· 6 years ago · Aug 29, 2019, 08:14 PM
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6Introduction
7
8Agorism can be denned simply: it is thought
9and action consistent with freedom. The
10moment one deals with "thinking," "act-
11ing," "consistency," and especially "freedom,"
12things get more and more complex.
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14Hold on to the virtue of consistency. The refusal to
15compromise, to deceive oneself, to "sell out" or to "be
16realistic" created agorism. Consider "being realistic."
17This usually implies that theory is fine for thinking,
18but in practice one must deal with reality. Agorists
19believe that any theory which does not describe
20reality is either useless or a deliberate attempt by
21intellectuals to defraud non-specialists.
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23When someone urges you to be realistic, may
24you pick an agorist book to get the best descrip-
25tion you can find of how agorism actually works.
26If you want to find books and articles that will
27"fake reality" for wishes, whims, fears, and spite,
28look for labels such as "Liberal," "Conservative,"
29"Socialist," "Communist," "Fascist," or — worst of
30all — "middle of the road" and "moderate."
31Reality knows no moderation; it is — all the way.
32One way of thinking came close to agorism
33and is fairly well-known today; we will deal with
34Libertarianism later in some detail. An ideology
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44of Liberty, it had to choose at one point between
45consistency with reality and being the "politics of
46liberty." It chose the latter: the contradiction of
47seeking political power over others to eliminate
48political power over others.
49
50Those who continued to seek liberty consis-
51tently and without the practical contradiction of
52Libertarians became agorists. This is a second,
53historical definition for you.
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55Agorism is an ideology, then, but it is also a sci-
56entific and definitely materialist way of thinking.
57It is not a religious view — save that it believes
58absolute freedom to be moral — nor does it wish
59to displace anyone's religious views — unless they
60lead to slavery. Agorism wants no "true believers"
61in the sense of blind followers. Like any scientifi-
62cally based mode of thought, it will evolve as does
63our understanding of reality. One who has faith
64in something proven false that was once a tenet
65of agorism is not an agorist.
66
67Reality is our standard. Nature is our lawgiver.
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69In a general sense, agorism is scientific in that
70it bases itself on verifiable observations about
71reality. But it is scientific in a specific sense as
72well. It may be hard for chemists, physicists, and
73engineers to believe that a "hard science" was ever
74developed in fields such as economics and political
75science; but the discovery of this science by me —
76a hard-bitten theoretical chemist, cynical of "soft"
77science — led eventually through libertarianism
78to agorism.
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80The study of human action (praxeology)* pro-
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90duced some repeatable observations deserving the
91title of scientific law. The area of human action
92dealing with exchanges between acting humans
93(catallactics)* covers the same area of thought that
94economics is supposed to cover, but often with very
95different conclusions.
96
97This kind of economics (sometimes called Aus-
98trian economics)* was used by speculators such
99as Harry Browne and Doug Casey for investing
100in hard-money instruments, beating taxes, and
101surviving when society around them is operating
102on unreason and folly. It is that potent, a tool for
103survival amidst gloom and doom.
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105However, it can be more. By applying this economic
106understanding to all human action regardless of the
107wishes, whims, fears, and spite of the most powerful
108agency in society — the State (coercive government)
109— a new field of theory dealing only with practical
110action emerges: Counter- Economics.
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112Finally, when libertarian theory meets Counter-
113Economics, what comes out — in strict consistency,
114both external and internal — is Agorism. This is
115still another definition.
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117And this is the definition with which I feel
118most comfortable, the one that the thieves of the
119intellect find hardest to pervert or steal: Agorism
120is the consistent integration of libertarian theory
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124*If this area of study appeals to you, by all means
125go to the source: Human Action by Ludwig Von Mises.
126You'll find all the terms starred herein are derived and
127denned in detail.
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137with counter-economic practice; an agorist is one
138who acts consistently for freedom and in freedom.
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140A basic understanding of agorism falls natu-
141rally into four phases of integration or four steps
142of learning. In addition to grasping the premises
143involved, one should be able to apply them. Re-
144member always that agorism integrates theory
145and practice. Theory without practice is game-
146playing; taken seriously, it leads to withdrawal
147from reality, mysticism, and insanity. Practice
148without theory is robotic; taken seriously, it leads
149to tilling barren soil and showing up for work at
150closed factories. Perhaps it would help to think of
151theory as wedded to practice where divorce leads
152to ruin. Or the relationship could be viewed as
153that between brain and stomach or mind and body:
154neither can survive without the other.
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156So four concepts and four applications lead
157naturally to eight chapters.
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159The author and publisher welcome your ques-
160tions because they will indicate where we can
161clarify and improve subsequent editions.
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173Chapter One
174Economics
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182conomics is a dismal science. Those under-
183~H standing certain economic concepts profit
184^/flamboyantly. Economics is a tool corpo-
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188rations and governments use to control society.
189Those understanding economic concepts have
190toppled governments that refuse to face the very
191same concepts. Economics is a meaningless college
192exercise. Speculators understanding economics
193make millions of dollars and save others from
194financial ruin. Here is our problem: all the above
195statements are true.
196
197If that makes you think there's an inconsistency
198in the use of Economics, you are correct. With a
199lower-case "e," economics is the study of relations
200between people involving goods and services. With
201a capital "E," Economics is an institution financed
202mostly by government and its tax-privileged foun-
203dations. With foundation money, this institution
204controls — however imperfectly — those who
205would learn and teach economics at government
206schools or private colleges.
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208Maybe this appears to be a big deal made out
209of little; after all, is not most of chemistry and
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219astronomy and mathematics also institutional-
220ized? Imagine the case where only "pro- government
221chemistry," "conservative astronomy," or "socialist
222biology" was taught and those who tried to teach
223straight science were vilified as crackpots. Fan-
224tastic? Lysenko's pseudo-biology was taught in
225the Soviet Union because it was more in line with
226Marxist theory than was straight genetics. Cur-
227rently, Man-Made Global Warming is approach-
228ing the status of state-approved climatology, with
229dissenters shouted down, de-funded, smeared as
230apologists for polluters, and even threatened with
231the recision of their academic degrees.
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233Perhaps you will grant that government can use
234its control of schools and colleges to teach a twisted
235version of economics. Could, then, better econom-
236ics be taught if government were improved? The
237answer is, "not a chance!" As you will see in Chap-
238ter Six, if people understood economics, coercive
239government could not survive. (And uncoercive
240government is a contradiction in terms.)
241
242What we wish to accomplish in this chapter is
243simply to give you a basic understanding of real
244economics. No, this is not just to help explain the
245rest of this book; with even an elementary un-
246derstanding of economics, fewer con games can
247defraud you — especially the high stakes, politi-
248cal kind.
249
250Let us start with why people act economically.
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262Value
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264Right down there at the very bottom, we be-
265gin. Human beings act. Why? Ludwig Von
266Mises said it best: to remove felt unease. If you
267were perfectly content, nothing and no one nagging at
268you, and you knew that if you did nothing you could
269continue to be content, would you move? Remember,
270moving from this state would increase unhappiness.
271Of course you wouldn't move. Even if you said you
272would move to relieve boredom, you would be violating
273the hypothesis. You would be more bored by moving
274since that is an increase in unhappiness.
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276Aha! Is that not a contradiction? you rightfully
277ask. Correct. And if an assumption leads to a con-
278tradiction, it is wrong. Our assumption was that
279you could achieve a state of ease; therefore, such
280a human condition is impossible.
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282In reality, man always has reason to feel unease:
283to feed himself, clothe himself, shelter himself,
284reproduce, and feed, shelter, and clothe others,
285amuse himself, and so on. Unease cannot be elimi-
286nated. It can, however, be reduced. It can also,
287unfortunately, be augmented.
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289If you seek to starve yourself or bore yourself,
290you increase your unease. Some actions you per-
291form achieve negative goals; some achieve positive
292ones. Those which remove felt unease are values.
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294If someone else has something that will remove
295your unease but taking it will increase theirs, we
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305have a conflict in values. This conflict in values
306need not arise from direct confrontation. Suppose
307you and another are offered a scrumptious dessert,
308and the other is dieting desperately. You value it;
309the other disvalues it.
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311Value is subjective. This simple insight, made by
312Carl Menger (teacher of Von Mises), revolution-
313ized primitive economics and cured many of the
314problems plaguing the science since Adam Smith.
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316Had Marx heeded Menger, socialism would have
317been abandoned.
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319Subjective value leads to individualism. It also
320explains so powerfully why people trade and
321it demolishes theories of "exploitation". Before
322subjective value, Marx could look at the work of
323Adam Smith — who thought value arose from the
324amount of labor one put into producing something
325— and see no productive role for anyone but labor-
326ers, concluding that all the others must be para-
327sites. There are parasites in our system, economics
328tells us, and we shall use our new understanding
329to ferret them out in the next chapter.
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331Finally, when people trade, they are acting to
332remove felt unease in both directions. You may
333give up a smaller value for a larger but never the
334other way around — voluntarily. If you're willing
335to let your brother work for you and pay him "more
336than he's worth," you know that this means, to
337you, "he's worth extra because he's my brother."
338You've still gained a greater value.
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340If values were not subjective, why would anyone
341trade? We would all value things equally and be
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351content with what we had. Well, not entirely; we
352could also want more of a value. Onward, then, to
353the next powerful economic concept.
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355Marginal Utility
356
357Suppose you, being a shepherd, had ten sheep,
358and a nice woolen coat you laboriously made
359from your eleventh sheep. If someone came along
360and offered you a coat just like it for your tenth
361sheep, you'd tell them to buzz off. Along comes a
362rich shepherd and sees your coat. You tell him
363how you got it and even tell him how to make one.
364He can think of better things to do than to make
365a coat, but he'd like to have one. He'll trade you a
366sheep for a coat.
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368No better off subjectively, you refuse. He offers you
369two and you know you'd be ahead: you can make an-
370other coat and have eleven sheep again. Meanwhile,
371the rich shepherd would rather have 98 sheep and
372a coat than a hundred sheep and no coat.
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374But this example so far is still one of subjective
375value. His final offer is three sheep. Joyfully, you
376accept. As you are leaving, you run into another
377poor shepherd with ten sheep and a coat. (There
378seems to be a lot of this going on.)
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380He offers you coat for sheep and is willing to
381accept two sheep. You're still ahead — eleven
382sheep and the coat! And you don't have to make
383it yourself. Such a deal!
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385Using the wool coat as our medium of exchange,
386we find out something interesting. Sheep are sheep
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396(as far as this example is concerned) yet while you
397traded your eleventh sheep for a coat and would
398not have traded your tenth, you did trade both
399your twelfth and thirteenth sheep for a coat. This
400principle where you value each additional unit
401less and less is called marginal utility. (You are
402operating at the margin and "utility" is an older
403word for value.)
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405All sheep (and dollars) are not alike; marginal
406ones are cheaper. Besides giving us an idea which
407can handle more in economics, and also help us
408to spot frauds such as tax redistribution (see next
409chapter), marginal utility leads directly to the
410next concept.
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412Division of Labor
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414O ubjective value may lead us to think we would
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418O'prefer producing some goods rather than oth-
419ers, or transporting them, trading them, serving
420them, or storing them. Yet it is marginal utility
421which tells us why this specialization works. If I
422produce ten cooked hamburgers an hour and you
423produce twelve, and we happen to eat the same, it
424is obvious who has more surplus to trade and will
425be eager to do so. I should check out other lines of
426productivity or move to a less desirable (at least
427to you) location where I can compete.
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429This process, where we are led to specialize by
430greater productivity and greater reward (value-
431seeking), is called division of labor. Von Mises
432speculated that it was the glue holding society
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443together; and if you think of society as bigger than
444a nuclear or extended family, he is right.
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446If Jane sings beautifully, and we do not, division
447of labor is why I'm writing this book, eating your
448hamburgers, and we're listening to Jane on the radio.
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450Basics
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452ith such basic ideas as those about trade,
453exchange, goods and services that you
454(hopefully) already brought with you to this dis-
455cussion, added on to the concepts of subjective
456value, marginal utility, and division of labor, you
457are properly armed for understanding agorism.
458There is far more to economics and still more being
459discovered and written about by the (all too few)
460right kind of economists.
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462Before moving on, there is one economic spe-
463cialty that deserves some extra attention. Since
464it is so much on everyone's minds, you probably
465guessed that it is money.
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467Money
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469oney is heavily mystified and it's not hard
470to see why. "A fool and his money are soon
471parted" is a truism nearly as old as money itself.
472If you can be confused as to what money is or how
473it works, you can be parted from it by those who
474know what money is.
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476Remember our sheep example? We called the
477wool coat a medium of exchange to show the dif-
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489ferent values of a sheep. But if we had many
490wool coats and one sheep being traded back and
491forth, we could use the same example to show the
492marginal utility of the eleventh coat (or whatever
493number happened to work) and the use of sheep
494as a medium of exchange.
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496Straight trade of goods for goods — barter — is
497crude, and problems related to making change are
498difficult to solve. Sheep die and wool coats wear
499out; they do not store value well. And — since value
500is subjective — changes in your needs, tastes, and
501circumstances alter your values anyway. Nothing
502can store a changing quantity or, as math majors
503would say, fix a variable.
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505What we would like is something that makes
506change, stores its value, and is universally accept-
507able (everyone wants it all the time). To be blunt,
508there is no such thing and never will be, though
509all bank directors, congressmen, and commissars
510might decree otherwise. Subjective value assures
511us of that.
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513But suppose some substance could be divided
514down to its atoms without changing, be more resis-
515tant to wear and corrosion than almost anything
516else, be easily recognized and easily checked as
517to purity, and be valued already by a lot of people
518for its usefulness and good looks. Suppose further
519that it "did it better" than anything else offered
520in competition?
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522Would not most people flock to it and make it
523money? No laws would need be passed or institu-
524tions founded or advertising campaigns conducted
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534to make it so. Nature would take care of it. Second,
535third, and fourth choices might be used, but the
536first would be the standard by which the others
537were measured.
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539Such a substance has been known for millennia.
540Gold, and its close chemical relatives platinum,
541silver, and copper, remains the choice of a free
542market. Even in an unfree market, where money
543is imposed by force against the will of traders (that
544is, by fiat), gold remains the money of the "under-
545ground economy" and of the "overseas economy"
546working around the fiat money.
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548Why fiat money exists at all and what it has to
549do with inflation is an important topic in our next
550chapter.
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552Value-Free Economics
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554(Oo far we have avoided loaded terms such as
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5580>"free market," "competitive economy," "free
559trade," "fair trade," and so on. The Austrian
560economists (Menger, von Mises, Eugen von Bohm-
561Bawerk and their students) believed economics
562should be a science free of such terms, a "value-
563free" (wertfrei) science.
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565Science has values; try to engage in research
566without a commitment to truth or an affinity for
567reality. Many people hold values that are impos-
568sible to achieve in reality and are frustrated —
569they hurt themselves. Many people seek to gain
570values by misrepresenting reality to others; when
571they are challenged, they accuse the exposers of
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582holding different, competing values. Thus "value-
583free scientists" — including economists — find they
584cannot remain forever neutral in their ivory towers.
585
586To the extent, though, that they try by keeping
587their own subjective values out of the way, they do
588accomplish much. The scientific method works. And
589being able to tell people that stealing from everyone
590and then giving it back to them will make them
591less well off is useful, not matter how unpopular.
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593This is where the application of economics enters.
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605Chapter Two
606Applied Economics
607
608Agorism is more than economics, but agorist
609thinking is impossible without that basic
610understanding. Just applying the basic
611economics we have learned so far can sweep
612away a lot of misconceptions and eliminate a lot
613of confusion about how the world works. We also
614can deal with some of the misleading con jobs of
615Economics — however, explaining why Econom-
616ics is so twisted will have to wait until we apply
617libertarianism later.
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619The Free Market
620
621Agorism upholds the free market. To under-
622stand why, one first needs to know what
623the free market is and what its alternatives are.
624Again, why is left for later. The term "agorism"
625is derived from the ancient Greek word agora,
626meaning an open market place.
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628The market is not a single place or center. Goods
629and services are exchanged at the corner store, on
630the stock exchange, at a swap meet, in your back-
631yard, or across the Internet. Playing a game with
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641a friend is not a market transaction, but foregoing
642the time that each of you could spend on working
643or buying or selling is a market transaction.
644
645All social interaction has a market component.
646Economics may be far more pervasive than we
647thought. It is difficult to imagine how we could
648have a free society — should we wish it — without
649a free market. Perhaps we should be clear with
650reference to what we mean by "free."
651
652Free means the absence of coercion. Coercion
653is threatening violence upon someone in order
654to make him surrender something. In a strictly
655value-free sense, then, coercive human action of-
656fers to create a greater disvalue to you if you do
657not yield up your lesser value. You gain nothing
658but lose less.
659
660Repeated application of coercion destroys val-
661ues. The coercer gains without producing anything
662of value and the victim always loses. Voluntary
663exchange, as we have seen, occurs when both feel
664a gain in subjective value. Unease is relieved in
665both directions. In coercive transactions, unease
666is increased.
667
668Retrieving your goods from the coercer with
669the threat of greater force and enough extra for
670your time and trouble at least wipes out your loss,
671although it leaves the original coercer with a net
672loss. At this point, he may finally become aware
673of the value destruction of coercion. Or he may
674simply decide he needs still greater force. (The
675biggest force of all in an area is usually the State,
676but we'll come to that later.)
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686Strictly speaking, the free market is the absence
687of all that coercion. If there were only a few "pri-
688vate thieves" and they were usually apprehended
689and forced to make restitution, something very
690close to a free market would exist. People would
691have locks, fences, alarms, and insurance policies
692and protection-agent policies, but would act oth-
693erwise on the assumption that they were free to
694give up their property to those of their choice and
695accept from others who gave freely to them. They
696could not plan on people changing their minds,
697but they could make contracts (exchanging a good
698here and now for one to be given later) so that if
699others changed their minds, some compensation
700would result.
701
702Planning and Chaos
703
704It quickly becomes clear that planning is far more
705practical in a free market than in a coerced mar-
706ket. If coercion becomes regular and predictable,
707innovative people find ways around it and soon
708enough join forces to evade the coercive regula-
709tions, frustrating and/or starving the coercer. (See
710the next chapter.)
711
712So new forms of coercion must be brought in
713and economic planning is disrupted once again.
714
715Some argue that a free market is Chaos; they
716see no one giving orders and so think that there
717is no order. In reality, a completely free market
718is a highly decentralized order. Each "cog" in the
719great machine keeps itself well-oiled and seeks
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729to mesh itself with the other cogs in ever-better
730fits. An even better example is the human body.
731While the brain has some overall direction, it can-
732not instruct various cells to go about their ways
733delivering blood and building tissue and contract-
734ing muscle and transmitting energy. A disease or
735parasite may "direct" some cells to a common task
736— but this results in disruption of the natural or-
737der. Even without a "foreign invader," if the brain
738could force some cells to act other than naturally,
739the entire body would suffer by this imposed order
740and the body could die.
741
742The fallacy in "planned economics" is the error
743of assuming that order is imposed. Scientists are
744aware that order is something you look for in na-
745ture — it's already there.
746
747Economics tells us that attempts to impose order
748by coercion are destructive and chaotic, yet "economic
749planning" of the imposing kind is common to nearly
750all schools of Economics. We begin to see where the
751gap between economics and Economics lies.
752
753Competition and Monopoly
754
755It's nice if more than one person offers to trade
756the same thing with you. You usually can get a
757better deal. When more than one seller offers identi-
758cal goods, and when more than one buyer offers to
759acquire the same goods, pure competition exists.
760
761If only one buyer or seller is available, the buyer
762or seller is said to have a monopoly .
763
764Competition is always good in the sense that it
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774maximizes value exchanges. Although it would
775take more theory to prove this, most people have
776had enough experience to accept the foregoing as
777a factual statement.
778
779Surely not all monopoly is bad? If we banned all
780monopoly, then Leonardo da Vinci would have had
781to give up painting what only he can paint. And the
782Beatles would have had to stop composing what
783only they can compose. In fact, since a little bit of
784"artistry" distinguishes all goods, pure competition
785is impossible. There are no identical products.
786
787Yet, for your subjective purposes, you can see
788no difference worth paying for among all sorts of
789goods. And they do not have to be all that similar.
790With fifteen dollars you might decide to buy a book
791you wished to spend the evening with. Finding
792the book sold, you consider a movie instead. The
793lines are too long, so you buy a six pack instead
794and go home.
795
796Someone else would have different goods com-
797peting for that fifteen dollars, even if he had
798started out trying to buy that same book.
799
800If I told you at this point that some Economists
801defined a "free market" as a "perfectly competitive"
802market, you might wonder when they lost their
803senses. After all, if people want to produce different
804things (remember division of labor), and are more
805productive doing so, you will not get "perfect com-
806petition" in the free market. You will have lots of
807competition by giving each human actor maximum
808freedom to explore his values and find alternatives.
809
810Now if I tell you that these Economists say that
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822if a market is not "perfectly competitive," force
823should be used to make it so. You probably are
824beginning to wonder if I have not lost my senses.
825Whatever these Economists are after, it is not
826a free market. Nor will they generate any gains
827since values are always net-destroyed by coercion.
828
829Adam Smith defined monopoly as a grant of
830exclusive trading by the king. It was a royal privi-
831lege; that is, the State coerced some people not to
832produce goods when the king's friend was already
833doing so. Breaking up these forced monopolies was
834an issue for freedom-lovers and rightfully so.
835
836The problems arose when people stopped think-
837ing clearly — or had their thoughts muddled by
838Economists. Monopoly became bad, not because it
839was coercive, but because it was not competitive.
840Clear thinking and consistency lead us easily to
841realize that the opposite of forced monopoly and
842of forced competition is natural monopoly and free
843competition. The correct opposition is the coerced
844market vs. the free market.
845
846
847
848ne problem with monopoly we seemed to have
849
850
851
852\JJ overlooked: do not the "big get bigger" and the
853"small get driven out" even if the market is left
854alone? The answer is obvious empirically: histori-
855cally, it has never happened. There is extensive
856literature by the better sort of economists on
857many historical examples where businesses were
858accused of forming "trusts" — that is, attempting
859
860
861
862Cartels
863
864
865
866
86729
868
869
870
871Samuel Edward Konkin III — An Agorist Primer
872
873to monopolize one industry through cartels.
874
875Most cases, when State trustbusters were
876brought in to "break up" a large company, proved
877to have been instigated by smaller companies
878against a more efficient competitor.
879
880Cartels, as Dr. Murray Rothbard has beauti-
881fully shown, tend to break up from market forces.
882The most efficient cartel member can outsell his
883fellow members and has a tremendous incentive
884to "cheat" on the cartel agreement. He can "steal"
885the customers from his fellow members and soon
886does, "under the table." Upon discovery, his fellow
887cartel members fight back by cutting prices and
888the cartel disintegrates.
889
890In a coerced market, however, the cartel will
891run to someone to force compliance with the cartel.
892That someone is, in any realistic unfree market,
893the State. And once again we are back to the forced
894or State monopoly.
895
896Profit and Enterprise
897
898Sometimes the terms "free enterprise" and "capi-
899talism" are used to mean "free market."
900Capitalism means the ideology (ism) of capital or
901capitalists. Before Marx came along, the pure free-
902marketeer Thomas Hodgskin had already used the
903term capitalism as a pejorative; capitalists were trying
904to use coercion — the State — to restrict the market.
905Capitalism, then, does not describe a free market but
906a form of statism (see Chapter Five), like communism.
907Free enterprise can only exist in a free market
908
909
910
91130
912
913
914
915Samuel Edward Konkin III — An Agorist Primer
916
917and is an acceptable synonym, yet while the term
918market covers all human transactions, enterprise
919seems limited to certain types of business. And
920what about profit! Is it the result of "exploitation,"
921enterprise, hard work, or something else?
922
923Applying economic knowledge here resolves the
924problem clearly but it will take a little effort to
925follow through. According to (Austrian) econom-
926ics, there are three productive functions in the
927marketplace: Labor, capital, and entrepreneur-
928ship. In the simplest, primitive economy, capital
929consists of tools, food you have stored to keep you
930going until your harvest comes in or you can sell
931the shoes you made, and storefronts or wagons to
932take your goods to market. Labor is the work you
933put into farming or shoemaking or whatever.
934
935Entrepreneurship is direction, the reins of the
936operation, deciding where to invest the capital
937and which and how many workers to hire. As the
938market progresses to greater wealth and complex-
939ity, we can see that the important components
940of entrepreneurship are risk-taking and innova-
941tion. Speculators, inventors, and artists (without
942patrons) are the best-known, fairly "pure" entre-
943preneurs. They take risks, create (1) a product
944that did not exist before, which turns out to have
945a demand; (2) a better product to replace one that
946existed before, winning away the demand; (3) a
947cheaper method of producing or marketing the
948same product, again winning away the demand.
949
950The gain resulting from pure entrepreneurship
951is profit. It is not the everyday return on investment
952
953
954
95531
956
957
958
959Samuel Edward Konkin III — An Agorist Primer
960
961that a businessman counts over his expenses and
962takes home.
963
964Windfall profits occur when there is a sudden
965change in market conditions, such as weather
966wiping out crops or producing bumper harvests,
967mineral and oil strikes suddenly coming onto the
968market or — when the market is not free — sud-
969den government interference in the marketplace.
970Those who make the most effort to anticipate the
971unexpected tend to make the most profits.
972
973Taking risks also means one can introduce prod-
974ucts no one wants, invent devices that are laughed
975away, and create artsy trash. Such creations incur
976negative profit (loss) and, alas, this is at least as
977common, historically, as profit.
978
979Nonetheless, without entrepreneurship — en-
980terprise — the economy would stagnate as people
981continue investing the same capital in the same
982way, over and over, and workers continue at the
983same jobs. When skilled laborers begin to die
984out and capital runs out of components, such as
985minerals at mines or new forests for timber, the
986economy would regress and collapse.
987
988Everyone is part laborer, pan capitalist, and
989part entrepreneur, but by division of labor we
990tend to specialize. There is nothing to prevent us
991from all being wealthy (some day, at any rate)
992and using our money (as James Garner put it so
993well in the film The Wheeler Dealers) as a way of
994keeping score in capital investment. And capital,
995in the form of ever-more-intelligent computers,
996can reduce labor to a vestigial activity (as neces-
997
998
999
100032
1001
1002
1003
1004Samuel Edward Konkin III — An Agorist Primer
1005
1006sary as the human appendix). Entrepreneurship,
1007on the other hand, is increased, not decreased,
1008by a progressive market. As our society becomes
1009more complex and more wealthy, more people will
1010specialize in entrepreneurial activity and more
1011people must be free to do so.
1012
1013Entrepreneurship cannot be forced. When bu-
1014reaucrats "plan," they spend their time finding
1015ways of covering their posteriors and pass the
1016losses on to the taxpayers. They fear replacement
1017and since they reap little or no reward for success,
1018they become timid about actually taking risks, and
1019spend their time creating red tape entanglements
1020designed to stymie innovation.
1021
1022Regulation
1023
1024f TT %ere is nothing positive to say about regula-
1025JL tion. Regulation is coercion. It prevents subjec-
1026tive values from being satisfied, "protecting" only
1027those who do not wish to be protected and penal-
1028izing only the law-abiding. Regulation destroys
1029initiative and stifles innovation. Regulation stag-
1030nates markets. Regulation can and does kill people
1031when the regulators deny victims the right to take
1032a chance with so-called risky medication.
1033
1034Regulation is motivated by fear, envy, and colos-
1035sal ignorance. There is nothing that can protect
1036innocent people more than a thorough education
1037and a vigorous pursuit of fraud; yet regulation of
1038advertising and experimentation destroys infor-
1039mation transfer and regulation of quality merely
1040
1041
1042
104333
1044
1045
1046
1047Samuel Edward Konkin III — An Agorist Primer
1048
1049certifies incompetent "professionals" and protects
1050them from fraud charges.
1051
1052If all the regulation passed in any country you
1053wish to name were completely obeyed, let alone
1054enforced, we would all be dead.
1055
1056Consider a particularly pathological case in the
1057United States of America. If you charge a price for
1058your product higher than your competitors, this is
1059taken as evidence under the Sherman Anti-Trust
1060Act that you have a monopoly and charges may be
1061brought against you. The same problem arises if
1062you charge the same; that is considered evidence
1063of a cartel and you and your competitors can all be
1064fined. Finally, if you charge less than your com-
1065petitors, you are violating the "Fair Trade" laws
1066in most states and can be arrested and fined. It is
1067impossible to obey all the regulations.
1068
1069
1070
1071Taxation
1072
1073r ][ %ere is a serious moral question about taxa-
1074X. tion that we will leave for later. Let it suffice
1075now to recognize that taxation takes something
1076from someone against his or her will and is a vio-
1077lation of his or her subjective values. Any specific
1078form of taxation directs resources counter-entre-
1079preneurially. In short, taxation has no place in a
1080free market.
1081
1082
1083
108434
1085
1086
1087
1088Samuel Edward Konkin III — An Agorist Primer
1089
1090
1091
1092Interest
1093
1094
1095
1096T
1097
1098
1099
1100^here are three very closely related concepts
1101in economics, and they have to do with capital,
1102land, and money. It is often said that capital earns
1103a rate of return on investment (remember, only
1104entrepreneurs make profits), land earns rent, and
1105money earns interest. With an efficient medium of
1106exchange, an entrepreneur will quickly shift from
1107capital goods of one type to another if the rate of
1108return is higher in one sector of the market than
1109the other. Land is a fixed form of capital, and — if
1110we are in a free market — we should expect rent to
1111come to equal the rate of return as in other invest-
1112ments — assuming no risks (where profit would
1113be added or subtracted). And so it is with interest.
1114
1115Originary interest is what money earns if you lend
1116it out to an entrepreneur risk-free. Should you ac-
1117cept risk yourself, you may add on a risk component,
1118a form of profit. At the same level of risk, in a highly
1119developed market, interest rates should stabilize
1120and slowly decrease — as wealth increases.
1121
1122Only if something becomes powerful enough
1123— coercive enough — to monopolize (by force) all
1124the media of exchange (or money supply) and then
1125increase it so that the value of each unit declines,
1126will another component appear to increase the
1127interest rate (regardless of risk). Conceivably it
1128could decrease the money supply so that the value
1129would be expected to increase and interest to be
1130
1131
1132
113335
1134
1135
1136
1137Samuel Edward Konkin III — An Agorist Primer
1138
1139discounted. In an extreme case, this inflationary
1140component could drive interest rates to zero or
1141negative — that is, someone pays you to take his
1142money and give it back to him later. Deflation is
1143rare, as there is very little incentive for controllers
1144of the money supply to deflate.
1145
1146Inflation
1147
1148"TT Tnderstanding how inflation works and what
1149
1150
1151
1152U to do about it made the fortunes of the "gold
1153bugs" and investment analysts mentioned earlier.
1154While there is considerable fog and confusion
1155thrown around this subject, inflation is simple
1156enough to understand if you follow our step-by-
1157step logic and (always!) watch for inconsistencies.
1158
1159From Chapter One we know what money is.
1160Free-market money could be affected by, say, a gold
1161strike or, if for some reason the gold was all kept in
1162a "Fort Knox," by James Bond's Goldfinger nuking
1163it. Even then, there would be a brief dip or jump
1164in the "price of gold" (the price of money is simply
1165the inverse of the prices of everything bought with
1166it), and stability would resume at the new level. In
1167a worldwide market, the effect — even of nuking
1168Fort Knox — would be barely noticeable.
1169
1170Inflation is the increase of the money supply. In-
1171flation results only when the most powerful force
1172in society — the State — commands a monopolistic
1173fiat money system, creates legal tender laws (legal
1174tender compels the monopoly, contracts are not up-
1175held in other "tender" or money), and — with army
1176
1177
1178
1179
118036
1181
1182
1183
1184Samuel Edward Konkin III — An Agorist Primer
1185
1186and police to back it up — debases a form of money
1187that was acceptable in the marketplace.
1188
1189States that have imposed fiat money from
1190scratch (such as in newly emerging Third World
1191countries) find their money rapidly rejected in fa-
1192vor of foreign currency and gold. The usual route
1193to inflation takes four steps: 1) Replacement of
1194money by certificates for the money. A weight of
1195gold or silver is replaced by a certificate claiming
1196an ounce of gold or pound of silver in some pre-
1197cious metal warehouse or "bank." 2) Legal defini-
1198tion of possession of the certificate as equivalent
1199to possessing the wealth. (The government gets
1200into the act.) 3) Restriction of all exchanges (save
1201primitive bartering) to the legal certificates; this is
1202the creation of legal tender. 4) Issuing certificates
1203without money to back them up. At this point we
1204have fiat money and inflation.
1205
1206Inflation leads to crack-up booms (German in
12071923) and depressions (U.S. in 1929). This analy-
1208sis is a bit more complicated and is best left to the
1209more cataclysmic scenarios we'll present near the
1210end of the book.
1211
1212Oh, and as you probably guessed, one result
1213of inflation is a general rise in price level. Notice
1214that some prices rise faster than others, and some
1215even seem to drop. Only the distortion is common
1216to all price changes.
1217
1218
1219
122037
1221
1222
1223
1224Samuel Edward Konkin III — An Agorist Primer
1225
1226
1227
1228A Little Knowledge
1229
1230If you have mastered the first two chapters, con-
1231gratulations! You will quickly discover two
1232things by simply reading your daily newspaper
1233or news blog or shooting the breeze with your
1234acquaintances.
1235
1236First, you will discover the appalling level of
1237ignorance with which most of society is afflicted.
1238Be careful — some people get very irritable when
1239challenged by someone who knows what he is
1240talking about. A knowledgeable person might be
1241tempted to use his knowledge to bilk the ignorant.
1242Many people with only a little knowledge do just
1243that. However, there are moral ways to profit by
1244your understanding and, by all means, go to it.
1245
1246Second, you will discover that the appalling
1247web of Statism is controlling — or attempting to
1248control — nearly every aspect of human action.
1249You will probably feel smothered and that is not
1250surprising. You may also feel like giving up and
1251giving in — but survival alone dictates otherwise.
1252
1253Survival — let alone prosperity — demands
1254that you tear through the web of legislation and
1255follow nature's laws instead. You must abandon
1256Economics to the regulators and the political
1257"businessmen" who play ball with them. You are
1258left with the alternative: stifle yourself and starve
1259or embrace Counter-Economics.
1260
1261
1262
126338
1264
1265
1266
1267Samuel Edward Konkin III — An Agorist Primer
1268
1269
1270
1271Chapter Three
1272Counter-Economics
1273
1274e see that nearly every action is regu-
1275lated, taxed, prohibited, or subsidized.
1276Much of this Statism — for it is only
1277the State that wields such power — is so contradic-
1278tory that little ever gets done. If you cannot obey the
1279(State's) laws and charge less than, more than, or
1280the same as your competitor, what do you do? You go
1281out of business or you break the law. Suppose paying
1282your taxes would drive you out of business? You go
1283out of business — or you break the law.
1284
1285Government laws have no intrinsic relationship with
1286right and wrong or good and evil. Historically, most
1287people knew that the royal edicts were for the king's
1288good, not theirs. People went along with the king be-
1289cause the alternative looked worse. This line of thinking
1290leads to Chapter Five, so we'll just note here that even
1291today, society recognizes the conscientious objector.
1292the religious dissenter to laws that his deity forbids
1293him to obey, the man or woman who follows the Law
1294of God or Nature against the monopoly of force in
1295society. Since they would rather die than submit, a
1296society which restrains its government from heavy
1297repression will exempt many objectors.
1298
1299
1300
1301
130239
1303
1304
1305
1306Samuel Edward Konkin III — An Agorist Primer
1307
1308
1309
1310But everyone is a resister to the extent that he
1311survives in a society where laws control everything
1312and give contradictory orders. All (non-coercive)
1313human action committed in defiance of the State
1314constitutes the Counter-Economy. (For ease of later
1315analysis, we exclude murder and theft, which
1316are done with the disapproval of the State. Since
1317taxation and war encompass nearly all cases of
1318theft and murder, the few independent acts really
1319should be classified as other forms of statism.)
1320Since anything the State does not licence or ap-
1321prove of is forbidden or prohibited, there are no
1322third possibilities.
1323
1324A Counter-Economist is (1) anyone practicing
1325a counter-economic act; (2) one who studies such
1326acts. Counter-Economics is the (1) practice (2)
1327study of counter-economic acts.
1328
1329
1330
1331The Size of the Counter-Economy
1332
1333
1334
1335T
1336
1337
1338
1339^he Counter-Economy is vast. Our brief study
1340of economics tells us that this should be no
1341surprise. The more controls and taxation a State
1342imposes on its people, the more they will evade
1343and defy them. Since the United States is one of
1344the less (officially) controlled countries, and the
1345Counter- Economy here is fairly large, the global
1346Counter-Economy should be expected to be even
1347larger — and it is.
1348
1349U.S. government estimates of the size of just
1350the tax-dodging part of the Counter-Economy
1351is twenty to forty million of the population. The
1352
1353
1354
135540
1356
1357
1358
1359Samuel Edward Konkin III — An Agorist Primer
1360
1361Western European Counter-Economy is larger; in
1362Italy, much of the civil service sits in government
1363offices during the early part of the day and then
1364moonlights at private jobs and business in the
1365afternoon and evening.
1366
1367Communism collapsed in no small part due to
1368the Counter-Economy. Nearly everything was
1369available in the Counter-Economy with only
1370shoddy goods and shortages in the official social-
1371ist economy. The Soviets called Counter-Economic
1372goods "left-hand" or nalevo and entire manufac-
1373turing assembly lines co-existed nalevo with the
1374desultory State industry ones, on the same factory
1375floor. Counter- Economic "capitalists" sold shares
1376in their companies and vacationed in Black Sea
1377resorts. Managers of collective farms who needed
1378a tractor replaced in a hurry look to the Counter-
1379Economy rather than see their kolkhoz collapse
1380awaiting a State tractor delivery. Currently, the
1381Russian government seeks to reestablish State
1382control of the economy by granting monopolies
1383to cronies and imprisoning recalcitrant corporate
1384executives. As with Communism, this flirtation with
1385Fascism is just as doomed to failure.
1386
1387Nothing works in "right-hand" communism;
1388everything works in the left-hand free market.
1389
1390From "black" market apartments in the Neth-
1391erlands to "black" housing in Argentina, the
1392Counter- Economy is well known to the people
1393of the world as the place to get things otherwise
1394unobtainable — or keep things one has earned.
1395Inflation breeds flight from fiat money; exchange
1396
1397
1398
139941
1400
1401
1402
1403Samuel Edward Konkin III — An Agorist Primer
1404
1405controls have created dual exchange rates in
1406nearly every country on the globe. Whatever the
1407number of local currency units a tourist can get
1408for his dollars at the official exchange rate, he or
1409she can get more on the black market.
1410
1411Smuggling is so commonplace that nearly all
1412tourists slip purchases past customs agents with-
1413out thinking. Perhaps 20%-30% of Americans fail
1414to report taxable income (actually nearly 100% fail
1415to report at least some); but, in Latin American
1416countries, close to 80% goes uncollected and the
1417State supports itself by ever-greater inflation of
1418the fiat money supply.
1419
1420The border between Hong Kong and Communist
1421China and even the ocean straits between Taiwan
1422and the mainland bustle with illegal trade. West-
1423ern DVDs and jeans were once illegally available
1424in most provinces of China — now they're manu-
1425facturing them there!
1426
1427Saigon, renamed Ho Chi Minh City, remains
1428the black market center of Vietnam. Even more
1429telling, it produces most of the goods and services
1430of all Vietnam. Myanmar's (Burma's) rigidly con-
1431trolled official economy, according to the Manches-
1432ter Guardian, is nothing but paper and the entire
1433market has gone black.
1434
1435Under the noses of American forces, Afghani tribes
1436grow, process, and ship heroin by the metric tonne.
1437
1438Tax evasion, inflation avoidance, smuggling,
1439free production, and illegal distribution still com-
1440pose only half the Counter- Economy. Labor flows
1441as freely as capital, as hordes of "illegal aliens"
1442
1443
1444
144542
1446
1447
1448
1449Samuel Edward Konkin III — An Agorist Primer
1450
1451pour across borders from more-statist to less-
1452statist economic regions.
1453
1454Consciousness-altering substances and even
1455unproven medicines such as dichloroacetate and
1456Laetrile make up a well-known but small frac-
1457tion of the Counter- Economy. Drugs are grown
1458on huge plantations, refined in scores of factories
1459and laboratories, distributed by fleets of boats,
1460planes, trucks and cars, and sold to customers by
1461regiments of wholesalers and armies of street dealers.
1462
1463The State's imposition of some people's moral
1464codes on others leads to Bible smuggling in atheist
1465States and pornography publishing in conserva-
1466tive religious States. The "world's oldest profes-
1467sion," as sexual prostitution has been titled, is
1468also — if that title is true — the world's oldest
1469counter-economic industry.
1470
1471Feminists seeking control of their own bodies
1472look to the Counter-Economy to obtain contracep-
1473tives and find midwives to deliver babies their way
1474in the Counter- Economy.
1475
1476Nobody works at anything anywhere which is
1477not connected with Counter-Economics. Those
1478looking for a more exhaustive listing of counter-
1479economic activities, with all the sources and refer-
1480ences footnoted, are invited to read the author's
1481upcoming book Counter -Economics .
1482
1483Information
1484
1485r If ^ wo Counter- Economic industries are singled
1486
1487
1488
1489out for their importance to agorism. Justice
1490
1491
1492
1493
149443
1495
1496
1497
1498Samuel Edward Konkin III — An Agorist Primer
1499
1500is a commodity; its manner of distribution defines
1501a social system and will be covered in detail in
1502Chapter Seven.
1503
1504The other business is Information. The Internet
1505explosion has led the American State — for now,
1506at any rate — to throw up its tentacles at regula-
1507tion of the Information industry. Every legisla-
1508tive session, however, brings new attempts to tax
1509and control the World Wide Web. But consider
1510this well: should the Counter-Economy lick the
1511information problem, it would virtually eliminate
1512the risk it incurs under the State's threat. That
1513is, if you can advertise your products, reach your
1514consumers and accept payment (a form of infor-
1515mation), all outside the detection capabilities of
1516the State, what enforcement of control would be left?
1517
1518At the leading edge of Web development today
1519is encryption. Advanced researchers have devel-
1520oped methods of "locking away" data in memory
1521banks that defy any "breaking in." That is, the
1522State cannot reach the invoices, inventory lists,
1523accounts and so on of the Counter-Economist. An
1524area of human society immune to the power of the
1525State deserves the name — if anything does — of
1526Anarchy. The State, though, continues to attempt
1527to penetrate privacy with quantum computing
1528methods of cracking even the most complex cryp-
1529tographic schemes. Will the Counter-Economy
1530respond with quantum cryptography? Stay tuned
1531— the race is hardly at an end.
1532
1533This leads us to two crucial questions: what
1534happens if the State is abolished and we have a
1535
1536
1537
153844
1539
1540
1541
1542Samuel Edward Konkin III — An Agorist Primer
1543
1544free market and why has the Counter- Economy
1545not overwhelmed the existing economy already?
1546These questions bring us back to the land of theory
1547where libertarianism answers the first question
1548and agorism the second.
1549
1550Before we deal with them, let us consider some
1551applications of counter-economic business prac-
1552tices and social interactions, which will both il-
1553lustrate our descriptions and possibly be of some
1554profit to you and yours.
1555
1556
1557
155845
1559
1560
1561
1562Samuel Edward Konkin III — An Agorist Primer
1563
1564
1565
1566Chapter Four
1567Applied
1568Counter-Economics
1569
1570
1571
1572ounter- Economics is application.
1573
1574
1575
1576People have discovered and acted in
1577
1578
1579
1580^w/a Counter-Economic way without un-
1581derstanding what they are doing, why they are
1582doing it, and even denying that they are doing
1583it at all.
1584
1585Understanding what you are doing usually
1586helps, and applying Counter-Economics system-
1587atically and consistently maximizes both your
1588profit and freedom. As it turns out, the basic
1589formula is no more difficult than simple account-
1590ing arithmetic used in all business.
1591
1592The basic law of Counter-Economics is to trade
1593risk for profit. Having done so, one naturally
1594(acting to remove felt unease) attempts to reduce
1595the risks. If you reduce your risks while others
1596continue to face the higher risks, you naturally
1597out-compete and survive longer. And you profit.
1598
1599
1600
1601
160246
1603
1604
1605
1606Samuel Edward Konkin III — An Agorist Primer
1607
1608
1609
1610What's The Risk?
1611
1612
1613
1614It is possible to make a reasonable estimate of
1615the risks you are taking in Counter- Economic
1616activity, which is better precision than many busi-
1617ness ventures offer. The government itself gathers
1618statistics concerning apprehension of "criminals."
1619And publishes them. The police agencies brag about
1620how few cases are solved and how fast the "crime
1621rate" is growing to justify ever-bigger budgets.
1622
1623Nonetheless, most "crimes" go completely unre-
1624ported and undetected, so the State's stats are an
1625upper limit of apprehension. That is, their figures
1626are useful as maximum risk. The highest appre-
1627hension rate for the most foul crimes seldom hit
162820%, an indication of government effectiveness in
1629maintaining public order.
1630
1631
1632
1633uppose you wish to do something Counter-Eco-
1634
1635
1636
1637O'nomic. To be specific, you can buy something
1638for $10,000 and sell it for $20,000. Your regular
1639overhead is $5000. Your net return on investment
1640is $5000 (on an investment of $15,000 that's 33%,
1641extremely high) but, since there is a risk, how can
1642you tell if the return is worth it?
1643
1644Let's say the government claims it catches 20%
1645of those doing what you want to do. If you are
1646caught, the penalty would be a (maximum) fine
1647of $50,000 or six months in jail. Your "downside"
1648risk, then, is 20% of $50,000 or $10,000. In this
1649
1650
1651
1652Is It Worth It?
1653
1654
1655
1656
165747
1658
1659
1660
1661Samuel Edward Konkin III — An Agorist Primer
1662
1663example, it would not be worth it: to gain $5000
1664but risk losing $10,000.
1665
1666If the apprehension rate were 10% and the fine
1667$25,000, then your risk would be $2500 for a gain
1668of $5000. As is obvious, you could get caught one
1669time in ten, pay off your fines, and still come out
1670way ahead. Of course, all these calculations make
1671certain assumptions about your subjective values.
1672You may fear risk to a pathological state and any
1673risk is too much. Or you may love frustrating the
1674State and take high risks for lower gain just for
1675the fun of it.
1676
1677Actually, a more realistic risk estimate would in-
1678clude the price of a lawyer to beat your charges and
1679the probability of being convicted after apprehension.
1680
1681Assume that the retainer to your lawyer raises
1682your overhead $1000 per transaction. Now your
1683payoff is $4000, but the conviction rate (with plea
1684bargaining and court delays) is only 20%. (Again,
1685that is high in many jurisdictions; many cases are
1686dropped long before they come to trial.)
1687
1688Now your risk, using our first figures, is 20% of
168920% of $50,000, or $2000. With a payoff of $4000,
1690a loss of $2000 would deter few entrepreneurs.
1691If you would like a simple formula for your own
1692business, try this:
1693
1694Counter-Economic Payoff = profit minus loss =
1695(Promised price) minus (cost minus overhead) minus
1696((Penalty or Fine) x (probability of arrest) x (probability of conviction))
1697
1698If positive, go. If negative, don't go.
1699
1700
1701
170248
1703
1704
1705
1706Samuel Edward Konkin III — An Agorist Primer
1707
1708
1709
1710Lowering Risks
1711
1712
1713
1714T
1715
1716
1717
1718taking reasonable steps to conceal your activi-
1719ties from accidental discovery, learning to talk
1720only to trusted friends, spotting poor risks or gov-
1721ernment agents all reduce your risk and increase
1722your payoff. As you develop techniques to lower
1723your risk, you will increase your counter-economic
1724activities. More of them become profitable.
1725These side effects include the creation of an agorist
1726society. More on that in Chapter Seven.
1727
1728
1729
1730Counter-Economizing
1731
1732hile it's true that you cannot obey all the
1733inconsistent laws of the State and so be
1734completely "white market," you can live completely
1735Counter- Economically and be completely "black
1736market."
1737
1738In the middle 1970s, the federal State passed
1739a regulation imposing a maximum speed limit
1740on U.S. highways of 55 mph. With the threat of
1741cutting federal funds to states and counties, the
1742entire driving population decelerated to a creeping
1743crawl. Or did it?
1744
1745Consider the following calculation: at 55 mph a
1746trucker can drive 55 miles in an hour, 550 miles in
1747ten hours and 2200 miles in 40 hours. At an aver-
1748age of 70 mph, he makes 700 miles in ten hours
1749and 2800 miles in 40 hours.
1750
1751To make it even clearer, assume that the trucker
1752nets $1000, after costs, for each 600 mile run.
1753
1754
1755
1756
175749
1758
1759
1760
1761Samuel Edward Konkin III — An Agorist Primer
1762
1763He makes four runs legally for $4000 in an easy
1764week, or $5000 by extending his hours or work-
1765ing weekends. At 70 mph he makes $5000 for the
1766(roughly) 40 hour week.
1767
1768With that type of incentive, the race went to
1769the swift and the "double nickel" speed limit was
1770scofflawed. But being caught and fined could wipe
1771out that advantage. Suppose fuel were consumed
1772at a rate that cost an extra $200 at the higher
1773speed, and you received an average fine of $200.
1774Four busts a week and it's no longer worth it.
1775
1776Along came Citizen's Band Radio. Put $200 or
1777$400 once into a CB radio investment, reduce your
1778busts to once a week, and you're back in business.
1779And that, of course, is what happened. Truckers
1780"spotted" for each other, formed convoys, and
1781thwarted the State's "Smokey Bear" highwaymen.
1782
1783Consider the side effects:
1784
1785• Truckers found "solidarity" economically, cul-
1786turally, and anti-politically
1787
1788• A CB culture exploded into the popular culture
1789with C. W. McCall's classic song "Convoy"
1790
1791• Non-truckers who were willing to buy a CB
1792and learn the culture (especially the language)
1793were accepted freely into the ordered highway an-
1794archy. More evasion of regulations followed and the
1795Counter- Economy grew
1796
1797• Truckers, many of conservative upbringing,
1798became considerably more tolerant and willing to
1799help other "lawbreakers" when their common enemy,
1800Smokey, threatened.
1801
1802
1803
180450
1805
1806
1807
1808Samuel Edward Konkin III — An Agorist Primer
1809
1810The CB explosion is not meant here to be a
1811model, in the sense of waiting around for the State
1812to trigger off mass rebellion by an egregiously
1813stupid law. This happened to be a particularly
1814spectacular case, but no more than the sudden
1815jump in counter-economics when Prohibition was
1816passed in the 1920s or when the draft led to two-
1817year slavery, and possible death, in 1964. And the
1818State does not learn from its mistakes, as recent
1819efforts to reimpose the 55 mph limit as well as
1820reactivate the draft arise again.
1821
1822Counter-Economizing Yourself
1823
1824hatever service you provide the market, you
1825know best how to counter-economize. You
1826know best which regulations to avoid first for
1827maximum payoff-to-risk ratio. You know which
1828suppliers can be trusted and which cannot. You
1829know which customers to trust and which not to
1830trust. Division of labor, subjective value, and hu-
1831man individuality all contribute to making your
1832case (and everyone else's) unique.
1833
1834If you seek or want advice on how best to coun-
1835ter-economize, you need personal counseling (simi-
1836lar to investment counseling). But, considering
1837the hundreds of millions of people — many with
1838educational and cultural handicaps — who coun-
1839ter-economize quite successfully, the challenge is
1840not that great. You need mostly the will to do it.
1841(And that "Psychological Counter-Economics" will
1842be important as part of Chapter Eight.)
1843
1844
1845
1846
184751
1848
1849
1850
1851Samuel Edward Konkin III — An Agorist Primer
1852
1853It's undoubtedly easier to extend your counter-
1854economizing when everyone else is doing it. Most
1855people are, but in small and different ways.
1856
1857Still, if you could win more suppliers and cus-
1858tomers over to your trust and get them to counter-
1859economize, they would not only resist turning you
1860in but they would develop a tendency not to leak
1861secrets and would, therefore, decrease your risk
1862and increase your payoff both ways.
1863
1864This fact is the driving force toward expansion of
1865the Counter- Economy. This force is what Agorism
1866unleashes against the State.
1867
1868
1869
187052
1871
1872
1873
1874Samuel Edward Konkin III — An Agorist Primer
1875
1876
1877
1878Chapter Five
1879
1880LlBERTARIANISM
1881
1882
1883
1884T
1885
1886
1887
1888"^he basic premise of agorist thinking is that
1889Counter-Economics has failed to free soci-
1890ety because Counter-Economics lacks a
1891moral structure that only a full-blown philosophi-
1892cal system can provide. In this chapter, we deal
1893with the other half of this problem: an ideology
1894unconnected to reality. Where Counter-Economics
1895is application without theory, Libertarianism is
1896theory without application.
1897
1898
1899
1900Many Gods, One Morality
1901
1902Libertarianism differs from all other philoso-
1903phies by its pluralism. It does not to ask how
1904you came to the fundamental moral premise: re-
1905ligious revelation, atheistic observation, natural
1906law theory, or many others. Christians, Taoists,
1907Objectivists, and Pagans travel different routes
1908to arrive at one moral code in common: initiation
1909of coercion, or the threat of violence, is immoral.
1910This is the libertarian principle.
1911
1912Two things follow from the phrasing: (1) there
1913are no exceptions, hence libertarianism affects all
1914
1915
1916
191753
1918
1919
1920
1921Samuel Edward Konkin III — An Agorist Primer
1922
1923human action by this formulation; (2) it is phrased
1924negatively , so that anything else is permissible
1925human behavior, though each adherent may find
1926other acts immoral or objectionable.
1927
1928Christianity yields a yes-no answer to every
1929aspect of human activity; so, too, Marxism, Islam,
1930Objectivism, and many, many other understand-
1931ings of the world's nature. In these systems, any-
1932thing not prohibited is mandatory. You must or
1933you must not. Libertarianism answers only that
1934you may or you may not, leaving choice to you.
1935
1936Any religion or ideology that swears not to co-
1937erce others to act in accordance with its precepts
1938is compatible with libertarianism. All religions
1939and ideologies that use force for anything save
1940self-defence (in the narrow, immediate sense,
1941excluding "preventive aggression" and other such
1942rationalizations) are enemies of libertarianism.
1943
1944
1945
1946Libertarian Society
1947
1948Libertarianism's very pluralism prevents one
1949from ascribing any unanimous characteristic
1950to Libertarians. They all want Liberty, but for dif-
1951ferent reasons, and see different ways of achieving
1952it. Some would take control of the State and "force
1953people to be free," others would not even resort to
1954violence to defend themselves. Giving all those
1955groups their due for enriching Libertarian thought
1956and life with greater variety than any other ide-
1957ology, the rigorous application of consistency (to
1958
1959
1960
196154
1962
1963
1964
1965Samuel Edward Konkin III — An Agorist Primer
1966
1967which agorists and this book adhere) does settle
1968some issues.
1969
1970A free society is one in which Man is constrained
1971only by unthinking Nature. His fellow men leave
1972him alone. One can personally live up to this and
1973one can admit only those who uphold it, expelling
1974all those who don't. But one cannot prevent anyone
1975from instituting aggression, one can only deal with
1976it after the fact.
1977
1978Statists advocate creating a bigger criminal, a
1979great monster institution which will terrify nearly
1980everyone, innocent or guilty, into submission. This
1981organization will extract some form of acceptance
1982from its "citizens" and yet plunder them at will
1983(taxation). It will control their behavior and even
1984their thinking, though some statists seek to place
1985some restraints upon this super-criminal organi-
1986zation. Some of those who advocate the strongest
1987restraints (as they perceive them) call themselves
1988"limited government libertarians." Since they seek
1989a small state or "mini" -archy, they are minarchists.
1990
1991Consistent libertarians see no place for crimi-
1992nals, even to fight other criminals. They believe
1993free-market (all-voluntary) methods will take care
1994of the few criminals; finding them (investigation),
1995arresting them (delegated protection), trying them
1996(arbitration), and restoring lost value to the victim
1997from the aggressors (restitution). The means of
1998accomplishing this vary from communal power to
1999highly technological, competitive business agen-
2000cies and others in between, such as neighborhood
2001block associations. Such "no- government libertar-
2002
2003
2004
200555
2006
2007
2008
2009Samuel Edward Konkin III — An Agorist Primer
2010
2011ians" are called anarchists. The peaceful libertar-
2012ians who refuse even to defend themselves have
2013to be classified with anarchists.
2014
2015It is bitterly ironic that heavy State propaganda
2016has convinced many people that anarchists throw
2017bombs, since most anti-war movements, draft re-
2018sistance, disarmament, and tax resistance groups
2019were organized by anarchists of one sort or an-
2020other. Perhaps 0.01 % of those calling themselves
2021anarchists throughout history have used a bomb;
2022100% of all States bomb, shell, and machine-gun
2023regularly as a matter of course.
2024
2025A Libertarian society is one which approximates
2026a free society save for a small percentage of crimi-
2027nal aggression, which is handled by voluntary
2028mechanisms. A society in which aggression gets
2029"out of hand" is one with a ole facto, if not ole jure,
2030State or government: a statist society.
2031
2032Libertarianism and the Free Market
2033
2034A few libertarians advocate communal or
2035neighborhood social organization with col-
2036lectively held "property" voluntarily surrendered.
2037Most libertarians have adopted the free market
2038and the economic understanding of it developed
2039in Chapter One. So whenever a conflict between the
2040Economics of government intervention or confiscation
2041(statism, for short) and free enterprise emerges in
2042public debate, Libertarians rush to the forefront
2043of defence of the individual or non-state group.
2044
2045
2046
204756
2048
2049
2050
2051Samuel Edward Konkin III — An Agorist Primer
2052
2053Libertarianism often confuses statists of the Left
2054wing and the Right by opposing both. Libertarians
2055see war as total "socialism" and march with many
2056Leftists against it. Yet opposition to welfare stat-
2057ism allies Libertarianism with some Rightists.
2058
2059But Statists of the Left and Right are easily distin-
2060guishable from libertarians in any coalition: threaten
2061the State's existence and observe their reaction.
2062
2063Conservatives will give up free enterprise rather
2064than see government abolished; liberals will go
2065to war rather than see government abolished.
2066Libertarians will abolish the State and end both
2067socialism and war.
2068
2069Libertarianism and the
2070Counter-Economy
2071
2072Libertarian dissidents, from Polish professors
2073to American students, make up an intellec-
2074tual field of Counter-Economics. A Yugoslavian
2075theorist, raised in the Marxist tradition, called for
2076removing politics from Socialism and embracing
2077a market economy.
2078
2079It would appear that there is a natural affin-
2080ity between the philosophers of freedom and the
2081practitioners of Counter-Economics. Indeed, few
2082libertarians would deny the moral correctness of
2083the latter. An early slogan some radical libertar-
2084ians put on a button was "Defend The Black Mar-
2085ket." Libertarianism in the United States traces
2086its history from the Abolitionist movement to free
2087
2088
2089
209057
2091
2092
2093
2094Samuel Edward Konkin III — An Agorist Primer
2095
2096the slaves, an act of human counter-economics.
2097
2098And yet, while many abolitionists created and
2099maintained an Underground Railway to assist
2100slaves who freed themselves counter-economically,
2101others called for upholding the law, working
2102within the system and engaging in politics to take
2103over the government and pass laws to free slaves.
2104The same division between activists and reform-
2105ers afflicts modern libertarians — and many other
2106ideological movements, to be sure.
2107
2108George Orwell, who came to a type of libertarian-
2109ism from activism in the Socialist movement of the
21101930s, castigated some of his fellow socialists for
2111refusing to dirty their hands in actually fighting
2112for their beliefs on the battlefields of Spain. This
2113perceptive author of 1 984 and Animal Farm noted
2114these hypocritical dilettantes' proclivity for hang-
2115ing around English drawing rooms and waxing
2116eloquent for the socialist cause while contributing
2117precious little else. He called them "Parlor Pinks."
2118
2119Libertarianism is afflicted with more than its
2120share of "Library Libs" today. Some, though, are
2121horribly paralyzed by the question, "How do we
2122achieve a free society?"
2123
2124This combination of strategic paralysis, moral
2125lassitude, honest confusion due to the rich variety
2126of libertarian pluralism, and not a little "selling
2127out", has weakened libertarianism to the point
2128where what is presently called the "Libertarian
2129Movement" may no longer be trusted to defend the
2130Counter-Economy and achieve a libertarian society.
2131
2132The next chapter shows why.
2133
2134
2135
213658
2137
2138
2139
2140Samuel Edward Konkin III — An Agorist Primer
2141
2142
2143
2144Chapter Six
2145Applied Libertarianism
2146
2147
2148
2149T
2150
2151
2152
2153A Brief History of Liberty
2154
2155Y "If ^he history of the Libertarian movement can
2156be divided into four historical periods. The
2157first covered most of our history, when
2158many men and women derived the ideas of free-
2159dom and defended freedom as they understood
2160it with little comprehension of the mechanics of
2161human action. Some of these, such as the Quak-
2162ers of Pennsylvania, settled colonies away from
2163predatory statism and developed peace and trade
2164with the natives.
2165
2166The American Revolution erupted the year that
2167Adam Smith published the first basic work on
2168economics. Still, the confused American Revolu-
2169tionaries allowed the Federalist statists to restore
2170a strong central government by a bit of trickery
2171called the "Constitution," a piece of paper which
2172supposedly guaranteed to restrain the new State.
2173Most of the Revolutionaries — nearly all the
2174signers of the Declaration of Independence, for
2175instance — opposed the Constitution. Many Amer-
2176
2177
2178
217959
2180
2181
2182
2183Samuel Edward Konkin III — An Agorist Primer
2184
2185icans were taken in by the statist selling job and
2186laid down their arms that were defending them,
2187practically in exchange for the paper guarantee.
2188
2189As soon as the new government was elected,
2190it sent the military to Pennsylvania to crush the
2191tax-rebels who opposed the new tax on whiskey
2192distillation.
2193
2194In England, soon after, a man named William
2195Godwin took the political ideas of the American
2196Revolutionaries to their logical conclusion and
2197became the first anarchist. In the 1830s European
2198intellectual scene, a man named Max Stirner com-
2199bined anarchy with defence of the free market (as
2200far as Adam Smith understood it then) and created
2201a philosophy of egoism or total individualism. For
2202a time, he contested with Marx and Engels for
2203the loyalty of the Young Hegelians in the German
2204clubs. They wrote a two-volume defense of their
2205theory against Stirner (The German Ideology).
2206
2207In the United States, Josiah Warren continued
2208the anarchist tradition in Massachusetts. One
2209of his abolitionist followers, Lysander Spooner,
2210finally developed the killing argument against the
2211U.S. State in his remarkable natural law treatise,
2212No Treason: The Constitution of No Authority.
2213Alas, it was nearly a century late because the
2214State was entrenched well enough to fight a civil
2215war to destroy the remaining internal restraints
2216on its power — naturally, under the pretext of
2217expanding freedom by abolishing slavery.
2218
2219Spooner saw through that smokescreen and
2220supported both abolition and secession of the
2221
2222
2223
222460
2225
2226
2227
2228Samuel Edward Konkin III — An Agorist Primer
2229
2230Southern States. His follower, Benjamin Tucker,
2231discovered Stirner's European individualism
2232and combined the two traditions. The heyday of
2233Individualist Anarchism, during the publication
2234of Tucker's Liberty magazine, from 1881 to 1908,
2235could be called the second stage of Libertarianism.
2236George Bernard Shaw, for example, broke into the
2237American literary scene through Liberty. (The full
2238title of Tucker's journal was Liberty: the Mother,
2239Not the Daughter, of Order)
2240
2241Tucker still had problems with economics, not
2242understanding subjective value or the validity of
2243rent, interest, and profit. While willing to accept
2244anything arrived at freely, he and his associates
2245spent their energies on side issues and invalid
2246controversies. When World War I broke out, they
2247lost the center stage of history to the socialists for
2248half a century.
2249
2250At the same time that Tucker himself was giv-
2251ing up, brilliant Austrian economist Ludwig Von
2252Mises wrote his doctoral thesis (1910), The Theory
2253of Money and Credit, which explained interest,
2254inflation, and business cycles. His analysis led to
2255an easy explanation (and prediction) of the Great
2256Depression, but it went unheeded. In 1949, Mises
2257published his magnum opus, Human Action. Along
2258the way, he sent the Communist Economists into
2259a panic by proving that economic calculation was
2260impossible once socialist statists destroyed the
2261free-market pricing system.
2262
2263During the 1920s and 1930s, proto-libertarians
2264such as H.L. Mencken and Albert J. Nock kept
2265
2266
2267
226861
2269
2270
2271
2272Samuel Edward Konkin III — An Agorist Primer
2273
2274the philosophy alive but in despair. One of Nock's
2275students, Frank Chodorov, reached one of Mises's
2276students, Murray Rothbard. In 1950, Rothbard
2277connected with the American anarchist tradition
2278and the modern libertarian stage began.
2279
2280Another of Nock's students, Suzanne LaFollette,
2281inspired many modern libertarian feminists. More
2282women — Rose Wilder Lane and Isabel Patterson
2283— kept libertarianism alive in the 1940s.
2284
2285For twenty years, Rothbard tirelessly sold his
2286consistent libertarian view in intellectual circles
2287and was purged from the Right, from Objectivists,
2288from the Left, and various other groups, always
2289taking a few more with him, never despairing. In
22901969, during the heat of the student revolt against
2291the Vietnam War and the draft, both the leftist
2292Students for a Democratic Society and the rightist
2293Young Americans for Freedom split internally. The
2294anarchists from SDS joined the free marketeers
2295from YAF at a convention called by Dr. Rothbard,
2296and thousands of young activists were unleashed
2297onto the campuses to fight for pure freedom.
2298
2299Within a few years, there were a million Liber-
2300tarians in North America and small groups from
2301England to Spain to Australia. Libertarians gradu-
2302ated and started businesses or entered the higher
2303levels of academy, bringing reinforcements to Dr.
2304Rothbard and his previously small corps. Liber-
2305tarian reporters, authors, and even newscasters
2306spread through the media.
2307
2308Robert LeFevre, another libertarian educator
2309contemporary with Rothbard, graduated hundreds
2310
2311
2312
231362
2314
2315
2316
2317Samuel Edward Konkin III — An Agorist Primer
2318
2319of businessmen from his seminars and thousands
2320from Rampart College. Leonard Read and his crew
2321reached many from all walks of life at the Foun-
2322dation for Economic Education. New foundations
2323and institutes sprang up.
2324
2325Early in 1971, a group of Calif ornians started a
2326"Libertarian Party" as a front for distribution of
2327literature and appeal for equal time on local me-
2328dia. In December of 1971, David F. Nolan convened
2329a founding convention of a Libertarian Party in
2330deadly earnest. Rothbard scoffed at the idea of a
2331party as wildly premature.
2332
2333In 1972, an LP presidential candidate got few
2334votes, but, thanks to a renegade Republican elec-
2335tor from Virginia, John Hospers, Professor of Phi-
2336losophy at the University of Southern California,
2337received one electoral vote. His running mate,
2338Toni Nathan of Oregon, became the first woman to
2339receive one. The elector, Roger MacBride, became
2340the LP nominee for president in 1976.
2341
2342The LP emerged from two sources: impatience
2343and inconsistency. In 1972, the student movement
2344collapsed but the graduates needed years to affect
2345society by working their way through the system
2346and building alternatives outside it. This desire
2347to achieve results now — get rich quick — was
2348expressed in the return of many who had rejected
2349the Statist system to re-enter it, though most of
2350those entering the LP were not the politically
2351cynical old-timers.
2352
2353The more raw recruits to libertarianism had lit-
2354tle direct experience with politics and so accepted
2355
2356
2357
235863
2359
2360
2361
2362Samuel Edward Konkin III — An Agorist Primer
2363
2364arguments that the party would spread the word
2365to people used to receiving it via the biennial elec-
2366toral process. While half the LP recruiters swore
2367that the LP was an educational tool and would
2368never win an election and take power, the other
2369half promised the replacement of the Republicans
2370by the new party and the transformation of society
2371from the top down.
2372
2373During 1973, the party threat became serious
2374and the libertarian movement began to split. The
2375anti-party libertarians called themselves vari-
2376ous names such as New Libertarians, Left (more
2377consistently radical) Libertarians, Radical Liber-
2378tarians, and exotic names such as Voluntaryists.
2379The common goal of these activists was to deflect
2380the Party anti-principle in the minds and hearts
2381of most libertarians and pursue the original goals
2382of Liberty in libertarian — that is, anti-political
2383— ways. The Partyarchs (as those who professed
2384being ruled by a party, yet called themselves an-
2385archists, were then called) and their minarchist
2386allies were small in number but did have an
2387advantage in getting newspaper and television
2388coverage. (Radical libertarian campaigns such as
2389the 1976 "Vote For Nobody" CounterCampaign
2390received publicity on several hundred radio sta-
2391tions and 50% of registered American voters failed
2392to cast ballots.)
2393
2394More and more "pure" libertarians gave up on
2395the label as the word was increasingly identified
2396with a group out to take political power — as
2397opposed to abolishing it. The New Libertarians
2398
2399
2400
240164
2402
2403
2404
2405Samuel Edward Konkin III — An Agorist Primer
2406
2407found that many who would agree to live freely
2408and trade without aggression were repelled by the
2409Libertarian name.
2410
2411Finally, in 1983, the Movement of the Libertar-
2412ian Left, the New Libertarian Alliance, and others
2413moved to drop the Libertarian label entirely. Some
2414chose the name Voluntaryism. Those wishing to
2415promote the completely consistent ideology de-
2416scribed in this book chose the name agorist.
2417
2418During the 1973 struggle, the challenges for an
2419alternative strategy to politics were answered by
2420the NLA founder who discovered and coined the
2421term Counter-Economics (see Chapter Three).
2422In 1980, the NLA published New Libertarian
2423Manifesto, which explained agorism and beyond
2424to libertarian activists.
2425
2426The Libertarian Failure
2427
2428Libertarians were and still are a pluralistic
2429group. Different interpretations of Liberty
2430and how to achieve it were cheerfully tolerated for
2431the most part. The appearance of a "Party line"
2432was anathema to this spirit of living variety. The
2433burning issue shifted from "which new libertar-
2434ian theory works and which does not?" to "which
2435'Libertarian' candidate can get elected?"
2436
2437To many, Libertarianism was a fine theory
2438which had no obvious practice. There are many
2439paths to freedom (true) and each individual should
2440choose the one he or she thought most workable.
2441One that was chosen swallowed up the others.
2442
2443
2444
244565
2446
2447
2448
2449Samuel Edward Konkin III — An Agorist Primer
2450
2451(How it did was simple: it tied into the State's
2452grant of monopoly to ideologies that form a cen-
2453tralized "political party" and then spokespersons
2454of that ideology are automatically represented
2455as servitors or functionaries of that party, even
2456when they vigorously deny any connection, by the
2457statist media.)
2458
2459And, then again, maybe not. "Libertarian" may
2460have come to mean "LP member" but agorists,
2461Voluntaryists, Left Libertarians, and such still
2462outnumber the few thousand LP members and
2463even the never-since-matched million votes their
2464candidate, Edward Clark, received in the 1980
2465U.S. presidential race.
2466
2467Whether or not libertarianism failed and died —
2468perverted — so near to 1984 (Orwell's deadline for
2469tyranny's triumph. . . in the form of an all-powerful
2470party) or was simply a stage in the evolution of
2471agorism, building a theory to explain and morally
2472defend Counter- Economics, is a moot point. Both
2473positions are, in a sense, true. Agorism is here and
2474viable for those who wish to live as freely as pos-
2475sible now and increase their freedom in the future.
2476What now calls itself "Libertarian" cannot honestly
2477offer that anymore. Those who understand this will
2478reject the "Libertarian" Party and other political
2479solutions to the statist problem; those who accept
2480the LP will waste their time, energy and wealth in
2481building a new means of keeping people in bondage
2482under the thumb of the State.
2483
2484
2485
248666
2487
2488
2489
2490Samuel Edward Konkin III — An Agorist Primer
2491
2492
2493
2494The Libertarian Insight and Fallacy
2495
2496Libertarian theory provided the crucial insight
2497as to why Counter-Economics was morally
2498correct as well as (obviously) practical and very
2499profitable. The crucial issue was that of the State,
2500its nature, and its evolution.
2501
2502The easiest paradigm (short model) for the origin
2503of the State was offered by Franz Oppen-heimer,
2504a German sociologist, and adapted into American
2505libertarianism in Albert J. Nock's 1935 book, Our
2506Enemy, The State. All historical examples fit this
2507simple paradigm:
2508
2509When most of humanity settled into peace-
2510ful farming communities, with perhaps larger
2511marketplaces (remember the original agora of
2512Greece) in towns, some people discovered a means
2513of surviving parasitically from the productivity of
2514others. They formed robber bands and attacked
2515towns and settlements, plundering, raping, and
2516murdering. Probably the original barbarian hordes
2517were hunters who took to hunting man when their
2518game died out rather than taking to farming, trad-
2519ing, or productive manufacture.
2520
2521These roving groups were a small minority (or
2522their victims would have died out and they as
2523well) but large as compared to a single town or
2524village. Somewhere along the way, one of them
2525discovered that they could allow the peasants to
2526live with enough to survive on and come back at
2527the next harvest for another raid.
2528
2529
2530
253167
2532
2533
2534
2535Samuel Edward Konkin III — An Agorist Primer
2536
2537Then these raiders had another idea: they would
2538stay in the same towns, steal lightly but regularly,
2539murder enough to keep the peasants and mer-
2540chants in line, and live well. Other areas, seeing
2541these petty kingdoms arise, decided to submit
2542themselves to their own home-grown warlords
2543so that they would not fall prey to foreign war-
2544riors. (The Book of Samuel in the Old Testament
2545describes the anarchist prophet Samuel trying to
2546convince the Israelites that they didn't really want
2547a king but finally giving in to them.)
2548
2549Parasites must remain a minority or kill their
2550hosts. So they discovered religion (and later ideol-
2551ogy) as a means to intimidate peasants and win
2552the all-important sanction of the victim (an apt
2553phrase of Ayn Rand's). Brutal thugs became "kings
2554by divine right" and some very powerful statists
2555called Emperors, Pharaohs, or Tsars were said to
2556be divine, the unstoppable choice of gods.
2557
2558And so these barbarian raiders institutional-
2559ized plunder (taxation), murder (execution and
2560warfare), and even rape (droit de seigneur, for
2561example). They took control of roads to plunder
2562the caravans (tolls, tariffs), they suppressed all
2563rival criminal gangs with their own (police), and
2564established their own churches, schools, judges,
2565and even philosophers, minstrels, and artists to
2566work in their royal courts.
2567
2568Thus was born the State.
2569
2570As people come to understand this situation,
2571and especially important questions of conscience
2572split religions and ideologies, dissidence grew.
2573
2574
2575
257668
2577
2578
2579
2580Samuel Edward Konkin III — An Agorist Primer
2581
2582The State learned to survive by adapting. It used
2583its Court thinkers (intellectuals) to come up with
2584new ways of mystifying the people.
2585
2586The kings "limited" themselves and shared
2587their plunder with aristocrats and certain favored
2588merchants. Thus was born mercantilism (which
2589Adam Smith challenged). Then even peasants and
2590workers were permitted to plunder their fellow
2591merchants, farmers, and workers. This was called
2592Democracy. Groups were allowed to organize to
2593fight over who should steal from whom (though
2594an elite of bureaucrats and very rich businessmen
2595continue, no matter who is elected) and thus were
2596formed political parties.
2597
2598The libertarian analysis superbly explained the
2599political history of the world and — combined with
2600free-market economics — analyzed depressions,
2601modern warfare, and revolutions, describing their
2602causes and predicting the futility of political solutions.
2603
2604When Libertarianism began to organize itself,
2605though, much of the movement was bought off
2606with yet another political party.
2607
2608To understand the Libertarian fallacy, consider
2609its insight in other terms. Oppenheimer and Nock
2610pointed out that there were only two ways to ac-
2611quire wealth (food, shelter, tools, entertainment).
2612One could produce some and trade for others — or
2613one could steal those produced. Those are all the
2614choices there are. They named the productive way,
2615the economic means, and the parasitic way, the
2616political means.
2617
2618
2619
262069
2621
2622
2623
2624Samuel Edward Konkin III — An Agorist Primer
2625
2626Murray Rothbard, following Ludwig Von Mises's
2627Human Action with his own economic treatise Man,
2628Economy and State, added that insight onto Aus-
2629trian economics in the final chapters. The demand
2630for elucidation was so great that he wrote, in detail,
2631an entire book on the subject: Power and Market.
2632
2633It is amazing that, for a time, even Dr. Rothbard
2634forgot his own lesson. The choice was power/poli-
2635tics vs. market/economics. Using political means
2636to achieve free-market ends is self- destructive and
2637self-defeating.
2638
2639The recognition of the Libertarian incompat-
2640ibility of statist means to anti-statist ends was
2641the first agorist insight. Following that, the new
2642agorists looked for the proper means to achieve a
2643free society or at least a fully libertarian society.
2644They sought market means only.
2645
2646The author of this book and his companions
2647found the Counter- Economy "staring them in the
2648face" as soon as they thought of looking.
2649
2650
2651
265270
2653
2654
2655
2656Samuel Edward Konkin III — An Agorist Primer
2657
2658
2659
2660Chapter Seven
2661Agorism
2662
2663
2664
2665T
2666
2667
2668
2669"^o understand agorism fully and to compare
2670it to competing ways of thinking, one needs
2671to know two things about it: its goal and
2672its path to that goal. This knowledge is critical
2673to evaluating all ideologies. The goal is living in
2674the agora and the path is expanding Counter-Eco-
2675nomics. Remember our constant, if not nagging,
2676emphasis on consistency, both internally and with
2677reality. Agorism must have a path consistent with
2678its goal and a goal consistent with its path.
2679
2680
2681
2682The Axioms of Agorism
2683
2684A free society is the goal of many people, not
2685all of them agorists or even libertarians. Ago-
2686rists can see nothing but a free market in a free
2687society; after all, who or what will prevent it?
2688
2689The First Axiom of Agorism: the closest
2690approach to a free society is an uncorrupted
2691agora (open marketplace).
2692
2693An axiom is a principle or premise of a way of
2694thinking. It is arrived at by insight, induction, and
2695observation of nature. Theorems are arrived at
2696
2697
2698
269971
2700
2701
2702
2703Samuel Edward Konkin III — An Agorist Primer
2704
2705deductively from axioms. A "zeroeth" axiom of
2706agorism might be "there are no contradictions
2707in reality and theory must be consistent with
2708reality." Commonly known axioms in philosophy
2709are "existence exists" and "A is A." Well-known math-
2710ematical axioms are "things equal to another thing
2711are equal to each other" and "a statement leading to
2712a contradiction with a theorem or axiom is false."
2713
2714The first six chapters of this "primer" preceded
2715the actual presentation of agorism to give you,
2716the reader, enough understanding of economics,
2717Counter-Economics, and libertarianism to see
2718from where the insights that produced agorism
2719were derived. They were not chosen arbitrarily
2720but rather as a result of years of bitter experience
2721and, in some cases, furious battles and acts of
2722resistance. The "hard core" agorists had to have
2723something worth dying for, and, far more impor-
2724tant, worth living for.
2725
2726The Second Axiom of Agorism: the agora self-
2727corrects for small perturbations of corruption.
2728
2729This axiom leads us to a far more detailed pic-
2730ture of what our nearly free society would look
2731like. It means simply that free-market entities will
2732defend the free market. People have to choose to do
2733it, of course, but the incentive (offering of subjec-
2734tive-value satisfaction) will be present to motivate
2735them to do so and will be sufficient to motivate
2736enough people to do so. Occasional criminals will
2737be discovered, sought, found, apprehended, tried,
2738sentenced, compelled to deliver restitution, and (if
2739possible) deterred from further actions.
2740
2741
2742
274372
2744
2745
2746
2747Samuel Edward Konkin III — An Agorist Primer
2748
2749The Third Axiom of Agorism: the moral
2750system of any agora is compatible with pure
2751libertarianism.
2752
2753This axiom means that life and property are safe
2754from all those who act morally in this society. We
2755will describe this in the next section. But let us
2756complete the axioms first.
2757
2758The Fourth Axiom of Agorism: agora in
2759part is agora in whole; to a workable approxi-
2760mation, the corruption of an agora raises
2761protection costs and risks.
2762
2763This axiom's use will become blindingly clear
2764when we deal with the path.
2765
2766Agorism has more theory, but it is derived from
2767these axioms. For the professional logicians trip-
2768ping across the theory for the first time, I need to
2769add a fifth axiom for completion: agorism qua
2770theory is an open system. This simply means
2771that we may discover and add on other axioms,
2772then check to see how consistent they are with
2773what we already have.
2774
2775The Goal of Agora
2776
2777ith that short burst of hard philosophy in
2778the last section, we are ready to picture the
2779society we are aiming for. The goal of agorism is
2780the agora. The society of the open marketplace as
2781near to untainted by theft, assault, and fraud as
2782can be humanly attained is as close to a free society
2783as can be achieved. And a free society is the only
2784one in which each and every one of us can satisfy
2785
2786
2787
2788
278973
2790
2791
2792
2793Samuel Edward Konkin III — An Agorist Primer
2794
2795his or her subjective values without crushing oth-
2796ers' values by violence and coercion.
2797
2798It's a bit late to notice, perhaps, but if your
2799highest values require murder and theft, you will
2800not like the agora. Still, you have not wasted your
2801time as you have just read an introduction to the
2802thinking of your worst enemy.
2803
2804Science fiction has given us many convincing
2805portrayals of future societies, from the grotesquely
2806tyrannical (1984) to the transitional- to-freedom (The
2807Moon Is A Harsh Mistress, Kings of the High Fron-
2808tier) to actual free-market anarchies that acciden-
2809tally arose (The Syndic, The Great Explosion, The
2810Probability Broach). One even portrayed a likely
2811scenario for an agorist revolution (Alongside Nighty
2812
2813Still, we cannot predict or foresee all the chang-
2814es. Fortunately, we can get a good picture of an
2815agorist society by picking out those changes (from
2816our present statist societies) that must occur (or
2817we simply don't have agorism). Our axioms give
2818us that much.
2819
2820States will be gone. Roads will be run by com-
2821peting market companies and kept in repair (for
2822a change) to attract more customers. Then, again,
2823cars may levitate over the roads for all we know
2824or fly or take tunnels to preserve scenery. If you
2825can think of one good reason to do something some
2826way, in a free market it will be tried and many
2827ways will work at the same time for different reasons.
2828
2829The post office will be gone and mail — if not
2830replaced by e-mail entirely — will be efficiently
2831and cheaply delivered ever-faster.
2832
2833
2834
283574
2836
2837
2838
2839Samuel Edward Konkin III — An Agorist Primer
2840
2841War will be gone. "Defence budgets" will be gone.
2842Taxes will be gone. You will pay for what you get only
2843when you want it — unless what you want is a gift.
2844
2845I repeat, and cannot emphasize enough or wax
2846floridly enough: the opportunities in freedom ex-
2847plode into the unimaginable. The sheer complex-
2848ity of all possible choice moves to the infinite as
2849restrictions approach zero.
2850
2851Let us focus very narrowly on only one business
2852in the totally free marketplace.
2853
2854Justice
2855
2856Justice is a business. It's not free; someone must
2857pay for its workings. While Justice in the ab-
2858stract is not an economic question (remember the
2859wertfrei of Chapter One), the obtaining of justice
2860is an economic service.
2861
2862Consider this illustration: Your completely
2863tricked-out media center is stolen from your home.
2864You notify Laissez Faire Insurance & Protection
2865Company immediately. As fast as modern tech-
2866nology permits, you receive an identical screen,
2867receiver, game station, speakers, cables, and a
2868sack full of remotes to replace the original, with
2869downloads of any programs you missed in the in-
2870terim. You have achieved full restoration of your
2871subjective value to the condition it would have
2872been had there been no act of aggression. Surely
2873that is the goal of Justice.
2874
2875Now, how is this paid for in a free market, con-
2876sistently with our understanding of economics and
2877
2878
2879
288075
2881
2882
2883
2884Samuel Edward Konkin III — An Agorist Primer
2885
2886libertarian morality? The moral position first: you
2887delegate LFI&PCo as your agent to use defensive
2888force to regain your missing property and all ex-
2889penses incurred. (If LFI&PCo attempt to extract
2890more from the ultimately caught thief, they're on
2891their own. The thief's Insurance and Protection
2892Company is entitled to defend the thief.)
2893
2894Costs are paid for in three ways. First, as insur-
2895ance: a small number of criminals may elude even
2896the highly efficient, super-technological, extremely
2897competitive protection agencies of the agorist fu-
2898ture. Insurance is simply sharing the risk of some-
2899thing happening with all the others subscribing
2900to LFI&PCo. As the odds of a thief "getting away
2901with it" approach zero, your premium approaches
2902zero. Second, as protection: you install locks and
2903detectors, alarms, and maybe even booby traps.
2904Actually, since your premiums will go down as
2905you make yourself aggression-proof, protection
2906will incur minimal additional costs. Third, as
2907restitution: the aggressor, when apprehended,
2908pays LFI&PCo (1) the cost of replacement of the
2909purloined or damaged goods; (2) interest for the
2910time the goods were stolen; (3) any costs related
2911to apprehension, including fees for investigators,
2912arresting agents, arbitrators (market judges), and,
2913if still necessary, enforcers' charges to reclaim
2914your property.
2915
2916Note all the differences between statism and
2917agorism. First, in a State, you can expect nothing
2918from the police if you report a criminal. Maybe,
2919some day, you'll get your property back if the
2920
2921
2922
292376
2924
2925
2926
2927Samuel Edward Konkin III — An Agorist Primer
2928
2929criminal is ever caught and when they're through
2930using the components as evidence. Since the odds
2931of police accomplishing this are less than 10%,
2932your insurance premiums (if the government still
2933allows insurance companies) reflect the sharing of
2934the high risk of theft plus whatever taxes the State
2935tacks on plus the inefficiencies and additional
2936costs of government regulation of the insurance
2937industry. Did you ever try to collect insurance?
2938Notice the form-filling and red tape — just like
2939any other government bureaucracy imposed on a
2940supposedly free enterprise?
2941
2942Second, in a State, you are under the control of
2943the State in a criminal proceeding — even though
2944you are the victim! You will be told when to ap-
2945pear, where to go, and you will be forced to see
2946the case through even if you change your mind.
2947In the agora, should the matter go to arbitration,
2948you will be required to report your loss since you
2949want it replaced. That's all. The theft may even
2950have been recorded on video, but even if not, the
2951protection company's detectives do all the work.
2952You stand back (or go about your business) and let
2953them do their jobs. That's all. You may never be
2954called again even if the thief is caught, convicted,
2955and compelled to provide restitution. If LFI&PCo
2956needs more testimony from you, they will ask you
2957to attend the arbitration and, if they err, they
2958will pay for the error. Should they need you inor-
2959dinately, they will pay you for your trouble — or
2960they will let you go and lose the case if you want
2961too much for your time.
2962
2963
2964
296577
2966
2967
2968
2969Samuel Edward Konkin III — An Agorist Primer
2970
2971Third, in a State everything is monopolized;
2972your appeal is to another judge who works for the
2973State, too. In the agora, competition and choice is
2974everywhere. There are plenty of insurance and
2975protection companies from which to choose, all
2976eager for your business. They can choose from a
2977number of crack detectives, all competing to show
2978that they are the best investigators. Should the
2979matter go to arbitration, a number of arbitrators
2980are competing for the positions, hoping to prove
2981themselves the fairest and most worthy of your
2982company's hire.
2983
2984Furthermore, if crime risks go up in your neigh-
2985borhood, it is in the interest of your protection
2986company (and those companies of your neighbors)
2987to hire protectors (or guards) to patrol your area.
2988Unless you attack your neighbor, their protectors
2989will never threaten you.
2990
2991Fourth, in a State, your police protection is just
2992as likely to arrest you for some crime that has no
2993victim. There are no such victimless "crimes" in
2994the agora.
2995
2996Fifth, the rights of the victim (you) can never
2997be overridden by the rights of the real criminal.
2998Under agorist justice, the arbitrator rules on
2999the evidence that you are, or are not, entitled to
3000restitution of goods (or even parts of the body, as
3001technology makes that possible), interest for time
3002lost, and your protection agency's expenses, includ-
3003ing detection and apprehension costs. The moment
3004the line is crossed into extracting more from the
3005media-center thief than full restoration of your
3006
3007
3008
300978
3010
3011
3012
3013Samuel Edward Konkin III — An Agorist Primer
3014
3015components and all costs incurred, you or your
3016company become the aggressor and the ex-thief s
3017protection agency will now honor its contract to
3018defend him. (All insurance and protection con-
3019tracts in an agorist society will stipulate that you
3020cannot be protected from restoration proceedings
3021after the protection company has defended you up
3022to a fair arbitration. This ideal, seldom lived up to
3023by States, is called "due process.")
3024
3025The difference between agorist protection and
3026State policing has many more characteristics but
3027this list gives you a good idea. There is nothing
3028the State can offer you in moral protection that
3029the market cannot offer; and the free market will
3030function faster and better than the State. It's
3031true that an occasional market company may be
3032unsound, but you will always have the option of
3033switching to a better competitor. Under a State,
3034you know your protection service will always be
3035the same — poor with no alternative.
3036
3037The State offers one thing the free market can-
3038not and will not offer: aggression. If you wish to
3039attack your immediate neighbors, you'll need State
3040police to attack them for the crimes of belonging
3041to the "wrong" religious group or of taking the
3042"wrong" intoxicant or of performing sex in a way
3043of which you disapprove. And, of course, your
3044neighbors will need State police to attack you for
3045similar "reasons." If you want to attack faraway
3046neighbors, you need a State army.
3047
3048Or maybe you want to live in peace and freedom
3049and will be satisfied with protection and defence.
3050
3051
3052
305379
3054
3055
3056
3057Samuel Edward Konkin III — An Agorist Primer
3058
3059
3060
3061Two Words or So
3062About National Defence
3063
3064"TT^ull agorism obviously needs no "national de-
3065
3066
3067
3068fence." There are no nations to defend and no
3069nations from which to be defended. Local protec-
3070tion against occasional criminals is sufficient.
3071
3072Once in a while, criminals might band together
3073to overwhelm a single protection company. Then
3074the agorist protection agency merely needs to hire
3075another protection company to assist it.
3076
3077Similarly, should one protection company "go
3078bad," a few of the hundreds of others would be
3079enough to apprehend its agents and shut it down.
3080But, in fact, market forces would sap such a com-
3081pany's destructive power long before it came to
3082that. People raised in an agorist society would
3083stop paying its insurance premiums and shift to its
3084competitors. Detective and investigation agencies
3085would terminate their contracts with it. Arbitra-
3086tors would consistently rule against its aggressive
3087moves. Agents working for the company would
3088quit and go elsewhere. Secretaries and office help
3089would walk out rather than have their reputations
3090sullied by associating with such un-agorist types.
3091Even restaurants and grocery stores would refuse
3092to sell to the renegades or would hike their prices
3093to show their additional loss of subjective value in
3094dealing with such coercive filth.
3095
3096
3097
3098
309980
3100
3101
3102
3103Samuel Edward Konkin III — An Agorist Primer
3104
3105Perhaps the company-turning- State would pay
3106higher prices to hold on to their employees and
3107supplies or replace them. But where would they
3108get their money? They would lose customers the
3109moment they started to act like a government. It
3110is just as likely that they would collapse if they
3111attempted to live by stealing (tax-collecting) since
3112they would be compelled by force (of other compa-
3113nies) to cease and desist their aggression against
3114those companies' clients.
3115
3116People raised and educated to love an agorist
3117society could not fall for taxpaying. And if they
3118ever do, we will sink all the way down the road of
3119corruption and oppression to the level of statism. . .
3120that we "enjoy" today!
3121
3122The second word about territorial defence deals
3123with the concerns of most people when they meet
3124some version of anarchy — even the businesslike,
3125efficient, free-market kind. How does the non-state
3126defend itself against all the States still left?
3127
3128The glib answer is "let me count the ways." A
3129few should suffice to allay nameless fears.
3130
3131First, the context must not be forgotten. Gov-
3132ernment will not disappear until it is rejected by
3133the overwhelming majority of the people under its
3134rule. It is highly unlikely that other people, in oth-
3135er countries around the world, will be unaffected
3136should North America oust its State through this
3137libertarian infection. A Libertarian International
3138formed in 1980, had its first convention in Zurich
3139in August, 1982, and continues into the 21st cen-
3140tury as the International Society for Individual
3141
3142
3143
314481
3145
3146
3147
3148Samuel Edward Konkin III — An Agorist Primer
3149
3150Liberty (ISIL). Many of these members could be
3151relied upon to act as fifth columnists in their home
3152countries to stop their governments from attacking
3153the obviously peaceful anarchy.
3154
3155Second, although we do not rule out "naked
3156aggression," remember that wars are caused by
3157both sides. There is an entire branch of libertar-
3158ian theory we skipped in making this presenta-
3159tion (actually, more than one) called Revisionist
3160History, which rips the mask off government
3161war propaganda to reveal the gleaming skull
3162underneath. The United States, for example, has
3163not been involved in a single war since the first
3164Revolution that could not have been avoided nor
3165one that would have cost American citizens their
3166liberty had it been avoided (said liberty, to be
3167sure, which they were already losing to their own
3168government). Several volumes have been written
3169about each of these wars, from Establishment and
3170Revisionist perspectives, but, let me just list the
3171bold, simple conclusions here and you can research
3172for yourself whether I'm right.
3173
3174War of 1812 — US "Warhawks" sought a land
3175grab in Canada. Pretext for the war: "impressment
3176of American seamen" in ships running the British
3177blockade of Napoleon. (True but trivial in com-
3178parison to war and its cost in lives and freedom.)
3179
3180Mexican War — U.S. Southern interests
3181sought land grab of Texas and other Mexican
3182territories to form more "slave states" to balance
3183off new Northern "free" states. Pretext: Mexico
3184
3185
3186
318782
3188
3189
3190
3191Samuel Edward Konkin III — An Agorist Primer
3192
3193attacked Republic of Texas and thus U.S. sod.
3194(Probably not; and Texas was not U.S. sod then.)
3195
3196War Between The States — North wished to
3197enslave the South; South (justifiably) wished to
3198be free of the North. Pretext: Abolition of slavery
3199in South. (North kept slavery in Northern terri-
3200tory; also, hard-core abolitionists supported both
3201Southern secession and abolition of slavery as
3202same issue of freedom.)
3203
3204Spanish-American War — U.S. interests
3205grabbed Spanish colonies (Cuba, Philippines) for
3206exploitation and turned the U.S. State into an
3207old-world empire. Pretext: U.S. battleship Maine
3208was "attacked" in a Cuban harbor. (Even though
3209innocent, Spain apologized anyway and bent over
3210backwards to avoid war.)
3211
3212World War I — U.S. interests, especially bank-
3213ers, bet on Great Britain and moved U.S. in to
3214save their investments when Russians pulled out
3215leaving Germany one front. Pretext: German U-
3216Boats attacked British ship carrying Americans;
3217declaration of unrestricted submarine warfare
3218zones by Germany. (Trivial relative to war, and
3219U.S. ships should have "taken their chances" if
3220they insisted on running huge risks for high profits
3221by penetrating the blockades. GB was blockading
3222Germany and other interests wanted to replay
3223"War of 1812" and attack Britain.)
3224
3225World War II (Europe, 1939) — Britain gave
3226Poland a "blank-check treaty" if they would hold
3227out 99%-German Danzig from Germany — the last
3228adjustment of the Versailles Treaty (ending WWI)
3229
3230
3231
323283
3233
3234
3235
3236Samuel Edward Konkin III — An Agorist Primer
3237
3238that penalized Germany. Also, Britain and France
3239refused alliance with Russia against the "fascist
3240menace" (although Bolshevik Russia was seriously
3241threatened by Nazi aggression, unlike Danzig-less
3242Poland, not to mention distant Great Britain)
3243and thus pushed USSR to German side in fear.
3244Poland was overwhelmingly outnumbered and
3245still refused to return German Danzig. Pretext:
3246Germany invaded Poland without provocation.
3247(Nonsense; allied war propaganda. Poland was so
3248surprised that they were already fully mobilized
3249and standing on the border on September 1,1939.)
3250
3251World War II (Pacific, 1941) — The United
3252States New Deal administration sought entry to
3253the European theatre (above) and required an "at-
3254tack" since 80% of Americans opposed 'bailing out
3255Britain" again. Japanese were strangled by British
3256blockade aided by "neutral" U.S. ships; Japanese
3257funds in U.S. were seized by U.S. government, and
3258Japanese emissaries for peace were insulted and
3259scorned. Pretext: Japan attacked Pearl Harbor
3260naval installation — few, if any innocent U.S. ci-
3261vilians injured. (Japan knew it would be dragged
3262into the war and would lose; it struck first to de-
3263lay the inevitable. Japanese "bushido" code was
3264offended — deliberately and provocatively — by
3265U.S. statists.)
3266
3267Korean War — Artificial division of Korea
3268(WWII) between a Northern communist dictator-
3269ship and a Southern, pro-U.S. State dictatorship;
3270U.S. entered to prop up colonies France and Japan
3271were abandoning in Southeast Asia for variety
3272
3273
3274
327584
3276
3277
3278
3279Samuel Edward Konkin III — An Agorist Primer
3280
3281of corporate-interest and Soviet-containment
3282reasons. Pretext: Communist aggression which
3283involved China and Russia. (China attacked the
3284U.S. after American troops threatened to cross
3285the Yalu River into China. Russia sat back and
3286sold arms — as the U.S. had done before landing
3287troops.)
3288
3289Vietnam War — U.S. attempted to keep former
3290French Indo-China from passing into Eastern
3291bloc. (See Korean War; this was a continuation
3292from 1954.) As became obvious immediately after,
3293when China switched over to U.S. side, "Commu-
3294nist" countries are not necessarily threats to U.S.
3295Pretext: Defend South Vietnamese, who wanted
3296Western-style democracy, from Communist form
3297of statists. (South Vietnamese were split and there
3298was never anything even as "free" as democracy
3299there under the various generals and the Diem
3300dictatorship.)
3301
3302El Salvador — Certain U.S. industries and
3303banks have heavy investments in Latin Ameri-
3304can countries and fear their expropriation by
3305Communist or Marxist governments. Pretext:
3306Salvadorans want democracy, not communism.
3307(Salvadorans voted in U.S. -monitored election
3308and got a genuine fascist government [ARENA
3309party of Roberto D Aubuisson] and massive mur-
3310der of "democrats" — let alone communists — by
3311ARENA death squads. The U.S. then overruled
3312the results of an election they had demanded in
3313the first place.)
3314
3315
3316
331785
3318
3319
3320
3321Samuel Edward Konkin III — An Agorist Primer
3322
3323Iraq War I — U.S. sought to preserve its in-
3324terests in Saudi Arabian oil fields, fearing that if
3325Kuwait fell and former U.S. ally Saddam Hussein
3326enriched himself from oil profits there, then Saudi
3327Arabia might be next. Pretext: Iraq invaded Ku-
3328wait (separated from Iraq by British in 1932) to
3329regain its port and to seize oil fields on the theory
3330that they were using a slant drill to "drink the
3331milkshake" of Iraq's al-Rumaila fields.
3332
3333Afghan War — U.S. and U.K. attempt to se-
3334cure Afghanistan to protect a proposed natural
3335gas pipeline from Turkmenistan to Pakistan and
3336India passing right through the Kandahar prov-
3337ince. This, in an effort to counteract perceived
3338Russo-Iranian energy trade in the region. Pre-
3339text: Taliban gave aid and comfort to 9/11 attack
3340coordinator Osama bin Laden, oppressed women,
3341and served as a training haven for Islamic funda-
3342mentalist terrorists.
3343
3344Iraq War II — U.S. continued to perceive Iraq
3345as a threat to its oil interests in the middle east,
3346especially after Iraq's scorched-earth retreat from
3347the Kuwaiti oil fields in 1991. In addition, per-
3348sonal grudges may have played a part, since the
3349sitting president's father had once been targeted
3350for assassination by Hussein. Pretext: Saddam
3351Hussein's repeated scofflawing of numerous U.N.
3352resolutions and rumours that Iraq still pursued
3353weapons of mass destruction.
3354
3355By the way, those quickie explanations are not
3356meant to convince you that the U.S. was wrong
3357and the other sides were right. The agorist view-
3358
3359
3360
336186
3362
3363
3364
3365Samuel Edward Konkin III — An Agorist Primer
3366
3367point is that the U.S. State was wrong and its war
3368opponents were wrong. Both or either could have
3369avoided any of the above wars.
3370
3371And, before we forget, there is an obvious third
3372way the North American non- state defends itself
3373against the State around it, if it is agorist. The pro-
3374tection agencies form larger syndicates than the
3375ones they form in the case we mentioned above of a
3376local protection company going renegade. If all the
3377policy holders of all the insurance and protection
3378companies are threatened by invasion, they will
3379throw all their combined resources (and higher
3380technology, judging by free enterprise's past per-
3381formance) on defence of the common ground.
3382
3383Fourth, the people would rise up in militias or
3384guerrilla units to defend their incredibly free so-
3385ciety. (There were advance hints of this strategy
3386when the Ukrainian Anarchist army, under Nestor
3387Makhno, had no trouble raising militia to protect
3388the local fanners from roving armies of Reds and
3389Whites during the Russian Revolution.)
3390
3391Fifth, most wars have had a strong Economic
3392component. Often access to goods or natural
3393resources was barred by protectionist State Eco-
3394nomic policies. The anarchy would have full free
3395trade with full access. Anyone wanting anything
3396produced in the North American anarchy could
3397easily buy it — without taxes and tariffs and at
3398a cheaper price than anywhere else. (Notice how
3399giant Communist China went out of its way not
3400to conquer tiny Hong Kong, although the British
3401were ready to toss it to them any time they asked,
3402
3403
3404
340587
3406
3407
3408
3409Samuel Edward Konkin III — An Agorist Primer
3410
3411and finally did. Even now, Hong Kong has not
3412seen Red Chinese tanks rolling through its streets
3413to crush its capitalist minions. In fact, much of
3414China has become a mirror of Hong Kong, with
3415Party leaders and the People's Liberation Army
3416growing rich on market activities white, black, and
3417grey. Check also the little free ports and cities of
3418Monaco, Andorra, Liechtenstein, Singapore and
3419San Marino.)
3420
3421Sixth, (and we'll have to stop eventually, so
3422let it be here) the States will quarrel amongst
3423themselves. Since the anarchy threatens no State
3424immediately (point two) (long-term, it does, as a
3425shining example of better conditions), but other
3426States with standing militaries do threaten at all
3427times, what State would want the easy-access to
3428resources (point five) in the anarchy cut off by an-
3429other State using it? That could mean war — but
3430among the States while the Anarchy freely sells
3431to all sides without favor or penalty.
3432
3433Critics of market anarchy often try to have their
3434cake and eat it too. For example, they may argue
3435that there are too few States — "what happens if
3436the States gang up?" — and at the same time too
3437many — "how can one anarchy survive among all
3438those States?" As in the case of historical examples
3439such as Revolutionary France and Revolutionary
3440Russia where the surrounding States did gang up
3441to crush the new type of State, if the country is
3442big enough, it will survive even foreign interfer-
3443ence, even in the middle of civil war (which both
3444experienced) — let alone agorist peace.
3445
3446
3447
344888
3449
3450
3451
3452Samuel Edward Konkin III — An Agorist Primer
3453
3454Additional tactics for defence and reasons for
3455nonaggression are left as an exercise for the reader.
3456
3457
3458
3459The Agorist Path
3460
3461/f^ etting from here (statism) to there (agorism)
3462
3463
3464
3465\_JTis the second and perhaps defining character-
3466istic of the latter. Unlike libertarianism, agorism
3467offers both goal and path as an internally consis-
3468tent package deal.
3469
3470The short answer is given in Axiom Four. A
3471longer answer is "applying Counter -Economics to
3472all your actions and linking preferentially with
3473others who do so creates an ever-bigger agora."
3474How that works — and what two things you need
3475to watch for — is an excellent chapter with which
3476to end this primer.
3477
3478
3479
3480
348189
3482
3483
3484
3485Samuel Edward Konkin III — An Agorist Primer
3486
3487
3488
3489Chapter Eight
3490Applied Agorism
3491
3492
3493
3494At this concluding point, we would like to
3495tie together all we have learned. Thus we
3496can see clearly the path to be taken with
3497a view to ending up with a new ability: to figure
3498out how each of us can best walk that path to our
3499own advantage. So let us begin by visualizing that
3500pathway.
3501
3502The Road From Agora
3503
3504(Q ince we have some picture of an agorist soci-
3505
3506
3507
3508Oety and an all-too-good picture of a statist so-
3509ciety, let us connect them by slowly degenerating
3510one into the other. Since it is usually more difficult
3511to see how the "real here-and-now" becomes the
3512possible, let's run the film backwards. Let us start
3513with an agorist society and run backwards in time
3514to what we have now, a statist society.
3515
3516The State exists because of a mystique that
3517confers upon it the sanction of the victim. Thus,
3518we each must have lost our sanction of the State
3519for the agora to have come about. Very well, run-
3520ning the film of this in-between period backward,
3521
3522
3523
3524
352590
3526
3527
3528
3529Samuel Edward Konkin III — An Agorist Primer
3530
3531it should appear that some "mental plague" is
3532infecting contented agorists to persuade them,
3533one by one, to give up their freedom and submit to
3534control by some embryonic government (a criminal
3535gang with a good line of buncombe).
3536
3537At first the State would be able to tax and mo-
3538bilize only its followers. It would be a voluntary
3539organization — sadomasochistic, to be sure, but
3540still tolerated by the unaffected agorists. Every time
3541the State tried to prey on insured agorists, it would
3542be brought to arbitration and restitution enforced.
3543
3544Still, against all reason, the infection grows
3545and the State is too powerful now for restitution
3546to be enforced. Some privileged people are able to
3547live successfully off plunder and be protected by
3548the mindless subjects of the new State who will
3549sacrifice their own property, and even their lives,
3550so that some may live off others. (Remember, this
3551is the opposite of how people think sanely because
3552we are deliberately going backwards. It should be
3553a comfort to know that this route is highly unlikely
3554in a forward direction.)
3555
3556The State now has its power elite, ruling class,
3557conspiracy, or whatever term you like best. They
3558can distribute some of this unearned wealth to
3559bribe agorists who have little conviction (and a
3560weak will) to join the infected masses. Now the
3561State reaches a level that permits it not only to
3562stave off the protection companies, but actually
3563to attack them. At this point, the companies go
3564"underground" or Counter-Economic, still enforc-
3565ing contracts among the remaining agorists and
3566
3567
3568
356991
3570
3571
3572
3573Samuel Edward Konkin III — An Agorist Primer
3574
3575those who are not being very well defended by the
3576inefficient State apparatus, as well as those who
3577are not in favor with the Statists' top-level elite.
3578Otherwise, people look out for Statist enforcers as
3579much as possible and develop evasive techniques in
3580order to keep their manufacture, trade and services
3581from detection and capture. They develop Counter-
3582Economic techniques. And they keep on going.
3583
3584Finally, the State compels its new citizens to
3585give up their gold for worthless paper; and then
3586the State divides into several States and mobilizes
3587the citizens to get to see which ruling class will
3588get the biggest share of the tax plunder. Sound
3589like we've gone a little crazy in imagining anyone
3590permitting this? True enough, but unfortunately,
3591this craziest picture of all describes nothing less
3592than the reality we live in right now.
3593
3594The path from here to agora now becomes blind-
3595ingly obvious. As more people reject the State's
3596mystifications — nationalism, pseudo-Economics,
3597false threats, and betrayed political promises —
3598the Counter- Economy grows both vertically and
3599horizontally. Horizontally, it involves more and
3600more people who turn more and more of their ac-
3601tivities toward the counter-economic; vertically, it
3602means new structures (businesses and services)
3603grow specifically to serve the Counter- Economy
3604(safe communication links, arbitrators, insurance
3605for specifically "illegal" activities, early forms of
3606protection technology, and even guards and protec-
3607tors). Eventually, the "underground" breaks into
3608the overground where most people are agorists,
3609
3610
3611
361292
3613
3614
3615
3616Samuel Edward Konkin III — An Agorist Primer
3617
3618few are statists, and the nearest State enforcement
3619cannot effectively crush them.
3620
3621These agorist condensations are highly vulnera-
3622ble when first exposed but will probably evaporate
3623back into the anonymous masses when seriously
3624threatened. Finally, one grows large enough to de-
3625fend itself against the nearest State (see Chapter
3626Seven regarding the many ways that it can defend
3627itself). Others rally to it and those agorists stay-
3628ing "home" under States' rule become ever-richer
3629trading ports with the first agora condensations.
3630
3631The rapid collapse of State taxation ability at
3632this point will push the State to rely even more
3633on inflation to support itself. The Counter- Econ-
3634omists abandon fiat money ever-faster and use
3635gold and trusted agorist gold warehouse receipts
3636("hard- money cheques"). The runaway inflation
3637approaches what Ludwig Von Mises termed "the
3638Crack-Up Boom," paper money is completely aban-
3639doned, like 1923 German reichsmarks and 1781
3640U.S. Continentals and 1787 French assignats. (See
3641the aforementioned novel Alongside Night for a
3642thrilling presentation of this scenario.)
3643
3644At the critical point when the protection compa-
3645nies can protect anyone who asks for a policy and is
3646willing to pay for it, the State loses its monopoly of
3647legitimized coercion. Once the power elite realizes
3648that "it has come to this," they will throw all the
3649force they have left at the agora. The protection
3650companies will defend the agorists, the taxpayers
3651will flee the State to the free market, the military
3652will desert as the State runs out of (acceptable)
3653
3654
3655
365693
3657
3658
3659
3660Samuel Edward Konkin III — An Agorist Primer
3661
3662pay and supplies for them, and the State will
3663collapse. (The last sentence describes the Agorist
3664Revolution, accept no substitute behavior involv-
3665ing agorist "attacks" on the State. We are strictly
3666defensive. Some people with grudges against the
3667State, incited because of State-murdered loved
3668ones, may undertake some spectacular commando
3669raids and such, but that would not be the norm.)
3670
3671Having spelled all this out, we still have one
3672big question left unanswered: why has this not
3673happened already?
3674
3675The False Dichotomy
3676
3677Divide and conquer has been a statist motto
3678and tactic since Julius Caesar. The division of
3679libertarianism from Counter- Economics has many
3680causes but several can be attributed to Statist
3681encouragement of illogic, irrationality, and sheer
3682mysticism. Nowhere is this more evident than
3683in the very field of thought confronting us: moral
3684philosophy and economics. (It is noteworthy here
3685to remember that the first economist, Adam Smith,
3686was a professor of Moral Philosophy.)
3687
3688Morally, the State and its clerical toadies have
3689separated the moral from the practical. Several
3690strains of religious thought, Kantian altruism,
3691down to Hegel's explicit worship of the State,
3692have told people to try to live morally, but always
3693fail; then the people were to let the State (with
3694the blessings of the Established Church of Statist
3695ideology) punish them.
3696
3697
3698
369994
3700
3701
3702
3703Samuel Edward Konkin III — An Agorist Primer
3704
3705Economically, the Court Economists have dis-
3706torted and changed the laws of economics to suit
3707the ruling group. Mercantilism, economic nation-
3708alism, Fabianism, fascism, Keynsianism, mon-
3709etarism, supply-side Economics, socialism, social
3710democracy, progressivism, New Deal, Fair Deal,
3711Square Deal, New Frontier, Just Society, Great
3712Society, war communism, unspecified Hope and
3713Change, and middle-of-the-road-ism are political
3714frauds and economic nonsense. In most cases, the
3715priests, intellectuals, and rulers knew what they
3716were doing and continued doing it until the snake
3717oil no longer sold. Then they simply slapped a new
3718label on the same noxious brew.
3719
3720Most people are ignorant of economics today and
3721remain frightened by the subject. Most people think
3722morality is either impossible, irrelevant, or some-
3723thing they can do nothing about but which will catch
3724up with them eventually, either while they are alive
3725or after their death. As many sages have repeated,
3726the truth will set you free. Even the cases where the
3727truth was dimly seen "as through a glass darkly,"
3728the liberating effects have been visible. Rebellious
3729religious sects often morphed into authoritarian
3730cults, but some achieved incredible freedom, such
3731as the Rhode Island Baptists, the Pennsylvanian
3732Quakers, and the American Deists, who advanced
3733the American Revolutionary ideology. Adam Smith
3734and his immediate followers in Europe created such
3735an impact in the early 19th Century trade policies
3736that a wave of economic prosperity swept the world
3737with just a lowering of trade barriers toward freedom.
3738
3739
3740
374195
3742
3743
3744
3745Samuel Edward Konkin III — An Agorist Primer
3746
3747Then came World War I and the heyday of so-
3748cialism, justified largely by the "failure" of free
3749enterprise. (It did not fail, it was stifled by internal
3750"progressive" regulation and external war "emer-
3751gencies.") With the collapse of socialism and its
3752various offspring such as Soviet Communism and
3753American Liberalism, a vacuum has opened for
3754an ideology to inspire and guide thinking people.
3755Though the States of the world give lip-service to
3756various socialist ideals, they are aware (or their
3757Higher Circles are aware) that socialist ideals are
3758losing their ability to beguile. Perhaps something
3759called Libertarianism, having given up its remain-
3760ing ties to Liberty while promising to provide it
3761through Statism, will be the next bottle of snake
3762oil the confidence men of the State will offer to
3763maintain our sanctions.
3764
3765The State in the Mind
3766
3767The State has guns and men to use them. As
3768we have seen, however, it not only can fail to
3769coerce a rebellious majority, it cannot even stop
3770an enterprising minority of black marketeers
3771and other Counter-Economists. The State must
3772be defeated in each person's mind. Once you per-
3773sonally reject its hold over you, you are as free as
3774your intelligence, your will to take risks, and the
3775aid of your allies can keep you. New converts to
3776Christianity describe a similar process, which they
3777call being "born again." Even in darkest Russia
3778or China, entrepreneurs thrive and — for a high
3779
3780
3781
378296
3783
3784
3785
3786Samuel Edward Konkin III — An Agorist Primer
3787
3788price — buy their well-being and additional free-
3789dom. Of course, any North American, Australian,
3790or European reading this should have a relatively
3791easier time and a higher payoff.
3792
3793What may be needed — in addition to spread-
3794ing the word and living it — is some form of
3795agorist psychology. Perhaps we can use the ex-
3796amples of therapy for childhood mistreatment or
3797consciousness-raising groups for feminists, gays,
3798and other obviously oppressed groups. We can all
3799get together in small affinity groups of trusted
3800friends and allies to dig our contradictions out of
3801our unconscious. We can flush out the State from
3802our heads by ourselves or together or both ways.
3803
3804Every law that you obey must be reexamined
3805with the thought, how does it protect life and prop-
3806erty 1 ? If, as almost every law in our system does, it
3807actually constricts the market or steals outright, it
3808should not be obeyed save when force is reported
3809nearby and menacing you directly.
3810
3811Once you have successfully arranged your life to
3812live in the free- market anarchy to the extent that
3813you can accept the risks — the higher the risks,
3814the bigger the payoff, including freedom — you can
3815and will quite naturally add to your ranks. Risks
3816are lowered by trustworthy marketeers working
3817together. Soon everyone will know agorists are the
3818most trustworthy of all. Come runaway inflation
3819and depressions, the unemployed and bankrupt
3820in the State's Economy will see unlimited jobs and
3821entrepreneurial opportunities, not to mention the
3822preserved wealth for capital, that the Counter-
3823
3824
3825
382697
3827
3828
3829
3830Samuel Edward Konkin III — An Agorist Primer
3831
3832Economy offers and join it if only to keep from
3833starving, losing their homes, their family support,
3834and their remaining self-respect.
3835
3836Remember, an agorist is one who lives counter-
3837economically without guilt for his or her heroic,
3838day-to-day actions, with the old libertarian mo-
3839rality of never violating another's person or prop-
3840erty. There is no "membership card" to fool you;
3841an agorist is one who lives agorism. Accept no
3842counterfeits.
3843
3844There are agorists "trying to live up to it." There
3845are, of course, liars who will claim to be anything.
3846As Yoda said so succinctly, "Do. Or do not. There
3847is no try."
3848
3849That's Agorism.
3850
3851
3852
385398
3854
3855
3856
3857Samuel Edward Konkin III — An Agorist Primer
3858
3859
3860
3861Afterword
3862
3863
3864
3865Beyond Basic Agorism
3866
3867A few words may be appropriate here for
3868the reader who enjoyed the primer but
3869wishes to go on to the hard stuff. There
3870are two ways to go.
3871
3872Horizontally, one can delve deeply into eco-
3873nomics, Counter-Economics, Revisionist History,
3874and some areas not really covered here, such as
3875libertarian philosophy, psychology, and literature.
3876There are plenty of sources for those who wish to
3877check out some of our claims here or specialize in
3878an area of personal excitement.
3879
3880Vertically, one has fewer choices because few
3881publications have emerged so far from this brand-
3882new movement. This author has published New
3883Libertarian Manifesto — available from KoPubCo
3884— for those who wish to go beyond mere simple
3885agorism to become activists, advance protection
3886agents defending the Counter- Economy by public
3887relations, education... and other means.
3888
3889Websites, such as agorism. info and agorist.
3890com, have sprung up, created by agorists eager to
3891extend theory into practical action.
3892
3893
3894
389599
3896
3897
3898
3899Samuel Edward Konkin III — An Agorist Primer
3900
3901
3902
3903A full-sized book — Counter -Economics — is
3904awaiting publication at KoPubCo, [though it lay
3905unfinished at the time of SEK3's death. — VK\. It
3906will emphasize examples and practice, the theory
3907being as much as already covered here.
3908
3909
3910
3911
3912Samuel Edward Konkin III — An Agorist Primer
3913
3914
3915
3916This First Edition of An Agorist Primer is set in
3917Century Schoolbook type, a very pleasant and
3918readable font, at 12 points on 14 point leading.
3919Titles are in Academy Engraved and Baskerville
3920Old Face. Typesetting, layout, and cover design
3921was performed by Black Dawn Graphics, which
3922has provided services to KoPubCo since 1983.
3923
3924
3925
3926101
3927
3928
3929
3930About the Author
3931
3932
3933
3934Samuel Edward Konkin III was a vanguard move-
3935ment theorist and hard-core activist since the
3936historic split between libertarians and conserva-
3937tives at the YAF convention in St. Louis, 1969. In the
3938subsequent three and a half decades, he served as edi-
3939tor and publisher of the longest-lived libertarian publi-
3940cation, beginning as Laissez-Faire! (1970), then as New
3941Libertarian Notes (1971-75), New Libertarian Weekly
3942(1975-77, the longest-running libertarian weekly), and
3943New Libertarian (1978-1990). He wrote the seminal
3944work on agorism, New Libertarian Manifesto, in 1980.
3945
3946He has coined the following terms and concepts,
3947many of which have turned up in all libertarian pub-
3948lications: Counter-Economics, agorism, minarchy,
3949partyarchy, anti-principles, Left Libertarianism, anar-
3950chozionism, "Browne-out," red market, Kochtopus, and
3951more. He has influenced the works of authors such as
3952J. Neil Schulman (Alongside Night) and Victor Koman
3953(Solomon's Knife), who both had their first professional
3954fiction sales in the pages of his publications.
3955
3956Mr. Konkin served as Executive Director of the
3957Agorist Institute, an outreach organization promulgat-
3958ing the principles of agorism and counter-economics.
3959He was guest of honor at science-fiction conventions
3960and libertarian gatherings and was a seasoned world
3961traveller. His unfinished magnum opus, Counter-
3962Economics, will see publication in the near future.
3963Mr. Konkin died February 23, 2004.
3964
3965
3966
3967Now that you've read it in electronic form, you might
3968want to order the keepsake KoPubCo hardcover first
3969edition of Samuel Edward Konkin Ill's masterpiece.
3970
3971
3972
3973
3974Counter-Economics,
3975Total Freedom,
3976and You
3977
3978Samuel Edward Konkin III
3979
3980
3981
3982kopubco.com/aap_hb.html
3983ISBN 978-0-9777649-4-5
3984
3985
3986
3987
3988KoPubCo is the publishing division of
3989The Triplanetary Corporation
3990
3991
3992
3993mm
3994
3995
3996
3997
3998The classic of libertarian theory and practice is
3999back in print in a newly re-typeset, pocket-sized
4000edition! One of the most influential works in the
4001| field, New Libertarian Manifesto is more timely
4002than ever. Includes critiques by Murray N.
4003Rothbard, Robert LeFevre, and Erwin S.
4004| "Filthy Pierre" Strauss, and responses by
4005Samuel Edward Konkin III.
4006
4007
4008
4009Konkin's writings are to be welcomed.
4010Because we need a lot more poly-
4011centrism in the movement. Because
4012| he shakes up Partyarchs who tend
4013to fall into unthinking compla-
4014cency. And especially because
4015he cares deeply about liberty and can
4016read and write, qualities which seem to be
4017going out of style in the libertarian movement."
4018
4019—Murray N. Rothbard, Ph.D.
4020
4021
4022
4023kopubco.com/nlm_trade.html
4024ISBN 978-0-9777649-2-1
4025
4026
4027
4028
4029KoPubCo is the publishing division of
4030The Triplanetary Corporation
4031
4032
4033
4034mm
4035
4036From 1970 to 1990, New Libertarian — in all its myriad forms
4037— published many of the luminaries of the movement and
4038served as a springboard for new and upcoming counter-econ-
4039mic stars. Nearly all back issues are available from KoPubCo
4040in either their original form or as quality photocopies.
4041
4042
4043
4044
4045Laissez Faire! (1970)
4046
4047New Libertarian Notes (1971 to 1975)
4048
4049New Libertarian Weekly (1975 to 1977)
4050
4051New Libertarian (1978 to 1990)
4052
4053New Libertarian Manifesto (1980-2006)
4054
4055Strategy of the New Libertarian Alliance (1981 to 1983)
4056
4057New Libertarian Notes & Calendar (1985 to 1987)
4058
4059New Libertarian: The Newsletter (1988 to 1990)
4060
4061Robert Anton Wilson in New Libertarian Publications
4062
4063TheAgorist Quarterly
4064
4065Writers Appearing in New Libertarian Publications
4066
4067
4068
4069The New Christmas Ctasle!
4070
4071i — — i
4072
4073
4074
4075of
4076
4077
4078
4079
4080Th£ <§>£er£t §torg
4081of Santa's 'RjzM §on
4082
4083Samuel Edward Konkin III
4084
4085and Victor Koman
4086
4087
4088kopubco.com/tloac_pb.html
4089ISBN 978-0-9777649-5-2
4090
4091
4092
4093
4094KoPubCo is the publishing division of
4095The Triplanetary Corporation