The Role of “We” Versus the Role of “I” (Econlib)
I’m reminded of an MR entry by Tyler Cowen a couple of months ago in which he remarks that the “energetic young talent” in libertarianism now often seems more intent on “projects for building entire new political worlds” — charter cities, blockchain — than on theory, political, economic, etc. (https://marginalrevolution.com/marginalrevolution/2021/04/where-is-non-state-capacity-libertarianism-evolving.html)
I think there’s truth in that. But theory is still needed. It’s what gives us our organizing principles and inspiration.
That’s just the trouble with the bloggers mentioned, and I don’t mean the blog format. It’s the smallish scope of thinking: books on voting behavior, the university education system, immigration and open borders. This sort of thing is fine, but it’s not fundamental theory.
The purist libertarianism (rights absolutism, the “non-aggression axiom”) exemplified by Rand, Nozick, and Rothbard has been a dead end, I think. It is readily grasped, and it has the capacity to inspire, but it isn’t true. And the gradual realization of this has led to its collapse.
This collapse has left us somewhat rudderless. That’s how I feel, anyway. We need a new paradigm. The way to think about society is evolutionarily, or so it seems to me. That points to Hayek. But he had little to say about morals, and libertarianism should provide a moral vision. What is needed is a way to put these two together.
(The best evolutionary theorist of society—that I know of—is Joe Henrich. Both his books, The Secret of Our Success, and The WEIRDest People in the World, are terrific. But of course he’s neither a libertarian nor a moralist.)
This is from David Potts, responding to yours truly in the comments.
I have to think about this a bit more.
- What should we do? The right thing! Jason Brennan, 200-Proof Liberals
- The crusaders were not incompetent zealots after all Ian Garrick-Mason, Spectator
- The end of the secular republic in India and Turkey Yasmeen Serhan, Atlantic
- American sublime Michael Lewis, New Criterion
Paid sick leave is something I want more people to have. Of course it’s a good thing. Sick leave is valuable, but it’s not free so we have to ask it it’s worth it.
Right around the 11:30 mark is a tragic and hilarious line: “Dildos are not essential items. Books for kids, yes, but dildos? … No!” Good for John Oliver noting that deciding what is essential isn’t straight forward–apparently frivolous things might keep people inside and so serve the public health.
This is a classic Austrian point: prices (are supposed to) communicate information about how urgently people want a product. We run into trouble trying to prevent prices from reflecting the underlying economic crappiness of a crisis. Price gouging should be allowed for toilet paper and especially for grocery/Amazon workers. And the price of grocery workers should be passed on to consumers.
What we’ve got now requires each of us to not only ask “am I willing to pay this price?” but also engage in a moral calculus that is hard. I have to ask (as a person striving to be moral) if it’s really worth ordering X, Y, and Z from Amazon. But as a person who has to strive to be moral, it’s entirely too easy to fall for bad rationalizations.
So how do we help these essential-yet-replaceable* workers? Paid sick leave sure sounds good. And given the externalities involved in a pandemic, there’s a strong argument for mandating it.
But it’s worth remembering (particularly as a long run policy) that if we push on one part of a compensation bundle, something’s going to give. If we require employers to provide a company car (or simply encourage company cars through preferential tax laws), we shouldn’t be surprised to see monetary compensation fall. The same logic applies to paid sick leave.
But I’m my own devil’s advocate, so let me make a counter argument. I rarely use my sick days. I think I’ve taken 2 or 3 in the last 6 years. (I’m absolutely reevaluating that position now!) There’s this idea floating around in the back of my head that tells me to just tough it out and keep working. This isn’t because I carefully weighed pros and cons, it’s just received “wisdom” picked up by osmosis from the broader culture.
American culture values work over value. There’s no shortage of bullshit work because we’re in a work-too-hard equilibrium. This is not to say that hard work doesn’t have benefits. I’m happy when ambitious entrepreneurs work “too” hard to provide greater value. But there are a lot of cases where we create work for its own sake (especially in the higher ed racket, but apparently we’re not alone).
Essentially, we’re all playing a coordination game where we choose between “[appear to] work to make things better” and “stay home instead of passing your illness to other people.” Given American work culture, the Schelling focal point is <work, work>.
On the compensation end of things employers have to decide between offering more sick leave or some other compensation (like money). In this end, there is some benefit to zigging where other employers zag. If I’m running the only business to offer paid paternity leave, I get my pick of the best family-oriented workers while my competitors have to outbid each other to get the best of the other workers. But any mid-level HR manager is more likely to play the risk-averse strategy of following “best practices.”
So we’re in an equilibrium that underrates sick leave. We want to be in an equilibrium where it’s just good business sense to offer sick leave during a global pandemic. But coming from our current equilibrium, offering sick leave is a costly decision to privately provide a public good; it’s unlikely to happen unless the culture already promotes it.
I think we can get that equilibrium. I think we’re already moving towards it (ask yourself: would the board of the East India Company be more likely to offer sick leave than Amazon?). But we’re not there yet.
Paid sick leave should be good business sense right now**. But it depends on a culture where such behavior is widespread. I’m not convinced we could flip a switch and get that culture over night. Given that, I’m at least somewhat okay with contradicting my libertarian priors and calling for emergency mandates for paid sick leave. 2020 America isn’t likely to coordinate on the “right” short-term solution and coercion is probably the most efficient*** way to deal with this common pool problem. But outside of a public health emergency we shouldn’t allow top down mandates about the mix of compensation offered in markets (certainly not with the sort of people we elect to be on top).
(A couple rhetorical points: First, John Oliver isn’t speaking the language of those on the right. They won’t even be convinced that the issues he’s talking about are important. I think that’s a shame. Second, this is a tough time to try to argue against paid sick leave. In 2020 America, mandatory paid sick leave is probably required because we’re at the wrong Schelling point. Again, I don’t think conservatives or right-libertarians will find Oliver’s motivations convincing, but I believe that they could be persuaded. But that’s another blog post.)
(Two important counterpoints to the above: first, price increases hurt the poor. The way to solve that is to give charity money to the poor, not to try to make markets communicate information about relative scarcity and act as charity–that’s half-assing twice and it’s bound to be more inefficient than the charity would be costly. Second many people categorized as “essential” aren’t in a position to demand higher wages*. I don’t have an easy solution to this issue. Let’s talk about it in the comments.)
*Which is to say, workers who are in the same position as water in the diamond-water paradox.
**Not to say it would be cheap or easy.
***There you go. Now my friends on the left can accuse me of being a bloodless economist for opposing paid sick leave in general, and my friends on the right can accuse me of being a bloodless economist for supporting
No matter how old, frail or vulnerable it may be, a life isn’t something to take or risk at another’s discretion. Nor does it undermine culpability when someone dies as a result of negligence. The common law ‘eggshell skull’ rule reflects this moral principle.
During the Coronavirus pandemic, some erstwhile defenders of the famous Non-Aggression Principle (NAP) appear to have forgotten that natural rights are conceived to protect life as well as liberty and property. They seem to think that the liberties we ordinarily enjoy have priority over the right to life of others. The environment has changed and, for the time being, many activities that we previously knew to be safe for others are not. They are not part of our set of liberties until a reformed set of rules, norms and habits establishes a sufficiently hygienic public environment. To say that bans on public gatherings violate natural rights a priori is as untenable as G.A. Cohen’s claim that a prohibition on walking onto a train without a valid ticket is a violation of one’s freedom.
The clue for anarcho-capitalist state-sceptics that this is a genuine shift in social priorities is that even organized criminal gangs are willing to enforce social distancing. You do not have to believe that the state itself is legitimate to see that the need for social distancing is sufficiently morally compelling that it can be enforced absent free agreement, just as one does not need free agreement to exercise a right to self-defense.
Not every restriction is going to be justified, although erring on the restrictive side makes sense while uncertainty about the spread of infection persists. Ultimately, restrictions have to balance genuine costs with plausible benefits. But rejecting restrictions on a priori grounds does not cohere with libertarian principles. Right now, our absolute liberties extend to the right to be alone. Everything else must be negotiated under uncertainty. Someone else’s life, even two-weeks or so in the future, is a valid side-constraint on liberty. People can rightfully be made to stay at home if they are fortunate enough to have one. When people have to travel out of necessity, they can be temporarily exempted, compensated or offered an alternative reasonable means of satisfying their immediate needs.
On standard tests of empathy, libertarians score very low. Yet, the world’s “well-known libertarian bias” coupled with many people’s unwarranted pessimism makes us seem like starry-eyed optimists (“how could you possibly believe things will just work themselves out?!”).
Under the Moral Foundations framework developed and popularized by Jonathan Haidt, he and his colleagues analyzed thousands of responses through their YourMorals.org tool. Mostly focused on what distinguishes liberals from conservatives, there are enough self-reported libertarians answering that the questionnaire to draw meaningful conclusions. The results, as presented in TED-talks, podcast interviews and Haidt’s book The Righteous Mind: Why Good People Are Divided by Politics and Religion contains a whole lot of interesting stuff.
First, some Moral Foundations basics: self-reported liberals attach almost all their moral value to two major categories – “fairness” and “care/harm.” Some examples include striving for equal (“fair”) outcomes and concern for those in need. No surprises there.
Conservatives, on the other hand, draw fairly evenly on all five of Haidt’s different moralities, markedly placing weight on the other three foundations as well – Authority (respect tradition and your superiors), Loyalty (stand with your group, family or nation) and Sanctity (revulsion towards disgusting things); liberals largely shun these three, which explains why the major political ideologies in America usually talk past one another.
Interestingly enough, In The Righteous Mind, Haidt discusses experiments where liberals and conservatives were asked to answer the questionnaire as the other would have. Conservatives and moderate liberals could represent the case of the other fairly well, whereas those self-identifying as “very liberal” were the least accurate. Indeed, the
biggest errors in the whole study came when liberals answered the Care and Fairness questions while pretending to be conservatives.
Within the Moral Foundations framework, this makes perfect sense. Conservatives have, in a sense, a wider array of moral senses to draw from – pretending to be liberal merely means downplaying some senses and exaggerating others. For progressives who usually lack any conception of the other values, it’s hard to just invent them:
if your moral matrix encompasses nothing more than Care and Fairness, then to imagine a political opponent is to reverse one’s own position for those foundations – that Conservatives act primarily on other frequencies, on other foundations, wouldn’t even occur to them.
Libertarians, always the odd one out, look like conservatives on the traits most favoured by liberals (Fairness and Care/Harm); and are indistinguishable from liberals on the traits most characteristic of conservatives (Authority, Loyalty, and Sanctity). Not occupying some fuzzy middle-ground between them, but an entirely different beast.
Empathy, being captured by the ‘Care’ foundation, lines up well with political persuasion, argues Yale psychologist Paul Bloom in his Against Empathy: The Case for Rational Compassion. Liberals care the most; conservatives some; and libertarians almost none at all. Liberals are the most empathic; conservatives are somewhat empathic; and libertarians the least empathic of all. No wonder libertarians seem odd or positively callous from the point of view of mainstream American politics.
Compared to others, libertarians are more educated and less religious – even so than liberals. Libertarians have “a relatively cerebral as opposed to emotional cognitive style,” concluded Haidt and co-authors in another study; they are the “most cerebral, most rational, and least emotional,” allowing them more than any others to “have the capacity to reason their way to their ideology.”
Where libertarians really do place their moral worth is on “liberty” (a sixth foundation that Haidt and his colleagues added in later studies). Shocking, I know. Libertarians are, in terms of moral philosophy, the most unidimensional and uncomplicated creatures you can imagine – a well-taught parrot might pass a libertarian Turing test if you teach it enough phrases like “property rights” or “don’t hurt people and don’t take their stuff.”
The low-empathy result accounts for another striking observation to anyone who’s ever attended an even vaguely libertarian event: there are very few women around. As libertarians also tend to be ruthlessly logical and untroubled by differential outcomes along lines of gender or ethnicity – specifically in small, self-selected samples like conferences – they are usually not very bothered by the composition of their group (other than to lament the potential mating opportunities). The head rules, not the heart – or in this case, not even the phallus.
One of the most well-established (and under-appreciated) facts in the scientific community is the male-female divide along Simon Baron-Cohen’s Empathizing-Systemizing scale. The observation here is that males more often have an innate desire to understand entire systems rather than individual components – or the actions or fates of those components: “the variables in a system and how those variables govern the behaviour of that system,” as Haidt put it in a lecture at Cato. Examples include subway maps, strategy games, spreadsheets, or chess (for instance, there has never been a female world champion). Women, stereotypically, are much more inclined to discover, understand, mirror and even validate others’ feelings. Men are more interested in things while women are more concerned with people, I argued in my 2018 Notes post ‘The Factual Basis of Political Opinion’, paraphrasing Jordan Peterson.
The same reason that make men disproportionately interested in engineering – much more so than women – also make men more inclined towards libertarianism. A systemizing brain is more predisposed to libertarian ideology than is the empathizing brain – not to mention the ungoverned structure of free markets, and the bottom-up decentralized solutions offered to widespread societal ills.
Thus, we really shouldn’t be surprised about the lack of women in the libertarian ranks: libertarians are the least empathic bunch, which means that women, being more inclined towards empathy, are probably more appalled by an ideology that so ruthlessly favours predominantly male traits.
As I’ve learned from reading Bloom’s book, empathy – while occasionally laudable and desirable among friends and loved ones – usually drives us towards very poor decisions. It blinds us and biases us to preferring those we already like over those far away or those we cannot see. The “spotlight effect” that empathy provides makes us hone in on the individual event, overlooking the bigger picture or long-term effects. Bloom’s general argument lays out the case for why empathy involves in-group bias and clouds our moral judgements. It makes our actions “innumerate and myopic” and “insensitive to statistical data.” Empathy, writes Bloom:
does poorly in a world where there are many people in need and where the effects of one’s actions are diffuse, often delayed, and difficult to compute, a world in which an act that helps one person in the here and now can lead to greater suffering in the future.
In experiments, truly empathizing with individuals make us, for instance, more likely to move a patient higher on a donation list – even when knowing that some other (objectively-speaking) more-deserving recipient is thereby being moved down. Empathy implores us to save a visible harm, but ignore an even larger (and later) but statistically-disbursed harm.
Perhaps libertarians are the “the least empathic people on earth.” But after reading Bloom’s Against Empathy, I’m not so sure that’s a bad thing. Perhaps – shocker! – what the world needs is a little bit more libertarian values.
It’s been a heck of a year. Thanks for plugging along with Notes On Liberty. Like the world around me, NOL keeps getting better and better. Traffic in 2019 came from all over the place, but the usual suspects didn’t disappoint: the United States, United Kingdom, Canada, India, and Australia (in that order) supplied the most readers, again.
As far as most popular posts, I’ll list the top 10 below, but such a list doesn’t do justice to NOL and the Notewriters’ contribution to the Great Conversation, nor will the list reflect the fact that some of NOL‘s classic pieces from years ago were also popular again.
Nick’s “One weird old tax could slash wealth inequality (NIMBYs, don’t click!)” was in the top ten for most of this year, and his posts on John Rawls, The Joker film, Dominic Cummings, and the UK’s pornographer & puritan coalition are all worth reading again (and again). The Financial Times, RealClearPolicy, 3 Quarks Daily, and RealClearWorld all featured Nick’s stuff throughout 2019.
Joakim had a banner year at NOL, and four of his posts made the top 10. He got love from the left, right, and everything in between this year. “Elite Anxiety: Paul Collier’s ‘Future of Capitalism’” (#9), “In Defense of Not Having a Clue” (#8), and “You’re Not Worth My Time” (#7) all caused havoc on the internet and in coffee shops around the world. Joakim’s piece on Mr Darcy from Pride and Prejudice (#2) broke – no shattered – NOL‘s records. Aside from shattering NOL‘s records, Joakim also had excellent stuff on financial history, Richard Davies, and Nassim Taleb. He is also beginning to bud as a cultural commentator, too, as you can probably tell from his sporadic notes on opinions. Joakim wants a more rational, more internationalist, and more skeptical world to live in. He’s doing everything he can to make that happen. And don’t forget this one: “Economists, Economic History, and Theory.”
Tridivesh had an excellent third year at NOL. His most popular piece was “Italy and the Belt and Road Initiative,” and most of his other notes have been featured on RealClearWorld‘s front page. Tridivesh has also been working with me behind the scenes to unveil a new feature at NOL in 2020, and I couldn’t be more humbled about working with him.
Bill had a slower year here at NOL, as he’s been working in the real world, but he still managed to put out some bangers. “Epistemological anarchism to anarchism” kicked off a Feyerabendian buzz at NOL, and he put together well-argued pieces on psychedelics, abortion, and the alt-right. His short 2017 note on left-libertarianism has quietly become a NOL classic.
Mary had a phenomenal year at NOL, which was capped off with some love from RealClearPolicy for her “Contempt for Capitalism” piece. She kicked off the year with a sharp piece on semiotics in national dialogue, before then producing a four-part essay on bourgeois culture. Mary also savaged privileged hypocrisy and took a cultural tour through the early 20th century. Oh, and she did all this while doing doctoral work at Oxford. I can’t wait to see what she comes up with in 2020.
Aris’ debut year at NOL was phenomenal. Reread “Rawls, Antigone and the tragic irony of norms” and you’ll know what I’m talking about. I am looking forward to Dr Trantidis’ first full year at NOL in 2020.
Rick continues to be my favorite blogger. His pieces on pollution taxes (here and here) stirred up the libertarian faithful, and he is at his Niskanenian best on bullshit jobs and property rights. His notes on Paul Feyerabend, which I hope he’ll continue throughout 2020, were the centerpiece of NOL‘s spontaneity this year.
Vincent only had two posts at NOL in 2019, but boy were they good: “Interwar US inequality data are deeply flawed” and “Not all GDP measurement errors are greater than zero!” Dr Geloso focused most of his time on publishing academic work.
Alexander instituted the “Sunday Poetry” series at NOL this year and I couldn’t be happier about it. I look forward to reading NOL every day, but especially on Sundays now thanks to his new series. Alex also put out the popular essay “Libertarianism and Neoliberalism – A difference that matters?” (#10), which I suspect will one day grow to be a classic. That wasn’t all. Alex was the author of a number of my personal faves at NOL this year, including pieces about the Austro-Hungarian Empire, constructivism in international relations (part 1 and part 2), and some of the more difficult challenges facing diplomacy today.
Edwin ground out a number of posts in 2019 and, true to character, they challenged orthodoxy and widely-held (by libertarians) opinions. He said “no” to military intervention in Venezuela, though not for the reasons you may think, and that free immigration cannot be classified as a right under classical liberalism. He also poured cold water on Hong Kong’s protests and recommended some good reads on various topics (namely, Robert Nozick and The Troubles). Edwin has several essays on liberalism at NOL that are now bona fide classics.
Federico produced a number of longform essays this year, including “Institutions, Machines, and Complex Orders” and “Three Lessons on Institutions and Incentives” (the latter went on to be featured in the Financial Times and led to at least one formal talk on the subject in Buenos Aires). He also contributed to NOL‘s longstanding position as a bulwark against libertarian dogma with “There is no such thing as a sunk cost fallacy.”
Jacques had a number of hits this year, including “Poverty Under Democratic Socialism” and “Mass shootings in perspective.” His notes on the problems with higher education, aka the university system, also garnered plenty of eyeballs.
Michelangelo, Lode, Zak, and Shree were all working on their PhDs this year, so we didn’t hear from them much, if at all. Hopefully, 2020 will give them a bit more freedom to expand their thoughts. Lucas was not able to contribute anything this year either, but I am confident that 2020 will be the year he reenters the public fray.
Mark spent the year promoting his new book (co-authored by Noel Johnson) Persecution & Toleration. Out of this work arose one of the more popular posts at NOL earlier in the year: “The Institutional Foundations of Antisemitism.” Hopefully Mark will have a little less on his plate in 2020, so he can hang out at NOL more often.
Derrill’s “Romance Econometrics” generated buzz in the left-wing econ blogosphere, and his “Watson my mind today” series began to take flight in 2019. Dr Watson is a true teacher, and I am hoping 2020 is the year he can start dedicating more time to the NOL project, first with his “Watson my mind today” series and second with more insights into thinking like an economist.
Kevin’s “Hyperinflation and trust in ancient Rome” (#6) took the internet by storm, and his 2017 posts on paradoxical geniuses and the deleted slavery clause in the US constitution both received renewed and much deserved interest. But it was his “The Myth of the Nazi War Machine” (#1) that catapulted NOL into its best year yet. I have no idea what Kevin will write about in 2020, but I do know that it’ll be great stuff.
Bruno, one of NOL’s most consistent bloggers and one of its two representatives from Brazil, did not disappoint. His “Liberalism in International Relations” did exceptionally well, as did his post on the differences between conservatives, liberals, and libertarians. Bruno also pitched in on Brazilian politics and Christianity as a global and political phenomenon. His postmodernism posts from years past continue to do well.
Andrei, after several years of gentle prodding, finally got on the board at NOL and his thoughts on Foucault and his libertarian temptation late in life (#5) did much better than predicted. I am hoping to get him more involved in 2020. You can do your part by engaging him in the ‘comments’ threads.
Chhay Lin kept us all abreast of the situation in Hong Kong this year. Ash honed in on housing economics, Barry chimed in on EU elections, and Adrián teased us all in January with his “Selective Moral Argumentation.” Hopefully these four can find a way to fire on all cylinders at NOL in 2020, because they have a lot of cool stuff on their minds (including, but not limited to, bitcoin, language, elections in dictatorships, literature, and YIMBYism).
Ethan crushed it this year, with most of his posts ending up on the front page of RealClearPolicy. More importantly, though, was his commitment to the Tocquevillian idea that lawyers are responsible for education in democratic societies. For that, I am grateful, and I hope he can continue the pace he set during the first half of the year. His most popular piece, by the way, was “Spaghetti Monsters and Free Exercise.” Read it again!
I had a good year here, too. My pieces on federation (#3) and American literature (#4) did waaaaaay better than expected, and my nightcaps continue to pick up readers and push the conversation. I launched the “Be Our Guest” feature here at NOL, too, and it has been a mild success.
Thank you, readers, for a great 2019 and I hope you stick around for what’s in store during 2020. It might be good, it might be bad, and it might be ugly, but isn’t that what spontaneous thoughts on a humble creed are all about? Keep leaving comments, too. The conversation can’t move (forward or backward) without your voice.
It is a characteristic feature of Modernity to separate between private morality and public ethics. The first concerns the ethics of principles by virtue of which each individual governs his own sphere of autonomy. Each individual, while not interfering in the interests of third parties, is a legislator, judge, and part of their own moral issues. The law regulates conflicts of interest between individuals, giving legal protection to a certain range of interests and systematically denying it to others (Friedrich Hayek, Law, Legislation and Liberty, Volume I, “Norms and Order”, 1973). For example, in almost all modern legal systems the interest to move and, fundamentally, to leave a territory is protected through the freedom of locomotion. In the meantime, a producer may feel prejudiced by the mere existence of competition and nevertheless he may be denied the right to protection of his monopoly (since a “right” is a legally protected interest). In both cases, questions of principle and questions of social utility are combined.
In most modern systems, the interest to circulate freely is solved more by addressing questions of principles than of social utility – the right to freedom of locomotion is enshrined without addressing arguments about the utility of denying legal protection with respect to another interest. While the problems of protectionism and competition are considered mainly in terms of their social utility, the arguments about whether a certain individual or group of individuals have, as a matter of principle, the right to monopolize an economic activity by the mere fact of belonging to a certain ethnic group, estate, or guild today sounds ridiculous, but not in the past.
The widespread distinction practiced by Max Weber between ethics of conviction and ethics of responsibility continues in force. Individuals, in their private lives, have the right to make decisions following the ethics of conviction, although their principles may be debatable, obsolete, incongruous, and arbitrary. In any case, the consequences will have to weigh on the agents of the decision themselves. On the other hand, the consequences of the decisions of politicians extend to the whole society. The ethics of responsibility becomes relevant here, which, although it may come into conflict with the ethical principles most widely spread among members of society – that is, the current morality – it must address issues related to social utility. This is to say that a substitution of the current morality for welfare economics would be operated.
However, the Weberian notion of ethics responsibility brings with it all the problems of instrumental reason: the means-that is, the resources to be sacrificed-must be proportional to the ends-in this case, the social utility-but remains open to definition what are the values that will define social utility. This is how the question of principles is reintroduced, the discussions about what is right and what is wrong, i.e. morality, in the political sphere. Correlatively, the critiques around the notion of subjective or instrumental reason once formulated by Max Weber are also applicable to the aforementioned welfare economy, so that they retain special validity.