this manner.

Representative Ron Paul (R – TX), MD, is a Republican candidate for U. S. President. See his Congressional webpage and his official campaign website

This article has been released by Dr. Paul into the public domain and may be republished by anyone in any manner.

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Thoughts on James Sterba’s “Liberty and Welfare” – Article by G. Stolyarov II

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The New Renaissance Hat
G. Stolyarov II
April 14, 2012
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In “Liberty and Welfare” (2007), James P. Sterba of the University of Notre Dame makes an argument that a libertarian society, grounded in the principle of classical enlightened egoism, would be consistent with a government-organized system of welfare, or redistribution of wealth from wealthier to poorer members of the society. There are some areas where I am in agreement with Sterba’s premises, and some areas of difference.

Sterba’s argument, essentially, is that enlightened self-interest renders it legitimate for a person to take the property of another in certain “conflict situations” – cases where doing so would save that person’s life (or not doing so would endanger that person’s life).  I acknowledge that there may be cases where it is legitimate to violate the property right of another in order to save one’s life – but only to the extent actually necessary to save one’s life and only if proper compensation is made afterward. For instance, suppose Person X is ejected from a burning airplane onto the vast estate of Person Y, a wealthy landowner with plenty of fruit orchards. Person Y is an absentee landowner, and is not able to give permission, and it would take Person X several days on foot to leave Person Y’s land. In my view, Person X can legitimately eat some of Person Y’s fruit so as to survive his journey. However, the proper course of action after Person X has returned to his normal life would be for him to contact Person Y and ask whether Person Y desires to be compensated for the fruit that was taken. There is, at that point, a likelihood that Person Y would be generous and overlook the incident, recognizing Person X’s need to survive. But, if this does not happen, Person X could offer Person Y a reasonable payment for the fruit. It is unlikely that Person Y would, for instance, turn down a payment that is several times the fruit’s market value.

As the loss of life is irreversible, while loss of many kinds of property can be undone through adequate compensation, in true emergency situations, it may be justified for someone else’s property to be put to use in truly saving an individual’s life. But this can only be carried out if confined to true emergencies, if done with minimal interference, and if adequate reparations are made afterward.

That being said, what I am referring to are true emergency situations – which are, by definition, acute events that subside after the cause of the emergency has passed. An ongoing situation where one person or a group of people appropriate the belongings of others without the consent of those others is not a justifiable position within a truly free society. Sterba’s paper borders on implying that there exists some group right for “the poor” to expropriate “the rich” without regard for the circumstances of specific individuals having either of these designations or for whether individuals called “the poor” could, in fact, manage to survive without such expropriation. If there is a way not to take another’s property without his consent and to still preserve human life, then that is the course of action that should be pursued.

Ultimately, Sterba’s argument leads to the support of some manner of redistributionist welfare system. Such a system may indeed be justified in an unfree or semi-free society, where artificial political privileges result in a non-meritocratic distribution of wealth – and where, for instance, inefficient and customer-unfriendly firms can achieve market dominance or incompetent individuals can come to control vast resources. The overall level of wealth in such societies is lower compared to a libertarian society, and there may be many “worthy poor” in such societies, who are poor for none of their fault and despite earnest efforts at improving their position. Indeed, the United States at present, with its massive levels of involuntary unemployment resulting from an economic bubble inflated by the Federal Reserve, could be considered to exist in such conditions. Thinkers such as Sheldon Richman have argued that, in such situations, welfare systems can be seen as secondary or “band-aid” interventions to mask or mitigate some of the harmful effects of the primary interventions (e.g., corporate subsidies, barriers to entry into markets, and laws that limit innovation and progress). While the secondary interventions bring their own unintended negative consequences, a national government that only practiced the primary interventions (which benefit and enrich a favored and politically connected elite) would be much worse in its effects. The only aspects of the secondary interventions that might be justified are those aspects that would undo some of the harms of the primary interventions and more closely approximate a meritocratic, individualistic, market-driven outcome.

I contrast “band-aid” welfare measures in a mixed economy – which could be justified – with redistribution of wealth by a government in an otherwise libertarian society – which would not be justified. Such redistribution of wealth would infringe on the justly earned property of numerous individuals, simply because they belong to some arbitrarily designated category (e.g., “the rich” – as defined by some artificial threshold). In a libertarian society, occasional emergencies might arise whereby one or a few people might legitimately avail themselves of the property of another, but only if they compensate the owner fairly afterward. But, by definition, such emergency treatment cannot apply across the board and as a systematic, ongoing matter. Furthermore, unlike the emergency treatment I described, a welfare system by definition redistributes wealth from some people to others, and does not compensate the people whose wealth has been redistributed. In a fully libertarian society, where all wealth is acquired based on the principles of merit and consent, such redistribution would be unjustified and harmful. It would, further, be unnecessary, as practically all people would be massively more prosperous than the majority of people are in today’s Western societies.

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Eliminating Most Foreclosures: An Innovative and Just Approach to Mortgage Delinquencies

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Categories: Economics, Justice, Politics, Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

The New Renaissance Hat
G. Stolyarov II
March 25, 2012
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The economic and personal consequences of foreclosure are devastating. Foreclosures leave behind not only blighted neighborhoods, but ruined lives. Furthermore, during the past three years, immense abuses of the foreclosure process have come to light – with numerous banks being found to have improperly foreclosed on thousands of homeowners. The banks have either been unable to produce documentation that demonstrated their right to foreclose – or, worse, have foreclosed on individuals who were never even delinquent or did not have mortgages in the first place (see, for instance, here, here, and here). The violations of due process, private-property rights, and the rule of law have been astounding.

At this point, any solution that can reduce the number of foreclosures will be a welcome benefit to individual liberty, the US economy, and millions of Americans. Indeed, the concept of foreclosure – the expropriation of one’s home – resulting from a few late payments has always struck me as draconian. It disregards one fundamental fact: the homeowner has equity in his or home, even if he or she fails to make a few scheduled payments. So, suppose that a homeowner has a $150,000 outstanding mortgage loan on a home whose market value is $200,000. This means that the homeowner’s equity in the home is $50,000 – or one quarter of the home’s value. If the homeowner fails to make a $1000 hypothetical monthly payment on time, why is the bank entitled to appropriate the entire home and thereby deprive the homeowner of the entire $50,000 in equity? Suppose, as is often the case these days, that the foreclosure proceedings drag on for a year. A 5000% annual rate of interest for that one delinquent payment is quite steep indeed!

While delinquencies ought to be penalized, wholesale expropriation of a home is an unnecessary and disproportionate response in most cases. It would not have been possible on a truly free market, where roughly equal negotiating power would exist between lenders and borrowers. In today’s politicized financial environment, however, the large banks receive all of the privileges: bailouts, loan guarantees, access to “free money” from the Federal Reserve, barriers to entry for smaller competitors, the ability to “securitize” personal loans through means of dubious accountability, the ability to flout laws such as those pertaining to mortgage modifications, and a swiftly operating “revolving door” between bankers and politicians. Thus, homeowners are often left to acquiesce to terms that are far harsher than what they could have gotten for themselves in a truly free market.

A more equitable solution, that recognizes that the real value of the homeowner’s equity, is not to foreclose, but rather to reduce the homeowner’s equity for each delinquent payment. If the homeowner fails to make a scheduled payment, then the bank should be able to recoup its resulting losses – by seizing the portion of the homeowner’s equity corresponding to the amount of the delinquency, perhaps also incorporating an interest charge at the prevailing market rate. Only when all of the homeowner’s equity has been exhausted in this way should the bank have the right to foreclose. In today’s housing market, where many homes are “underwater” (i.e., the mortgage balance exceeds the market price, which has declined precipitously since the days of the housing bubble), this solution would still mean that some foreclosures would occur. But the number of foreclosures would be greatly reduced, and the majority of currently planned foreclosures would never occur. Furthermore, the “underwater” homeowners could still be helped by downward principal modifications that recognize the illusory and unsustainable nature of the inflated market prices that existed during the housing bubble and that were fueled by the expansionary monetary policy of the Federal Reserve. Homeowners should not be made to suffer for the Federal Reserve’s blunders.

Under my proposed approach, the mere involuntary loss of one’s job, or a catastrophic illness, would not put one’s place of shelter in immediate jeopardy. Rather, in the time that it takes for the homeowner’s equity to be exhausted, the homeowner would have the opportunity to attempt to regain his or her employment or health. Furthermore, with fewer foreclosures, the unsightly, wasteful, and dangerous effects of neighborhood blight would be greatly scaled back. A homeowner will still largely maintain his or her residence, even if he or she cannot make a regular mortgage payment. But once a home enters foreclosure, it suffers from deterioration and decrepitude at best – and outright vandalism and destruction at worst.

In rolling back the political privileges of the large banks, it is essential to compensate ordinary, law-abiding, innocent homeowners for the damage that these special privileges have wrought. The benefits of years of hard work and consistent mortgage payments should not be nullified overnight by a single delinquency. Over a year ago, in “Wrongful Foreclosures and the Free Market”, I advocated breaking up the bailed-out banks and declaring a temporary moratorium on foreclosures. Rewriting foreclosure law to require the exhaustion of the homeowner’s equity before a foreclosure can be initiated can be another step to wipe out most foreclosures at the stroke of a pen – while restoring an outcome more compatible with individual liberty, true market freedom, and natural justice.

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