Section G - Is individualist anarchism capitalistic? G.1 Are individualist anarchists anti-capitalist? G.1.1 Why is the social context important in evaluating Individualist Anarchism? G.2 Why does individualist anarchism imply socialism? G.2.1 What about their support of the free market? G.2.2 What about their support of "private property"? G.3 What about "anarcho"-capitalism's support of Tucker's "defence associations"? G.4 Why do social anarchists reject individualist anarchism's ideas? G.5 Benjamin Tucker - capitalist or anarchist? G.6 What are the ideas of Max Stirner? G.7 Lysander Spooner - right-Libertarian or libertarian socialist? Section G - Is individualist anarchism capitalistic? The short answer is, no, it is not. All the individualist anarchists were opposed to the exploitation of labour and all forms of non-labour income (such as profits, interest and rent) and property. As such it is deeply *anti*-capitalist and many individualist anarchists, including Benjamin Tucker, considered themselves as socialists (indeed, Tucker often called his theory "Anarchistic-Socialism"). So, in this section of our anarchist FAQ we indicate why the individualist anarchists cannot be classified as "ancestors" of the bogus libertarians of the "anarcho"-capitalist school. Instead they must be (due to their opposition to wage slavery, capitalist property, interest, rent and profit as well as their concern for equality and co-operation) classified as libertarian *socialists*, albeit being on the liberal wing of anarchist thought. So while *some* of their ideas do overlap with those of the "anarcho"-capitalist school they are not capitalistic, no more than the overlap between their ideas and anarcho-communism makes them communistic. In this context, the creation of "anarcho"-capitalism may be regarded as yet another tactic by capitalists to reinforce the public's perception that there are no viable alternatives to capitalism, i.e. by claiming that "even anarchism implies capitalism." In order to justify this claim, they have searched the history of anarchism in an effort to find some thread in the movement that can be used for this purpose. They think that with the individualist anarchists they have found such a thread. However, as we've already seen, by its very definition -- as opposition to hierarchical authority -- *all* threads of anarchism are *incompatible* with capitalism. As Malatesta argued, "anarchy, as understood by the anarchists and as only they can interpret it, is based on socialism. Indeed were it not for those schools of socialism which artificially divide the natural unity of the social question, and consider some aspects out of context . . . we could say straight out that anarchy is synonymous with socialism, for both stand for the abolition of the domination and exploitation of man by man, whether exercised at bayonet point or by a monopoly of the means of life." Without socialism, liberty (i.e. liberalism) is purely "liberty . . . for the strong and the property owners to oppress and exploit the weak, those who have nothing . . . [so] lead[ing] to exploitation and domination, in other words, to authority . . . for freedom is not possible without equality, and real anarchy cannot exist without solidarity, without socialism." [_Anarchy_, p. 47 and p. 46] Nevertheless, in the individualists we find anarchism coming closest to "classical" liberalism and being influenced by the ideas of Herbert Spencer, a classical liberal and proto-libertarian capitalist. This influence, as was noted by Peter Kropotkin at the time (e.g. in _Modern Science and Anarchism_), led individualist anarchists like Benjamin Tucker to support contract theory in the name of freedom, apparently without being aware of the authoritarian social relationships that could be implied by it, as can be seen under capitalism. Therefore, this section can also be considered, in part, as a continuation of the discussion begun in section A.3. Few thinkers are completely consistent. Given Tucker's adamant anti-statism and anti-capitalism, it is likely that had he realised the statism implicit in contract theory, he would have modified his views in such a way as to eliminate the contradiction. It is understandable why he failed to do so, however; for he viewed individualist anarchism as a society of workers, not one of capitalists and workers. His opposition to usury logically implies artisan and co-operative labour -- people selling the products of their labour, as opposed to the labour itself -- which itself implies self-management in production (and so society), not authoritarianism. Nevertheless, it is this inconsistency -- the non-anarchist aspect of individualist anarchism -- which right "libertarians" like Murray Rothbard select and concentrate on, ignoring the anti-capitalist context in which this aspect of individualist thought exists within. As David Wieck points out: "Out of the history of anarchist thought and action Rothbard has pulled forth a single thread, the thread of individualism, and defines that individualism in a way alien even to the spirit of a Max Stirner or a Benjamin Tucker, whose heritage I presume he would claim -- to say nothing of how alien is his way to the spirit of Godwin, Proudhon, Bakunin, Kropotkin, Malatesta, and the historically anonymous persons who through their thoughts and action have tried to give anarchism a living meaning. Out of this thread Rothbard manufactures one more bourgeois ideology." [David Wieck, "Anarchist Justice", _Nomos XIX_, pp. 227-228] It is with this in mind that we discuss the ideas of people like Tucker. As this section of the FAQ will indicate, even at its most liberal, individualist, extreme anarchism was fundamentally *anti*-capitalist. Any concepts which "anarcho"-capitalism imports from the individualist tradition ignore the social context of self-employment and artisan production within which those concepts arose, thus turning them into something radically different from what was intended by their originators. It is not a fitting tribute to the individualist anarchists that their ideas are today being associated with the capitalism that they so clearly despised and wished to abolish. G.1 Are individualist anarchists anti-capitalist? Yes, for two reasons. Firstly, the Individualist Anarchists opposed profits, interest and rent as forms of exploitation (they termed these non-labour incomes "usury"). To use the words of Ezra Heywood, the Individualist Anarchists thought "Interest is theft, Rent Robbery, and Profit Only Another Name for Plunder." [quoted by Martin Blatt, _Benjamin R. Tucker and the Champions of Liberty_, Coughlin, Hamilton and Sullivan (eds.), p. 29] Their vision of the good society was one in which "the usurer, the receiver of interest, rent and profit" would not exist and labour would "secure its natural wage, its entire product." [Benjamin Tucker, _The Individualist Anarchists_, p. 82 and p. 85] As communist-anarchist Alexander Berkman noted, "[i]f labour owned the wealth it produced, there would be no capitalism." [_What is Communist Anarchism?_, p. 37] Thus the Individualist Anarchists, like the social anarchists, opposed the exploitation of labour and desired to see the end of capitalism by ensuring that labour would own what it produced. Secondly, the individualist anarchists desired a society in which there would no longer be capitalists and workers, only workers. The worker would receive the full product of his/her labour, so ending the exploitation of labour by capital. In Tucker's words, a free society would see "each man reaping the fruits of his labour and no man able to live in idleness on an income from capital" and so society would "become a great hive of Anarchistic workers, prosperous and free individuals" combining "to carry on their production and distribution on the cost principle." [_The Individualist Anarchists_, p. 276] Moreover, such an aim logically implies a society based upon artisan, not wage, labour and workers would, therefore, not be separated from the ownership and control of the means of production they used and so sell the product of their labour, not the labour power itself. For these two, interrelated, reasons, the Individualist Anarchists are clearly anti-capitalist. While an Individualist Anarchy would be a market system, it would not be a capitalist one. As Tucker argued, the anarchists realised "the fact that one class of men are dependent for their living upon the sale of their labour, while another class of men are relieved of the necessity of labour by being legally privileged to sell something that is not labour. . . . And to such a state of things I am as much opposed as any one. But the minute you remove privilege. . . every man will be a labourer exchanging with fellow-labourers . . . What Anarchistic-Socialism aims to abolish is usury . . . it wants to deprive capital of its reward." [Benjamin Tucker, _Instead of a Book_, p. 404] As noted above, the term "usury," for Tucker, was a synonym for "the exploitation of labour" [Ibid., p. 396] and included capitalist profits as well as interest, rent, and royalties. Little wonder Tucker translated Proudhon's _What is Property?_ and subscribed to its conclusion that "property is robbery" (or theft). Such opposition to exploitation of labour was a common thread in Individualist Anarchist thought, as it was in the social anarchist movement. Moreover, as in the writings of Proudhon, Bakunin and Kropotkin opposition to wage slavery was also a common thread within the individualist anarchist tradition -- indeed, given its regular appearance, we can say it is almost a *defining* aspect of the tradition (and, as we argue in the next section, it has to be for Individualist Anarchism to be logically consistent). For example, taking Josiah Warren (the "father" of individualist anarchism) we find that "[t]o men like [him] . . . chattel slavery was merely one side of a brutal situation, and although sympathetic with its opponents, refused to take part in the struggle [against slavery] unless it was extended to a wholesale attack on what they termed 'wage slavery' in the states where Negro slavery no longer existed." [James J. Martin, _Men Against the State_, p. 81] Such a view, we may add, was commonplace in radical working class journals and movements of the time. Thus we find George Henry Evans (who heavily influence Individualist Anarchists like Warren and Ingalls with the ideas of land reform based on "occupancy and use") writing: "I was formally, like yourself, sir, a very warm advocate of the abolition of (black) slavery. This was before I saw that there was white slavery. Since I saw this, I have materially changed my views as to the means of abolishing Negro slavery. I now see clearly, I think, that to give the landless black the privilege of changing masters now possessed by the landless white, would hardly be a benefit to him in exchange for his surety of support in sickness and old age, although he is in a favourable climate." [quoted by Kenneth R. Gegg, Jr., _Benjamin R. Tucker and the Champions of Liberty_, Coughlin, Hamilton and Sullivan (eds.), p. 113] Similarly, William Greene (whose pamphlet _Mutual Banking_ had a great impact on Tucker) pronounced that "[t]here is no device of the political economists so infernal as the one which ranks labour as a commodity, varying in value according to supply and demand." [_Mutual Banking_ quoted by Martin, Op. Cit., p. 130] In the same work he also noted that "[t]o speak of labour as merchandise is treason; for such speech denies the true dignity of man. . . Where labour is merchandise in fact . . . there man is merchandise also, whether in England or South Carolina." [quoted by Rudolf Rocker, _Pioneers of American Freedom_, p. 112] Here we see a similar opposition to the commodification of labour (and so labourers) within capitalism that also marks social anarchist thought (as Rocker notes, Greene "rejected . . . the designation of labour as a *commodity.*" [Op. Cit., pp. 111-2]). Moreover, we discover Greene had a "strong sympathy for the *principle of association.* In fact, the theory of Mutualism is nothing less that co-operative labour based on the cost principle." [Rudolf Rocker, Op. Cit., p. 109] Martin also indicates Greene's support for co-operation and associative labour: "Coming at a time when the labour and consumer groups were experimenting with 'associated workshops' and 'protective union stores,' Greene suggested that the mutual bank be incorporated into the movement, forming what he called 'complementary units of production, consumption, and exchange . . . the triple formula of practical mutualism.'" [Op. Cit., pp. 134-5] This support for producers' associations alongside mutual banks is identical to Proudhon's ideas -- which is unsurprising as Greene was a declared follower of the French anarchist's ideas. Looking at Lysander Spooner, we discover a similar opposition to wage labour. Spooner argued that it was state restrictions on credit and money (the "money monopoly" based on banks requiring specie to operate) as the reason why people sell themselves to others on the labour market. As he put it, "a monopoly of money . . . .put[s] it wholly out of the power of the great body of wealth-producers to hire the capital needed for their industries; and thus compel them . . . -- by the alternative of starvation -- to sell their labour to the monopolists of money . . . [who] plunder all the producing classes in the prices of their labour." [_A Letter to Grover Cleveland_, p. 20] Spooner was well aware that it was capitalists who ran the state ("the employers of wage labour . . . are also the monopolists of money." [Op. Cit., p. 48]). In his ideal society, the "amount of money capable of being furnished . . . is so great that every man, woman, and child. . . could get it, and go into business for himself, or herself -- either singly, or in partnerships -- and be under no necessity to act as a servant, or sell his or her labour to others. All the great establishments, of every kind, now in the hands of a few proprietors, but employing a great number of wage labourers, would be broken up; for few, or no persons, who could hire capital, and do business for themselves, would consent to labour for wages for another." [Op. Cit., p. 41] In other words, a society without wage labour and, instead, based upon peasant, artisan and associated/co-operative labour (as in Proudhon's vision). In other words, a *non*-capitalist society or, more positively, a (libertarian) socialist one as the workers' own and control the means of production they use. The individualist anarchists opposed capitalism (like social anarchists) because they saw that profit, rent and interest were all forms of exploitation. They thought that liberty meant that the worker was entitled to "all the fruits of his own labour" (Spooner) and recognised that working for a boss makes this impossible as a portion is diverted into the employer's pockets. [Martin, Op. Cit., p. 172] Like social anarchists they opposed usury, to have to pay purely for access/use for a resource (a "slice of their daily labour us taken from them [the workers] for the privilege of *using* these factories" [Alexander Berkman, _What is Communist Anarchism?_, p. 6]). This opposition to profits, rent and interest as forms of exploitation, wage labour as a form of slavery and property as a form of theft clearly makes individualist anarchism anti-capitalist and a form of (libertarian) socialism. In addition, it also indicates well the common ground between the two threads of anarchism, in particular their common position to capitalism. The social anarchist Rudolf Rocker indicates well this common position when he argues: "it is difficult to reconcile personal freedom with the existing economic system. Without doubt the present inequality of economic interests and the ruling class conflicts in society are a continual danger to the freedom of the individual. . . One cannot be free either politically or personally so long as one is in economic servitude of another and cannot escape from this condition. This was recognised by men like Godwin, Warren, Proudhon, Bakunin, [and women like Goldman and de Cleyre, we must add!] and many others who subsequently reached the conviction that the domination of man over man will not disappear until there is an end of the exploitation of man by man." [_Nationalism and Culture_, p. 167] In addition to this opposition to capitalist usury, the individualist anarchists also expressed opposition to capitalist ideas on property (particularly property in land). J.K. Ingalls, for example, considered that to reduce land to the status of a commodity was an act of "usurpation." Indeed, "the private domination of the land" originated in "usurpation only, whether of the camp, the court or the market. Whenever such a domination excludes or deprives a single human being of his equal opportunity, it is a violation, not only of the public right, and of the social duty, but of the very principle of law and morals upon which property itself is based. . ." [_Social Wealth_, quoted by Martin, Op. Cit., p. 148f] These ideas are identical to Proudhon's and Ingalls continues in this Proudhonian "occupancy and use" vein when he argues that possession "remains *possession*, and can never become *property*, in the sense of absolute dominion, except by positive statue [i.e. state action]. Labour can only claim *occupancy*, and can lay no claim to more than the usufruct." [Ibid., p. 149] In other words, capitalist property was created by "forceful and fraudulent taking" of land, which "could give no justification to the system" [Ibid.] (as we argued in section B.3.4) and was protected by the state. And like Warren and Greene he opposed wage labour, and "considered the only 'intelligent' strike [by workers as] one which would be directed against wage work altogether." [Ibid., p. 153] Therefore we see that the individualist anarchists, like social anarchists, opposed capitalist exploitation, wage slavery and property rights. Instead of capitalism, they maintained that workers should own what they produced or its equivalent (rather than what they were paid in wages). Such a position necessarily implies that they should own and control the means of production they use, thus ensuring the "abolition of the proletariat" (to use Proudhon's term) and so the end of capitalism as society would no longer be divided into two classes, those who worked and those who owned. In an individualist anarchy, "there should be no more proletaires" as "everybody" would be "proprietor." This would result in "The land to the cultivator. The mine to the miner. The tool to the labourer. The product to the producer." [Ernest Lesigne quoted approvingly by Tucker at the end of his essay "State Socialism and Anarchism" in _Instead of a Book_, p. 17, p. 18] Ernest Lesigne considered "co-operative production" as "a solution to the great problem of social economy, -- the delivery of products to the consumer at cost" and as a means of producers to "receive the value of your product, of your effort, without having to deal with a mass of hucksters and exploiters." [_The Individualist Anarchists_, p. 123] As Charles A. Dana put it (in a work published by Tucker and described by him as "a really intelligent, forceful, and sympathetic exposition of mutual banking"), "[b]y introducing mutualism into exchanges and credit we introduce it everywhere, and labour will assume a new aspect and become truly democratic." [_Proudhon and His "Bank of the People"_, p. 45] In other words, a classless socialist society of self-employed workers without exploitation and oppression. As Wm. Gary Kline correctly summarises: "Their proposals were designed to establish true equality of opportunity . . . and they expected this to result in a society without great wealth or poverty. In the absence of monopolistic factors which would distort competition, they expected a society of largely self-employed workmen with no significant disparity of wealth between any of them since all would be required to live at their own expense and not at the expense of exploited fellow human beings." [_The Individualist Anarchists: A Critique of Liberalism_, pp. 103-4] Thus Individualist anarchy would "[m]ake capital free by organising credit on a mutual plan, and then these vacant lands will come into use . . . operatives will be able to buy axes and rakes and hoes, and then they will be independent of their employers, and then the labour problem will be solved." This would result in the "emancipation of the workingman from his present slavery to capital." [Tucker, _Instead of a Book_, p. 321 and p. 323] Moreover, like the social anarchists, the Individualist Anarchists were aware that the state was not some neutral machine or one that exploited society purely for its own ends. They were aware that it was a vehicle of *class rule,* namely the rule of the capitalist class over the working class. As noted above, Spooner thought that that "holders of this monopoly [the money monopoly] now rule and rob this nation; and the government, in all its branches, is simply their tool" and that "the employers of wage labour . . . are also the monopolists of money." [Spooner, Op. Cit., p. 42 and p. 48] Tucker recognised that "capital had so manipulated legislation" that they gained an advantage on the capitalist market which allowed them to exploit labour. [_The Individualist Anarchists_, pp. 82-3] He was quite clear that the state was a *capitalist* state, with "Capitalists hav[ing] placed and kept on the statute books all sorts of prohibitions and taxes" to ensure a "free market" skewed in favour of themselves. [quoted by Don Werkheiser, _Benjamin R. Tucker and the Champions of Liberty_, Coughlin, Hamilton and Sullivan (eds.), p. 218] A.H. Simpson argued that the Individualist Anarchist "knows very well that the present State . . . is simply the tool of the property-owning class." [Op. Cit., p. 92] Thus both wings of the anarchist movement were united in their opposition to capitalist exploitation and their common recognition that the state was a tool of the capitalist class used to allow them to exploit the working class. In addition, as a means of social change, the individualists suggested that activists start "inducing the people to steadily refuse the payment of rents and taxes." [_Instead of a Book_ pp. 299-300] This non-payment of rent included rented accommodation as "tenants would not be forced to pay [landlords] rent, nor would [landlords] be allowed to seize their [the tenants] property." [_The Individualist Anarchists_, p. 162] These are hardly statements with which capitalists would agree. Tucker, as noted, also opposed interest, considering it usury (exploitation and a "crime") pure and simple and one of the means by which workers were denied the full fruits of their labour. Indeed, he looked forward to the day when "any person who charges more than cost for any product [will] . . . be regarded very much as we now regard a pickpocket." This "attitude of hostility to usury, in any form" hardly fits into the capitalist mentality or belief system. [Op. Cit., p. 155] Similarly, Ezra Heywood considered profit-taking "an injustice which ranked second only to legalising titles to absolute ownership of land or raw-materials." [James J. Martin, Op. Cit., p. 111] Opposition to profits, rent or interest is hardly capitalistic -- indeed, the reverse. As regards equality, we discover that the Individualist Anarchist's saw their ideas as resulting in more equality. Thus we find Tucker arguing that that the "happiness possible in any society that does not improve upon the present in the matter of distribution of wealth, can hardly be described as beatific." He was clearly opposed to "the inequitable distribution of wealth" under capitalism and equally clearly saw his proposals as a means of reducing it substantially. ["Why I am an Anarchist", p. 135, contained in _Man!_, M. Graham (ed.), pp. 132-6] John Beverley Robinson agreed: "When privilege is abolished, and the worker retains all that he produces, then will come the powerful trend toward equality of material reward for labour that will produce substantial financial and social equality, instead of the mere political equality that now exists." [_Patterns of Anarchy_, pp. 278-9] As did Lysander Spooner, who argued that under his system "fortunes could hardly be represented by a wheel; for it would present on such height, no such depth, no such irregularity of motion as now. It should rather be represented by an extended surface, varied somewhat by inequalities, but still exhibiting a general level, affording a safe position for all, and creating no necessity, for either force or fraud, on the part of anyone to secure his standing." Thus Individualist anarchism would create a condition "neither of poverty, nor riches; but of moderate competency -- such as will neither enervate him by luxury, nor disable him by destitution; but which will at once give him and opportunity to labour, (both mentally and physically) and stimulate him by offering him all the fruits of his labours." [quoted by Stephan L. Newman, _Liberalism at Wit's End_, p. 72 and p. 73] Hence, like social anarchists, the Individualist Anarchists saw their ideas as a means towards equality. By eliminating exploitation, inequality would soon decrease as wealth would no longer accumulate in the hands of the few (the owners). Rather, it would flow back into the hands of those who produced it (i.e. the workers). Until this occurred, society would see "[o]n one side a dependent class of wage-workers and on the other a privileged class of wealth-monopolisers, each become more and more distinct from the other as capitalism advances." This has "resulted in a grouping and consolidation of wealth which grows apace by attracting all property, no matter by whom produced, into the hands of the privileged, and hence property becomes a social power, an economic force destructive of rights, a fertile source of injustice, a means of enslaving the dispossessed." [William Ballie, _The Individualist Anarchists_, p. 121] Tucker, like other individualist anarchists, also supported labour unions, and although he opposed violence during strikes, he recognised that it was caused by frustration due to an unjust system. Indeed, like social anarchists, he considered "the labourer in these days [as] a soldier. . . His employer is . . . a member of an opposing army. The whole industrial and commercial world is in a state of internecine war, in which the proletaires are massed on one side and the proprietors on the other." [_Instead of a Book_, p. 460] The cause of strikes rested in the fact that "before. . . strikers violated the equal liberty of others, their own right to equality of liberty had been wantonly and continuously violated" by the capitalists using the state, for the "capitalists . . . in denying [a free market] to [the workers] are guilty of criminal invasion." [Ibid., p. 454] He agreed with Ezra Heywood when he "scoffed at supporters of the status quo, who saw no evidence of the tyranny on the part of capital, and who brought up the matter of free contract with reference to labourers. This argument was no longer valid. Capital controlled land, machinery, steam power, waterfalls, ships, railways, and above all, money and public opinion, and was in a position to wait out recalcitrancy at its leisure." [James J. Martin, _Men Against the State_, p. 107] Likewise, Tucker advocated and supported many other forms of non-violent direct action such as boycotts and rent strikes, seeing them as important means of radicalising the working class and creating an anarchist society. However, like social anarchists the Individualist Anarchists did not consider labour struggle as an end in itself -- they considered reforms (and discussion of a "fair wage" and "harmony between capital and labour") as essentially "conservative" and would be satisfied with no less than "the abolition of the monopoly privileges of capital and interest-taking, and the return to labour of the full value of its production." [Victor Yarros, quoted by James J. Martin, Op. Cit., p. 206f] However, while Tucker believed in direct action, he opposed the "forceful" expropriation of social capital by the working class, instead favouring the creation of a mutualist system to replace capitalist companies with co-operative ones. Tucker was therefore fundamentally a *reformist,* thinking that anarchy would evolve from capitalism as mutual banks spread across society, increasing the bargaining power of labour. This idea of reforming capitalism over time (and, by implication, tolerating boss's control during that time) was primarily due to the influence of Herbert Spencer and not Max Stirner. Little wonder that Peter Kropotkin termed Tucker's doctrine "no force" and considered such a reformist position to be similar to Spencer's and so little more than "an excuse for supporting landlord and capitalist domination." [_Act For Yourselves_, p. 98] Be that as it may, it is clear that both social and Individualist Anarchists share much in common, including an opposition to capitalism. In other words, Individualist Anarchism is, indeed, opposed to capitalism. As Carole Pateman points out, "[t]here has always been a strong radical individualist tradition in the USA. Its adherents have been divided between those who drew anarchist, egalitarian conclusions, and those who reduced political life to the capitalist economy writ large, to a series of exchanges between unequally situated individuals." [_The Problem of Political Obligation_, p. 205] As can be seen, what right-libertarians do is to confuse these two traditions. The Individualist Anarchists may have been in favour of free exchange but between equally situated individuals. Only given a context of equality can free exchange benefit both parties equally and not generate growing inequalities which benefit the stronger of the parties involved which, in turn, skews the bargaining position of those involved in favour of the stronger (also see section F.3). G.1.1 Why is the social context important in evaluating Individualist Anarchism? When reading the work of people like Tucker and Warren, we must remember the social context of their ideas, namely the transformation of America from a pre-capitalist to a capitalist society (see Eunice Minette Schuster, _Native American Anarchism_, pp. 135-137). The individualist anarchists viewed with horror the rise of capitalism and its imposition on an unsuspecting American population, supported and encouraged by state action (in the form of protection of private property in land, restricting money issuing to state approved banks using specie, government orders supporting capitalist industry, tariffs and so on). The non-capitalist nature of the early USA can be seen from the early dominance of self-employment (artisan production). At the beginning of the 19th century, around 80% of the occupied population were self-employed. The great majority of Americans during this time were farmers working their own land, primarily for their own needs. Most of the rest were self-employed artisans, merchants, traders, and professionals. Other classes -- employees/wage workers and employers/capitalists in the North, slaves and planters in the South -- were relatively small. The great majority of Americans were independent and free from anybody's command. They controlled they owned and controlled their means of production. Thus early America was, essentially, a pre-capitalist society. However, by 1880, the year before Tucker started _Liberty_, the number of self-employed had fallen to approximately 33% of the working population. Now it is less than 10% [Samuel Bowles and Herbert Gintis, _Schooling in Capitalist America_, p. 59]. It is *only* in this context that we can understand individualist anarchism, namely as a revolt against the destruction of working-class independence and the growth of wage-labour, accompanied by the growth of two opposing classes, capitalists and proletarians. Given the commonplace awareness in the population of artisan production and its advantages, it is hardly surprising that the individualists supported "free market" solutions to social problems. For, given the era, this solution implied workers' control and the selling of the product of labour, not the labourer him/herself. As Tucker argues, individualist anarchism desires "[n]ot to abolish wages, but to make *every* man dependent upon wages and to secure every man his *whole* wages" [_Instead of a Book_, p. 404] and this, logically, can only occur under workers control (i.e. when the tool belonged to the worker, etc. -- see section G.2). Indeed, the Individualist Anarchists were part of a wider movement seeking to stop the transformation of America. As Bowles and Ginitis note, this "process has been far from placid. Rather, it has involved extended struggles with sections of U.S. labour trying to counter and temper the effects of their reduction to the status of wage labour." They continue by noting that "with the rise of entrepreneurial capital, groups of formerly independent workers were increasingly draw into the wage-labour system. Working people's organisations advocated alternatives to this system; land reform, thought to allow all to become an independent producer, was a common demand. Worker co-operatives were a widespread and influential part of the labour movement as early as the 1840s . . . but failed because sufficient capital could not be raised. . ." [Op. Cit., p. 59 and p. 62] It is no coincidence that the issues raised by the Individualist Anarchists (land reform via "occupancy-and-use", increasing the supply of money via mutual banks and so on) reflect these alternatives raised by working class people and their organisations. Little wonder Tucker argued that: "Make capital free by organising credit on a mutual plan, and then these vacant lands will come into use . . . operatives will be able to buy axes and rakes and hoes, and then they will be independent of their employers, and then the labour problem will solved." [_Instead of a Book_, p. 321] Thus the Individualist Anarchists reflect the aspirations of working people facing the transformation of an society from a pre-capitalist state into a capitalist one. As Morgan Edwards notes: "The greatest part [of _Liberty_'s readers] proves to be of the professional/intellectual class: the remainder includes independent manufacturers and merchants, artisans and skilled workers . . . The anarchists' hard-core supporters were the socio-economic equivalents of Jefferson's yeoman-farmers and craftsworkers: a freeholder-artisan-independent merchant class allied with freethinking professionals and intellectuals. These groups -- in Europe as well as in America -- had socio-economic independence, and through their desire to maintain and improve their relatively free positions, had also the incentive to oppose the growing encroachments of the capitalist State." [_Benjamin R. Tucker and the Champions of Liberty_, Coughlin, Hamilton and Sullivan (eds.), p. 85] This transformation of society by the rise of capitalism explains the development of *both* schools of anarchism, social and individualist. "American anarchism," Frank H. Brooks argues, "like its European counterpart, is best seen as a nineteenth century development, an ideology that, like socialism generally, responded to the growth of industrial capitalism, republican government, and nationalism. Although this is clearest in the more collectivistic anarchist theories and movements of the late nineteenth century (Bakunin, Kropotkin, Malatesta, communist anarchism, anarcho-syndicalism), it also helps to explain anarchists of early- to midcentury such as Proudhon, Stirner and, in America, Warren. For all of these theorists, a primary concern was the 'labour problem' -- the increasing dependence and immiseration of manual workers in industrialising economies." [_The Individualist Anarchists_, p. 4] Changing social conditions also explains why Individualist Anarchism must be considered socialistic. As Murray Bookchin notes: "Th[e] growing shift from artisanal to an industrial economy gave rise to a gradual but major shift in socialism itself. For the artisan, socialism meant producers' co-operatives composed of men who worked together in small shared collectivist associations, although for master craftsmen it meant mutual aid societies that acknowledged their autonomy as private producers. For the industrial proletarian, by contrast, socialism came to mean the formation of a mass organisation that gave factory workers the collective power to expropriate a plant that no single worker could properly own. These distinctions led to two different interpretations of the 'social question' . . . The more progressive craftsmen of the nineteenth century had tried to form networks of co-operatives, based on individually or collectively owned shops, and a market knitted together by a moral agreement to sell commodities according to a 'just price' or the amount of labour that was necessary to produce them. Presumable such small-scale ownership and shared moral precepts would abolish exploitation and greedy profit-taking. The class-conscious proletarian . . . thought in terms of the complete socialisation of the means of production, including land, and even of abolishing the market *as such*, distributing goods according to needs rather than labour . . . They advocated *public* ownership of the means of production, whether by the state or by the working class organised in trade unions." [_The Third Revolution_, vol. 2, p. 262] So, in this evolution of socialism we can place the various brands of anarchism. Individualist anarchism is clearly a form of artisanal socialism (which reflects its American roots) while communist anarchism and anarcho-syndicalism are forms of industrial (or proletarian) socialism (which reflects its roots in Europe). Proudhon's mutualism bridges these extremes, advocating as it does artisan socialism for small-scale industry and agriculture and co-operative associations for large-scale industry (which reflects the state of the French economy in the 1840s to 1860s). Hence Individualist Anarchist support for "the cost principle" (or "cost the limit of price") and artisanal production ("The land to the cultivator. The mine to the miner. The tool to the labourer. The product to the producer"), complemented by "the principle of association" and mutual banking. In other words, there have been many schools of socialism, all influenced by the changing society around them. In the words of Proudhon "[m]odern Socialism was not founded as a sect or church; it has seen a number of different schools." [_Selected Writings of Pierre-Joseph Proudhon_, p. 177] As Frank H. Brooks notes, "before Marxists monopolised the term, socialism, was a broad concept, as indeed Marx's critique of the 'unscientific' varieties of socialism in the _Communist Manifesto_ indicated. Thus, when Tucker claimed that the individualist anarchism advocated in the pages of _Liberty_ was socialist, he was not engaged in obfuscation or rhetorical bravado." [_The Individualist Anarchists_, p. 75] Looking at the society in which their ideas developed (rather than a-historically projecting modern ideas backward) we can see the socialist core of Individualist Anarchism. It was, in other words, an un-Marxian form of socialism (as was communist-anarchism). Thus, to look at the Individualist Anarchists from the perspective of "modern socialism" (say, communist-anarchism or Marxism) means to miss the point. The social conditions which produced Individualist Anarchism were substantially different from those existing today and what was a possible solution to the "social problem" *then* may not be one suitable *now* (and, indeed, point to a different kind of socialism than that which developed later). Moreover, Europe in the 1870s was distinctly different than America (although, of course, the USA *was* catching up). For example, there was still vast tracks of unclaimed land (once the Native Americans had been removed, of course) available to workers (which explains the various acts the US state to control land access -- see section F.8.5). In the towns and cities, artisan production "remained important . . . into the 1880s" [David Montgomery, _The Fall of the House of Labour_, p. 52] Until the 1880s, the possibility of self-employment was a real one for many workers, a possibility being hindered by state action (for example, by forcing people to buy land via Homestead Acts, restricting banking to those with specie, and so on). Little wonder that Individualist Anarchism was considered a real solution to the problems generated by the creation of capitalism in the USA and that, by the 1880s, Communist Anarchist (and later anarcho-syndicalism) became the dominant forms of anarchism. By the 1880s, the transformation of America was nearing completion and self-employment was no longer a real solution for the majority of workers. As Peter Sabatini points out: "The chronology of anarchism within the United States corresponds to what transpired in Europe and other locations. An organised anarchist movement imbued with a revolutionary collectivist, then communist, orientation came to fruition in the late 1870s. At that time, Chicago was a primary centre of anarchist activity within the USA, due in part to its large immigrant population. . . "The Proudhonist anarchy that Tucker represented was largely superseded in Europe by revolutionary collectivism and anarcho-communism. The same changeover occurred in the US, although mainly among subgroups of working class immigrants who were settling in urban areas. For these recent immigrants caught up in tenuous circumstances within the vortex of emerging corporate capitalism, a revolutionary anarchy had greater relevancy than go slow mutualism." [_Libertarianism: Bogus Anarchy_] Murray Bookchin argues that the development of communist-anarchism "made it possible for anarchists to adapt themselves to the new working class, the industrial proletariat, . . . This adaptation was all the more necessary because capitalism was now transforming not only European [and American] society but the very nature of the European [and American] labour movement itself." [Op. Cit., p. 259] With the changing social conditions in the US, the anarchist movement changed to. Hence the rise of communist-anarchism in addition to the more native individualist tradition and the change in Individualist Anarchism itself: "Green emphasised more strongly the *principle of association* than did Josiah Warren and more so than Spooner had done. Here too Proudhon's influence asserts itself. . . In principle there is essentially no difference between Warren and Proudhon. The difference between them arises from a dissimilarity of their respective environments. Proudhon lived in a country where the sub-division of labour made co-operation in social production essential, while Warren had to deal with predominantly small individual producers. For this reason Proudhon emphasised the *principle of association* far more than Warren and his followers did, although Warren was by no means opposed to this view." [Rudolf Rocker, _Pioneers of American Freedom_, p. 108] This social context is essential for understanding the thought of people like Greene, Spooner and Tucker. For example, as Stephen L. Newman points out, Spooner "argues that every man ought to be his own employer, and he envisions a world of yeoman farmers and independent entrepreneurs." [_Liberalism at Wit's End_, p. 72] This sort of society was in the process of being destroyed when Spooner was writing. However, the Individualist Anarchists did not think this transformation was unstoppable and proposed, like other sections of US labour, various solutions to problems society faced. Moreover, they adjusted their own ideas to changing social circumstances as well, as can be seen by Greene's support for co-operatives ("the principle of association") as the only means of ending exploitation of labour by capital. Therefore Rocker was correct when he argued that Individualist Anarchism was "above all . . . rooted in the peculiar social conditions of America which differed fundamentally from those of Europe." [Op. Cit., p. 155] As these conditions changed, the viability of Individualist Anarchism's solution to the social problem decreased. Individualist Anarchism, argues Morgan Edwards, "appears to have dwindled into political insignificance largely because of the erosion of its political-economic base, rather than from a simple failure of strategy. With the impetus of the Civil War, capitalism and the State had too great a head start on the centralisation of economic and political life for the anarchists to catch up. This centralisation reduced the independence of the intellectual/professional and merchant artisan group that were the mainstay of the _Liberty_ circle." [Op. Cit., pp. 85-6] By not taking into account these conditions, the ideas of the likes of Tucker and Spooner will be distorted beyond recognition. Similarly, by ignoring the changing nature of socialism in the face of a changing society and economy, the obvious socialistic aspects of their ideas will be lost. Ultimately, to analyse the Individualist Anarchists in an a-historic manner means to distort their ideas and ideals. Moreover, to apply those ideas in a non-artisan economy without the intention of radically transforming the socio-economic nature of that society towards one based on artisan production one would mean to create a society distinctly different than one they envisioned (see section G.3). G.2 Why does individualist anarchism imply socialism? Here we present a short summary of why individualist anarchism implies socialism and not capitalism. While it is true that people like Tucker and Warren placed "property" at the heart of their vision of anarchy, this does not make them supporters of capitalism (see sections G.2.1 and G.2.2). Unlike capitalists, the individualist anarchists identified "property" with simple "possession," or "occupancy and use" and considered profit, rent and interest as exploitation. Indeed, Tucker explicitly stated that "all property rests on a labour title, and no other property do I favour." [_Instead of a Book_, p. 400] Because of this and their explicit opposition to usury (profits, rent and interest) and capitalist property, they could and did consider themselves as part of the wider socialist movement, the libertarian wing as opposed to the statist Marxist wing. Individualist anarchists like Tucker strongly believed that a truly free (i.e. non-capitalist) market would ensure that the worker would receive the "full product" of his or her labour. Nevertheless, in order to claim Tucker as a proto-"anarcho"-capitalist, "anarcho"-capitalists may argue that capitalism pays the "market price" of labour power, and that this price *does* reflect the "full product" (or value) of the worker's labour. As Tucker supported the Labour Theory of Value we doubt that he would have agreed with the "anarcho"-capitalist argument that market price of labour reflected the value it produced (see Section C). He, like the other individualist anarchists, was well aware that labour produces the "surplus wealth" which was appropriated in the name of interest, rent and profit. In other words, he very forcible rejected the idea that the market price of labour reflects the value of that labour, considering "the natural wage of labour is its product" and "that this wage, or product, is the only just source of income." [_Instead of a Book_, p. 6] However, assuming that we accept the capitalist economic apologetics at their face value, such an argument fails to place Individualist Anarchism in the capitalist tradition. This is because the argument ignores the need to replace and improve upon existing capital. In the context of a market economy, the replacement and improvement of capital is important, as accumulation allows the reduction of labour costs (either directly or indirectly) by investing in new machinery or processes and so improving market position. In addition, capital investments are required in order to offer new services to the customer (for example, in banking, a network of auto-tellers). Either way, new capital is required. But new capital comes from value created by labour and realised as profits. And this means that in order to ensure that labour receives its due, companies *must* be co-operatives so that workers will have a say in how the profits they create are used, otherwise they do not get their "natural wage." In addition, the ability to influence one's own destiny by having a voice in investment decisions is certainly another "value" that one's labour can produce beyond the exchange value to be invested. We might call it "self-determination value," which individualist anarchists certainly regarded as a benefit of the artisan/co-operative labour they favoured (and their system implies). But workers will not be able to realise the full self-determination value of their labour nor receive its "full product" if investment decisions are not in their hands. Logically, therefore, individualist anarchism *must* tend towards co-operative, not capitalist, labour in order for them to receive the full value of their labour. In addition, while it is true that in an economy with a very low degree of monopoly within industries prices *do* tend towards the production cost of a commodity, this cannot be said to occur instantaneously. This means that in an economy without oligopolies and without interest or rent, prices would tend, in the long run, towards Tucker's their "labour cost of production" this cannot be said to occur in the short run. Given that in the long run "we are all dead" (to use Keynes' words) -- i.e. that we may never see it -- any form of wage labour can lead to usury being recreated as workers would not receive their entire product back. That is, due to short term changes in price workers market wage may not equal what they produce. They *only* solution to this problem is workers' ownership and control as this ensures workers remain control of the product of their labour at all times (as well as the labour itself). *If,* as Tucker argued, "the object of Anarchism . . . [is] to let every man [or woman] 'control self and the results of self-exertion'" then this is only possible under workers' self-management and ownership. [_Occupancy and Use versus the Single Tax_] This, we must note, was Proudhon's argument and part of the reason he supported workers' co-operatives (we will discuss the problem of natural barriers to competition in section G.4 along with the dangers associated with a lack of workers' control in a free society). More importantly, wage labour violates two key aspects of Individualist Anarchist thought, namely its support for "occupancy and use" and its opposition to the state. We will discuss each in turn. Obviously wage labour violates the idea that those who use something automatically own it. In the case of land and housing, the Individualist Anarchists argued that the person who lives or works on it (even under lease) would be regarded "as the occupant and user of the land on which the house stands, and as the owner of the house itself," that is they become "the owner of both land and house as soon as he becomes the occupant." [Ibid.] Now, to take a concrete example from Tucker's time, the 3 800 workers locked out by Carnegie at Homestead in 1892 definitely occupied and used the works from which they were barred entry by the owners. The owners, obviously, did not use the workplace themselves -- they hired *others* to occupy and use it *for* them. Now, why should "occupancy and use" be acceptable for land and housing but not for workplaces? There is no reason and so wage labour, logically, violates "occupancy and use" -- for under wage labour, those who occupy and use a workplace do not own or control it. Hence "occupancy and use" logically implies workers' control and ownership. The reason why wage labour violates Individualist Anarchist opposition to the state for a related reason. If the workers who use a workplace do not own it, then someone else will (i.e. the owner). This in turn means that the owner can tell those who use the resource what to do, how to do it and when. That is, they are the sole authority over the workplace and those who use it. However, according to Tucker, the state can be defined (in part) as "the assumption of sole authority over a given area and all within it." Tucker considered this element as "common to all States." [_The Individualist Anarchists_. p. 24] Thus wage labour creates a situation which is similar to the state, namely the assumption of sole authority over a given area and those who use it. Hence opposition to the state logically implies support for workers' control and ownership for only in this case can people govern themselves during the working day. Therefore, as far as the employer/employee social relationship goes, it does not fit in well with Tucker's statement that "if the individual has the right to govern himself, all external government is tyranny." [_The Anarchist Reader_, p. 151] As we have argued in Section B.4 (How does capitalism affect liberty?), wage labour produces a very specific form of "external government" in the workplace, namely hierarchical management structures. Therefore, logically, Individualist Anarchism (like Social Anarchism) must oppose all forms of wage labour in favour of self-government in production (i.e. co-operative, not wage, labour). That this the case can be seen from Proudhon's argument in _The General Idea of the Revolution in the Nineteenth Century_. There he argues that employees are "subordinated, exploited" and their "permanent condition is one of obedience," a "slave." [p. 216] Indeed, capitalist companies "plunder the bodies and souls of wage workers" and they are "an outrage upon human dignity and personality." [p. 218] However, in a co-operative the situation changes and the worker is an "associate" and "forms a part of the producing organisation . . . [and] forms a part of the sovereign power, of which he was before but the subject." [p. 216] Without co-operation and association, "the workers . . . would remain related as subordinates and superiors, and there would ensue two industrial castes of masters and wage-workers, which is repugnant to a free and democratic society." [p. 216] As Robert Graham notes, "Proudhon's market socialism is indissolubly linked to his notions of industry democracy and workers' self-management." ["Introduction", _General Idea of the Revolution_, p. xxxii] And we must add that John Stuart Mill (who agreed with the Warrenite slogan "Individual Sovereignty") faced with the same problem that wage labour made a mockery of individual liberty came to the same conclusion. He thought that if "mankind is to continue to improve" (and it can only improve within liberty, we must add) then in the end one form of association will predominate, "not that which can exist between a capitalist as chief, and workpeople without a voice in management, but the association of the labourers themselves on terms of equality, collectively owning the capital with which they carry on their operations, and working under managers elected and removable by themselves." [quoted by Carole Pateman, _Participation and Democratic Theory_, p. 34] Therefore, logically, individualist anarchism must support co-operatives and self-employment in order to ensure the maximum individual self-government and labour's "natural wage." That this is the case can be seen from Tucker's quoting Ernest Lesigne that anarchistic socialism aims for "The land to the cultivator. The mine to the miner. The tool to the labourer. The product to the producer." It can also be seen from Tucker's description of what would replace the current system of statism (and note he calls it "scientific socialism" thus squarely placing his ideas in the anti-capitalist camp): "we have something very tangible to offer , . . We offer non-compulsive organisation. We offer associative combination. We offer every possible method of voluntary social union by which men and women may act together for the furtherance of well-being. In short, we offer voluntary scientific socialism in place of the present compulsory, unscientific organisation which characterises the State and all of its ramifications. . ." [quoted in Martin, Op. Cit., p. 218] Tucker himself pointed out that "the essence of government is control. . . He who attempts to control another is a governor, an aggressor, an invader." [_Instead of a Book_, p. 23] However, in places in _Instead of a Book_ Tucker suggests that (non-exploitative, and so non-capitalist) wage labour could exist in individualist anarchy. Unlike wage labour under capitalism, workers would employ other workers and all workers would receive the full product of their labour. As such, this relationship is *non-capitalist* as it does not involve usury. Be that as it may, such relationships are not libertarian and so contradict Tucker's own theories on individual liberty (as Proudhon and Mill recognised with their own, similar, positions). Wage labour is based on the control of the worker by the employer; hence Tucker's contract theory can lead to a form of "voluntary" and "private" government within the workplace. This means that, while outside of a contract an individual is free, within it he or she is governed. This violates Tucker's concept of "equality of liberty," since the boss has obviously more liberty than the worker during working hours. This result, as noted in section A.3, could *only* be avoided by workers' control, which is in fact the logical implication of Tucker's and other individualists' proposals (as we have proven above, and can be seen from Tucker's famous essay "State Socialism and Anarchism" for example). This is hardly a surprising implication, since as we've seen, artisan production was commonplace in 19th-century America and its benefits were extolled by the individualists. Without workers' control, individualist anarchism would soon become a form of capitalism and so statism -- a highly unlikely intention of individualists like Tucker, who hated both. Therefore, given the assumptions of individualist anarchism in both their economic and political aspects, it is forced along the path of co-operative, not wage, labour. In other words, individualist anarchism is a form of socialism as workers receive the full product of their labour (i.e. there is no non-labour income) and this, in turn, logically implies a society in which self-managed firms compete against each other on the free market, with workers selling the product of their labour and not the labour itself. As this unites workers with the means of production they use, it is *not* capitalism and instead a form of socialism based upon worker ownership and control of the places they work. For individualist anarchists not to support co-operatives results in a contradiction, namely that the individualist anarchism which aims to secure the worker's "natural wage" cannot in fact do so, while dividing society into a class of order givers and order takers (which violates individual self-government). It is this contradiction within Tucker's thought which the self-styled "anarcho"-capitalists take advantage of in order to maintain that individualist anarchism in fact implies capitalism (and so private-statism), not workers' control. In order to reach this implausible conclusion, a few individualist anarchist ideas are ripped from their social context and applied in a way that makes a mockery of them. That it was never Tucker's intention to deny workers' control can be inferred from his argument that mutualism would give workers the bargaining power to obtain equality in the workplace, which clearly points to the end of capitalist authority relations, as will be explained further in section G.5. However, due to problems inherent in the nature of a market economy, even the assumption of workers' control may not be enough to ensure that individualistic anarchism does not become a new form of archy, as will be discussed in section G.4 ("Why do social anarchists reject individualist anarchism ideas?"). G.2.1 What about their support of the free market? Many, particularly on the libertarian right, would dismiss claims that the Individualist Anarchists were socialists. By their support of the "free market" the Individualist Anarchists, they would claim, show them as really supporters of capitalism. Most, if not all, anarchists would reject this claim. Why is this the case? This because such claims show an amazing ignorance of socialist ideas and history. The socialist movement has had a many schools, many of which, but not all, opposed the market and private property. Given that the right-libertarians who make such claims are not well informed of the ideas they oppose (i.e. of socialism, particularly *libertarian* socialism) it is unsurprising they claim that the Individualist Anarchists are not socialists (of course the fact that many Individualist Anarchists argued they *were* socialists is ignored). Coming from a different tradition, it is unsurprising they are not aware of the fact that socialism is not monolithic. Hence we discover right-libertarian guru von Mises claiming that the "essence of socialism is the entire elimination of the market." [_Human Action_, p. 702] This would have come as something of a surprise to, say, Proudhon, who argued that "[t]o suppress competition is to suppress liberty itself." [_The General Idea of the Revolution_, p. 50] Similarly, it would have surprised Tucker, who called himself a socialist while supporting a freer market than von Mises ever dreamt of. It could be argued that these self-proclaimed socialists did not, in fact, understand what socialism "really meant." For this to be the case, *other*, more obviously socialist, writers and thinkers would dismiss them as socialists. This, however, is not the case. Thus we find Karl Marx, for example, writing of "the socialism of Proudhon." [_Capital_, vol. 1, p. 161f] Engels talked about Proudhon being "the Socialist of the small peasant and master-craftsman" and of "the Proudhon school of Socialism." [Marx and Engels, _Selected Works_, p. 254 and p. 255] Bakunin talked about Proudhon's "socialism, based on individual and collective liberty and upon the spontaneous action of free associations." [_Michael Bakunin: Selected Writings_, p. 100] These renown socialists did not consider Proudhon's position to be in any way anti-socialist. Looking at Tucker and the Individualist anarchists we discover that other socialists considered them socialists. Looking at Rudolf Rocker we discover him arguing that "it is not difficult to discover certain fundamental principles which are common to all of them and which divide them from all other varieties of socialism. They all agree on the point that man be given the full reward of his labour and recognise in this right the economic basis of all personal liberty. They all regard the free competition of individual and social forces as something inherent in human nature . . . They answered the socialists of other schools who saw in *free competition* one of the destructive elements of capitalist society that the evil lies in the fact we have too little rather than too much competition, since the power of monopoly has made competition impossible." [_Pioneers of American Freedom_, p. 160] Adolph Fischer, one of the Haymarket Martyrs and contemporary of Tucker, argued that "every anarchist is a socialist, but every socialist is not necessarily an anarchist. The anarchists are divided into two factions: the communistic anarchists and the Proudhon or middle-class anarchists . . ." The former "advocate the communistic or co-operative method of production" while the latter "do not advocate the co-operative system of production [i.e. communism], and the common ownership of the means of production, the products and the land." [_The Autobiographies of the Haymarket Martyrs_, p. 81] However, while not being communists (i.e. aiming to eliminate the market), he obviously recognised the Individualists Anarchists as fellow socialists (we should point out that Proudhon *did* support co-operatives, as did the Individualist Anarchists, but they did not carry this to communism as do most social anarchists -- as is clear, Fischer means communism by the term "co-operative system of production" rather than co-operatives as they exist today and Proudhon supported). Thus claims that the Individualist Anarchists were not "really" socialists because they support competition are false. The simple fact is that those who make this claim are ignorant of the socialist movement, its ideas and its history (or desire, like many Marxists, to write out of history competing socialist theories). As Tucker argued, "the fact that State Socialism . . . has overshadowed other forms of Socialism gives it no right to a monopoly of the Socialistic idea." [_Instead of a Book_, pp. 363-4] It is no surprise that the authoritarian left and "libertarian" right have united to define socialism in such a way as to eliminate anarchism from its ranks -- they both have an interest in removing a theory which exposes the inadequacies of their dogmas, which explains how we can have both liberty *and* equality, have freedom in work *and* outside it and have a decent, free and just society. So why is Individualist Anarchism and Proudhon's mutualism socialist? Simply because they opposed the exploitation of labour by capital and proposed a means of ending it. Therefore, if socialism is, to quote Kropotkin, "understood in its wide, generic, and true sense" as "an effort to *abolish* the exploitation of labour by capital" [_Kropotkin's Revolutionary Pamphlets_, p. 169] then the Individualist Anarchists and Proudhon must be considered socialists (of course *libertarian* socialists) due to their opposition to usury. It is for this reason we discover Rudolf Rocker arguing that Stephan P. Andrews was "one of the most versatile and significant exponents of libertarian socialism" in the USA in spite of his belief that "the specific cause of the economic evil [of capitalism] is founded not on the existence of the wage system" but, rather, on the exploitation of labour, "on the unjust compensation of the worker" and the usury that "deprives him of a part of his labour." [_Pioneers of American Freedom_, p. 85 and pp. 77-8] His opposition to exploitation meant he was a socialist. G.2.2 What about their support of "private property"? The notion that because the Individualist Anarchists supported "property" they supported capitalism is distinctly wrong. This is for two reasons. Firstly, private property is not the distinctive aspect of capitalism -- exploitation and wage labour is. Thus support of private property does not indicate a support for capitalism. Even use of John Locke's arguments in favour of private property could be used against capitalism. As Murray Bookchin makes clear regarding early American society: "Unknown in the 1640s, the non-bourgeois aspects of Locke's theories were very much in the air a century and a half later . . . [In an artisan/peasant society] a Lockean argument could be used as effectively against the merchants . . .to whom the farmers were indebted, as it could against the King [or the State]. Nor did the small proprietors of America ever quite lose sight of the view that attempts to seize their farmsteads and possessions for unpaid debts were a violation of their 'natural rights,' and from the 1770s until as late as the 1930s they took up arms to keep merchants and bankers from dispossessing them from land they or their ancestors had wrestled from 'nature' by virtue of their own labour. The notion that property was sacred was thus highly elastic: it could be used as effectively by pre-capitalist strata to hold on to their property as it could by capitalists strata to expand their holdings." [_The Third Revolution_, vol. 1, pp. 187-8] What right-libertarians do is to confuse two very different kinds of "property," one of which rests on the labour of the producer themselves and the other on the exploitation of the labour of others. They do not analyse the social relationships between people which the property generates and, instead, concentrate on *things* (i.e. property). Thus, rather than being interested in people and the relationships they create between themselves, the right-libertarian focuses on property (and, more often than not, just the word rather than what the word describes). This is a strange position for someone seeking liberty to take, as liberty is a product of social interaction (i.e. the relations we have and create with others) and not a product of things (property is not freedom as freedom is a relationship between people, not things). In effect, they confuse property with possession (and vice versa). And if quoting Karl Marx is not *too* out of place, we discover that he did not consider property as being identical with capitalism. "The historical conditions of [Capital's] existence are by no means given with the mere circulation of money and commodities. It arises only when the owner of the means of production and subsistence finds the free worker available on the market, as the seller of his own labour-power." This wage-labour is the necessary pre-condition for capitalism, *not* "private property" as such. Thus artisan/peasant production is not capitalism as "the means of production and subsistence, while they remain the property of the immediate producer, are not capital. They only become capital under circumstances in which they serve at the same time as means of exploitation of, and domination over, the worker." [_Capital_, vol. 1, p. 264 and p. 938] We quote Marx simply because as authorities on socialism go, he is one that right-libertarians (or Marxists, for that matter) cannot ignore or dismiss. Needless to say, he is essentially repeating Proudhon's distinction between property and possession. The former is theft and despotism, the later is liberty. Thus artisan production is not capitalist. It does not generate relationships of exploitation and domination as the worker owns and controls their own means of production. It is, in effect, a form of socialism (a "petit bourgeois" form of socialism, to use the typical Marxist phrase). Thus support for "private property" need not mean support for capitalism (as shown, for example, by the Individualist Anarchists). To claim otherwise is to ignore the essential insight of socialism and totally distort the socialist case against capitalism. Secondly, and more importantly, what the Individualist Anarchists meant by "private property" (or "property") was distinctly different than what is meant by theorists on the libertarian right. Basically, the libertarian right exploit, for their own ends, the confusion generated by the use of the word "property" by the likes of Tucker to describe a situation of "possession." Proudhon recognised this danger. He argued that "it is proper to call different things by different names, if we keep the name 'property' for the former [individual possession], we must call the latter [the domain of property] robbery, repine, brigandage. If, on the contrary, we reserve the name 'property' for the latter, we must designate the former by the term *possession* or some other equivalent; otherwise we should be troubled with an unpleasant synonym." [_What is Property?_, p. 373] Unfortunately Tucker, who translated this work, did not heed Proudhon's words of wisdom and called possession in an anarchist society by the word "property." Looking at Tucker's arguments, it is clear that the last thing Tucker supported was capitalist property rights. For example, he argued that "property, in the sense of individual possession, is liberty" and contrasted this with capitalist property. [_Instead of a Book_, p. 394] That his ideas on "property" were somewhat different than that associated with right-libertarian thinkers is most clearly seen with regards to land. Here we discover him advocating "occupancy and use" and rejecting the "right" of land owners to bar the landless from any land they owned but did not *personally* use. Rent was "due to that denial of liberty which takes the shape of land monopoly, vesting titles to land in individuals and associations which do not use it, and thereby compelling the non-owning users to pay tribute to the non-using owners as a condition of admission to the competitive market." Anarchist opposition of rent did "not mean simply the freeing of unoccupied land. It means the freeing of all land not occupied *by the owner.* In other words, it means land ownership limited by occupancy and use." [Tucker, _The Individualist Anarchists_, p. 130 and p. 155] This would result in a "system of occupying ownership . . . accompanied by no legal power to collect rent." [_Instead of a Book_, p. 325] A similar position was held by John Beverley Robinson. He argued that there "are two kinds of land ownership, proprietorship or property, by which the owner is absolute lord of the land, to use it or to hold it out of use, as it may please him; and possession, by which he is secure in the tenure of land which he uses and occupies, but has no claim upon it at all of he ceases to use it." Moreover, "[a]ll that is necessary to do away with Rent is to away with absolute property in land." [_Patterns of Anarchy_, p. 272] Thus the Individualist Anarchists definition of "property" differed considerably from that of the capitalist definition. As they themselves acknowledge. Robinson argued that "the only real remedy is a change of heart, through which land using will be recognised as proper and legitimate, but land holding will be regarded as robbery and piracy." [Op. Cit., p. 273] Tucker, likewise, indicated that his ideas on "property" were not the same as existing ones when he argued that "the present system of land tenure should be changed to one of occupancy and use" and that "no advocate of occupancy-and-use tenure of land believes that it can be put in force, until as a theory it has been as generally . . . seen and accepted as is the prevailing theory of ordinary private property." [_Occupancy and Use verses the Single Tax_] Hence to claim that the Individualist Anarchists supported capitalist property rights is false. As can be seen, they advocated a system which differed significantly to the current system, indeed they urged the restriction of property rights to a form of possession. Unfortunately, by generally using the term "property" to describe this new system of possession they generated exactly the confusion that Proudhon foretold. Sadly, right-libertarians use this confusion to promote the idea that the likes of Tucker supported capitalist property rights and so capitalism. For these two reasons it is clear that just because the Individualist Anarchists supported (a form of) "property" does not mean they are capitalists. Indeed, Kropotkin argued that a communist-anarchist revolution would *not* expropriate the tools of self-employed workers who exploited no-one (see his _Act for Yourselves_ pp. 104-5). Malatesta argued that in a free society "the peasant [is free] to cultivate his piece of land, alone if he wishes; free is the shoe maker to remain at his last or the blacksmith in his small forge." Thus these two very famous communist-anarchists also "supported" "property" but they are recognised as obviously socialists. This apparent contradiction is resolved when it is understood that for communist-anarchists (like all anarchists) the abolition of property does not mean the end of possession and so "would not harm the independent worker whose real title is possession and the work done" unlike capitalist property [Malatesta, _Life and Ideas_, p. 103] In other words, *all* anarchists (as we argue in section B.3) oppose private property but support possession. That many of the Individualist Anarchists used the term "property" to describe a system of possession (or "occupancy-and-use") should not blind us to the anti-capitalist nature of that "property." Once we move beyond looking at the words they used to want they meant by those words we clearly see that their ideas are distinctly different from those of supporters of capitalism. G.3 What about "anarcho"-capitalists' support of Tucker's "defence associations"? The individualist anarchists advocated individual possession of land and tools and the free exchange of the products of labour between self-employed people. Therefore they also supported the idea of "defence associations" to ensure that the fruits of an individual's labour would not be stolen by others. Again, the social context of individualist anarchism -- namely, a society of self-employed artisans (see sections G.1 and G.2) -- is crucial for understanding these proposals. However, as in their treatment of Tucker's support for contract theory, "anarcho"-capitalists (e.g. Murray Rothbard) remove the individualists' ideas about free-market defence associations and courts from the social context in which they were proposed, using those ideas in an attempt to turn the individualists into defenders of capitalism. As indicated in section G.1, the social context in question was one in which an economy of artisans and peasant farmers was being replaced by a state-backed capitalism. This context is crucial for understanding the idea of the "defence associations" that Tucker suggested. For what he proposed was clearly *not* the defence of capitalist property relations. This can be seen, for example, in his comments on land use. Thus: "'The land for the people' . . . means the protection by . . . voluntary associations for the maintenance of justice . . . of all people who desire to cultivate land in possession of whatever land they personally cultivate . . . and the positive refusal of the protecting power to lend its aid to the collection of any rent, whatsoever." [Op. Cit., p. 299] There is no mention here of protecting *capitalist* farming, i.e. employing wage labour; rather, there is explicit mention that only land being used for *personal* cultivation -- thus *without* employing wage labour -- would be defended. In other words, the defence association would defend "occupancy and use" (which is a clear break with capitalist property rights) and not the domination of the landlord over society or those who use the land the landlord claims to own. Refusal to pay rent on land is a key aspect of Tucker's thought, and it is significant that he explicitly rejects the idea that a defence association can be used to collect it. In addition, as a means towards anarchy, Tucker suggests "inducing the people to steadily refuse the payment of rent and taxes" [Op. Cit., p. 299]. It is hard to imagine that a landowner influenced by Murray Rothbard or David Friedman would support such an arrangement or a "defence association" that supported it. The various economic proposals made by the individualist anarchists were designed to eliminate the vast differences in wealth accruing from the "usury" of industrial capitalists, bankers, and landlords. For example, Josiah Warren "proposed like Robert Owen an exchange of notes based on labour time. . . He wanted to establish an 'equitable commerce' in which all goods are exchanged for their cost of production. . . . In this way profit and interest would be eradicated and a highly egalitarian order would emerge." [Peter Marshall, _Demanding the Impossible_, p. 385] Given that the Warrenites considered that both workers and managers would receive equal payment for equal hours worked, the end of a parasitic class of wealthy capitalists was inevitable. In the case of Benjamin Tucker, he was a firm adherent of the labour theory of value, believing that a free market and interest-free credit would reduce prices to the cost of production and increase demand for labour to the point where workers would receive the full value of their labour. In addition, recognising that gold was a rare commodity, he rejected a gold-backed money supply in favour of a land-backed one, as land with "permanent improvements on [it]. . . [is] an excellent basis for currency." [_Instead of a Book_, p. 198] Given that much of the population at the time worked on their own land, such a money system would have ensured that entry into the banking market was easier as well, by allowing easy credit secured by land. Mutualism replaced the gold standard (which, by its very nature would produce an oligarchy of banks) with money backed by other, more available, commodities. Rothbard rejects all of this, the social context of Tucker's ideas on "defence associations." In fact, he attacks what he considers the "bad economics" of the individualists without realising it is *precisely* these "bad" (i.e. anti-capitalist) economics which will make "defence associations" irrelevant as workers' received the full product of their labour (so destroying usury) and workers' control spreads and replaces the irrational authority of the capitalist-labourer social relationship with the egalitarian relationships of co-operative and artisan production. Unless this social context exists, any defence associations will soon become mini-states, serving to enrich the elite few by protecting the usury they gain from, and their power and control (i.e. government) over, those who toil. In other words, the "defence associations" of Tucker and Spooner would not be private states, enforcing the power of capitalists upon wage workers. Instead, they would be like insurance companies, protecting possessions against theft (as opposed to protecting capitalist theft from the dispossessed as would be the case in "anarcho"-capitalism -- an important difference lost on the private staters). In addition, the emphasis given by Tucker and Lysander Spooner to the place of juries in a free society is equally important for understanding how their ideas about defence associations fit into a non-capitalist scheme. For by emphasising the importance of trial by jury, they knock an important leg from under the private statism associated with "anarcho"-capitalism. Unlike a wealthy judge, a jury made up mainly of fellow workers would be more inclined to give verdicts in favour of workers struggling against bosses or of peasants being forced off their land by immoral, but legal, means. It is hardly surprising that Rothbard rejects this in favour of the mysticism and authoritarianism of "natural law." As Lysander Spooner argued in 1852, "[i]f a jury have not the right to judge between the government and those who disobey its laws, and resist its oppressions, the government is absolute, and the people, legally speaking, are slaves. Like many other slaves they may have sufficient courage and strength to keep their masters somewhat in check; but they are nevertheless known to the law only as slaves." [_Trial by Jury_] And "Natural Law" implies a body, a "Natural Government" perhaps, which determines what it is -- in Rothbard's case a system of professional and wealthy "arbitrators" who determine what is and what is not "custom" and "reason." As Individualist Anarchist Laurance Labadie (the son of Joseph Labadie) argues against Rothbard's misrepresentation of the idea that there would be "no rational or objective body of law" in Individualist Anarchy: "Mere common sense would suggest that any court would be influenced by experience; and any free market court or judge would in the very nature of things have some precedents guiding them in their instructions to a jury. But since no case is exactly the same, a jury would have considerable say about the heinousness of the offence in each case, realising that circumstances alter cases, and prescribing penalty accordingly. This appeared to Spooner and Tucker to be a more flexible and equitable administration of justice possible or feasible, human beings being what they are . . . "But when Mr. Rothbard quibbles about the jurisprudential ideas of Spooner and Tucker, and at the same time upholds *presumably in his courts* the very economic evils which are at the bottom the very reason for human contention and conflict, he would seem to be a man who chokes at a gnat while swallowing a camel." [quoted by Mildred J. Loomis and Mark A. Sullivan, _Benjamin R. Tucker and the Champions of Liberty_, Coughlin, Hamilton and Sullivan (eds.), p. 124] By focusing selectively on a few individualist proposals taken out of their social context, Murray Rothbard and other "anarcho"-capitalists have turned the potential libertarianism of the individualist anarchists into yet another ideological weapon in the hands of (private) statism and capitalism. As Peter Sabatini argues (in _Libertarianism: Bogus Anarchy_): "in those rare moments when [Murray] Rothbard (or any other [right-wing] Libertarian) does draw upon individualist anarchism, he is always highly selective about what he pulls out. Most of the doctrine's core principles, being decidedly anti-Libertarianism, are conveniently ignored, and so what remains is shrill anti-statism conjoined to a vacuous freedom in hackneyed defence of capitalism. In sum, the 'anarchy' of Libertarianism reduces to a liberal fraud." G.4 Why do social anarchists reject individualist anarchism? As James J. Martin notes, "paralleling" European social anarchism "chronologically was a kindred but nearly unconnected phenomenon in America, seeking the same ends through individualistic rather than collectivistic dynamics." [_Men Against the State_, p. ix] When the two movements meet in American in the 1880s, the similarities and differences of both came into sharp relief. While both social and individualist anarchists reject capitalism as well as the state and seek an end to the exploitation of labour by capital (i.e. to usury in all its forms), both schools of anarchism rejected each others solutions to the social problem. The vision of the social anarchists was more communally based, urging social ownership of the means of life. In contrast, reflecting the pre-dominantly pre-capitalist nature of post-revolution US society, the Individualist Anarchists urged small-scale possession of the means of life, co-operatives and mutual banking to remove interest and give every worker access to capital. Thus their vision of a free society and the means to achieve it were somewhat different (although, we stress, *not* mutually exclusive as communist anarchists supported artisan possession of the means of possession for those who rejected communism and the Individualist Anarchists supported voluntary communism). Tucker argued that a communist could not be an anarchist and the communist-anarchists argued that Individualist Anarchism could not end the exploitation of capital by labour. Being social anarchists, here we indicate why social anarchists reject individualist anarchism (see section A.3.1 for a summary of why Individualist Anarchists reject social anarchism). Malatesta summarises the essential points of difference: "The individualists assume . . . that the (anarchist) communists wish to impose communism, which of course would put them right outside the ranks of anarchism. "The communists assume . . . that the (anarchist) individualists reject every idea of association, want the struggle between men, the domination of the strongest -- and this would put them not only outside the anarchist movement but outside humanity. "In reality those who are communists are such because they see in common freely accepted the realisation of brotherhood, and the best guarantee for individual freedom. And individualists, those who are really anarchists, are anti-communist because they fear that communism would subject individuals . . . to the tyranny of the collectivity . . . Therefore they want each individual, or each group, to be in a position to enjoy freely the product of their labour in conditions of equality with other individuals and groups, with whom they would maintain relations of justice and equity. "In which case it is clear that there is no basic difference between us. But, according to the communists, justice and equity are, under natural conditions impossible of attainment in an individualistic society, and thus freedom too would not be attained. "If climatic conditions throughout the world were the same, if the land were everywhere equally fertile, if raw materials were evenly distributed and within reach of all who needed them, if social development were the same everywhere in the world . . . then one could conceive of everyone . . . finding the land, tools and raw materials needed to work and produce independently, without exploiting or being exploited. But natural and historical conditions being what they are, how is it possible to establish equality and justice between he who by chance finds himself with a piece of arid land which demand much labour for small returns with him who has a piece of fertile and well sited land?" [_Life and Ideas_, pp. 31-2] Thus, while Individualist Anarchists argue for the "cost principle" (i.e. cost being the limit of price) the cost of creating the same commodity in different areas or by different people is not equal. Thus the market price of a good *cannot* really equal the multitude of costs within it (and so price can only equal a workers' labour in the minority of cases where that labour was used in the least favourable circumstances). It was for this reason that Proudhon argued that a portion of income from agricultural produce be paid into a central fund which would be used to make equalisation payments to compensate farmers with less favourably situated or less fertile land. As he put it, economic rent "in agriculture has no other cause than the inequality in the quality of land . . . if anyone has a claim on account of this inequality . . . [it is] the other land workers who hold inferior land. That is why in our scheme for liquidation [of capitalism] we stipulated that every variety of cultivation should pay a proportional contribution, destined to accomplish a balancing of returns among farm workers and an assurance of products." [_The General Idea of the Revolution_, p. 209] This problem was recognised by Tucker, who argued that "economic rent . . . is one of nature's inequalities. It will probably remain with us always. Complete liberty will every much lessen it; of that I have no doubt." ["Why I am an Anarchist", pp. 135-6, _Man!_, M. Graham (ed.), pp. 132-6] Unlike Proudhon, however, he proposed no scheme to equalise income. Perhaps Tucker was correct and the differences would be slight, but in a market situation exchanges tend to magnify differences, *not* reduce them. The actions of self-interested individuals in unequal positions will tend to exacerbate differences. Over time these slight differences would become larger and larger, subjecting the weaker party to relatively increasingly worse contracts. As Proudhon argued: "I have shown the contractor, at the birth of industry, negotiating on equal terms with his comrades, who have since become his workmen. It is plain, in fact, that this original equality was bound to disappear through the advantageous position of the master and the dependent position of the wage-workers. In vain does the law assure the right of each to enterprise . . . When an establishment has had leisure to develop itself, enlarge its foundations, ballast itself with capital, and assure itself a body of patrons, what can a workman do against a power so superior?" [_System of Economical Contradictions_, p. 202] Moreover, "there is a remarkable correlation between competitiveness in a society and the presence of clearly defined 'have' and 'have-not' groups." [Alfie Kohn, _No Contest_, p. 38] As the communist-anarchist paper _Freedom_ argued: "Are not the scandalous inequalities in the distribution of wealth today merely the culminative effect of the principle that every man is justified in securing to himself everything that his chances and capacities enable him to lay hands on? "If the social revolution which we are living means anything, it means the destruction of this detestable economic principle, which delivers over the more social members of the community to the domination of the most unsocial and self-interested." [_Freedom_, vol. 2, no. 19] While state action may have given the modern capitalist an initial advantage on the market, it does not follow that a truly free market will not create similar advantages naturally. And if it did, then surely a similar system would develop? That it developed without state aid would make it no less unfree and unjust. It is of little use to point out that such a situation is *not* what the Individualist Anarchists desired (after all, Stalin was hardly what most Marxists desired). It is a question of whether their ideas would actually result in what they wanted. Which brings us to the corrosive effects of the market itself on human personalities. As noted in earlier sections, individualists mostly base their economic ideas on the free market. However, as we have argued elsewhere (see section B.1), competition for profits in a free market creates numerous problems -- for example, the creation of an "ethics of mathematics" and the strange inversion of values in which things (property) become more important than people. Competition, as Alfie Kohn points out, "itself is responsible for the development of a lower moral standard" which places winning at any cost above fairness and justice [Op. Cit., p. 163]. In addition, the "strife of competition reduces empathic sympathy, distorts communication, impairs the mutuality of support and sharing, and decreases the satisfaction of personal need." [Nathan Ackerman, quoted by Alfie Kohn, Op. Cit., pp. 142-3] Thus, by supporting the free market, Individualist Anarchists help to make us less human and more a robot. In contrast, social anarchists stress community and co-operation in order to develop us as fully rounded individuals. As Kropotkin put it, "the *individualisation* they so highly praise is not attainable by individual efforts." [_Kropotkin's Revolutionary Pamphlets_, p. 297] Ultimately, Individualist Anarchists lose sight of the fact that success and competition are not the same thing. One can set and reach goals without competing. That we may loose more by competing than by co-operating is an insight which social anarchists base their ideas on. In the end, a person can become a success in terms of business but lose sight of their humanity and individuality in the process. Returning to economic issues, the accumulation needs of a competitive market economy do not disappear just because capitalism has been replaced by co-operatives and mutual credit banks -- a fact that implies the inevitable development of big business (and so natural barriers to entry). In any market economy, firms will try to improve their market position by investing in new machinery, reducing prices by improving productivity and so on. This creates barriers to new competitors who have to expend more money in order to match the capital of existing firms. Such amounts of money may not be forthcoming for even a mutual bank and so certain firms would enjoy a privileged position on the market. Given that Tucker defined a monopolist as "any person, corporation, or institution whose right to engage in any given pursuit of life is secured, either wholly or partially, by any agency whatsoever -- whether the nature of things or the force of events or the decree of arbitrary power -- against the influence of competition" we may suggest that due to *natural* barriers, an individualist anarchist society would not be free of monopolists and so of usury. [quoted by James J. Martin, _Men Against the State_, p. 210] For this reason, even in a mutualist market certain companies would receive a bigger slice of profits than (and at the expense of) others. This means that exploitation would still exist as larger companies could charge more than cost for their products. In addition, the free market in banking would also result in *its* market being dominated by a few big banks, with similar results. This problem of natural barriers to competition also effects the possibility of mutual banking being able to abolish capitalism. While mutual banks would undoubtedly aid the position of workers under capitalism (which is why Bakunin and other social anarchists recommended them), they cannot undermine capitalism. This is because capitalism, due to its need to accumulate, creates *natural* barriers to entry into a market (see section C.4, "Why does the market become dominated by Big Business?"). Thus the physical size of the large corporation would make it immune to the influence of mutual banking and so usury could not be abolished. This problem was recognised by Tucker himself in the postscript to a 1911 London edition of his famous essay "State Socialism and Anarchism." While arguing that when he wrote his essay 25 years earlier "the denial of competition had not effected the enormous concentration of wealth that now so gravely threatens social order" and so a policy of mutual banking might have stopped and reversed the process of accumulation, the way in 1911 was "not so clear." This was because the tremendous capitalisation of industry now made the money monopoly a convenience, but no longer a necessity. Admitted Tucker, "The trust is now a monster which . . . even the freest competition, could it be instituted, would be unable to destroy" as the "concentrated capital" could set aside a sacrifice fund to bankrupt smaller competitors and continue the process of expansion of reserves. Thus natural barriers to entry, resulting from the process of capitalist production and accumulation, had ensured that mutualism could no longer reform capitalism away and the problem of the trusts "must be grappled with for a time solely by forces political or revolutionary." [quoted by James J. Martin, Op. Cit., p. 273] In other words, the economic power of "concentrated capital" and "enormous concentration of wealth" placed an insurmountable obstacle to the realisation of anarchy. Which means that the abolition of usury and relative equality were considered *ends* rather than side effects for Tucker and if free competition could not achieve these then such a society would *not* be anarchist. (As an aside, Tucker's comments here indicate well how far he actually was from "anarcho"-capitalism. The "anarcho"-capitalism desires free markets no matter their result or the concentration of wealth existing at their introduction. As can be seen, Tucker sees the existence of concentrations of wealth as a problem and a hindrance towards anarchy. Thus Tucker was well aware of the dangers to individual liberty of usury, inequality and economic power). Also, we may note, in the slow transition towards anarchism, we would see the rise of pro-capitalist "defence associations" which *would* collect rent from land, break strikes, attempt to crush unions and so on. Tucker seemed to have assumed that the anarchist vision of "occupancy-and-use" would become universal. Unfortunately, landlords would resist it and so, ultimately, an Individualist Anarchist society would have to either force the minority to accept the majority wishes on land use (hence his comments on there being "no legal power to collect rent") or the majority are dictated to by the minority who are in favour of collecting rent and hire "defence associations" to enforce those wishes. With the head start big business and the wealthy have in terms of resources, conflicts between pro- and anti-capitalist "defence associations" would usually work against the anti-capitalist ones (as trade unions often find out). In other words, reforming capitalism would not be as non-violent or as simple as Tucker maintained. The vested powers which the state defends will find other means to protect themselves when required (for example, when capitalists and landlords backed fascism and fascist squads in Italy after workers "occupied and used" their workplaces and land workers and peasants "occupied and used" the land in 1920). We are sure that economists will then rush to argue that the resulting law system that defended the collection of rent and capitalist property against "occupancy and use" was the most "economically efficient" result for "society." In addition, even if individualist mutualism *did* result in an increase in wages by developing artisan and co-operative ventures that decreased the supply of labour in relation to its demand, this would not eliminate the subjective and objective pressures on profits that produce the business cycle within capitalism (see section C.7 and C.8 for more on these pressures). This means that an increase in the bargaining power of labour would soon see capital moving to non-anarchist areas and using its financial power to buy up any resources in the anarchist areas. Because individualist anarchists assume an evolution towards anarchy, this is a distinct possibility. And co-operatives in a market economy will be as influenced by the business cycle as capitalist firms. This could mean that during an economic slump, when workers' savings and bargaining position were weak, the gains associated with mutualism could be lost as co-operative firms go bust and mutual banks find it hard to generate credit in a hostile environment. Mutual banks would not, therefore, undermine modern capitalism, as recognised by social anarchists from Bakunin onward (they placed their hopes in a social revolution organised by workplace and community organisations). Moreover, social anarchists would argue that any individualist system could revert back to capitalism and wage labour, for two reasons. Firstly, there is a possibility that *possession* would be replaced by *property* as individuals sell their means of production to others voluntarily or to repay loans in bad times and these new owners create "defence associations" to enforce their claims. In addition (and this may seem ironic), wage labour does have the advantage that people can move to new locations and work without having to sell their old means of living. Often moving somewhere can be a hassle if one has to sell a shop or home. Many people prefer not to be tied down to one place. This is a problem in a system based on self-employed artisan labour, but not in social anarchism as access to the means of life is guaranteed to all members of the free society. Secondly, there is the problem associated with natural barriers to entry in an industry. This could help generate wage labour (and so a new class of exploiters) as workers face the unpleasant choice of working for a successful firm, being unemployed or working for low wages in an industry with lower barriers to entry. This process can be seen under capitalism when co-operatives hire wage workers and not include them as members of the association (i.e. they exercise their ownership rights to exclude others). While state action may *increase* the degree of monopoly in an industry, the natural tendency for any market is to place barriers ("natural" barriers) to new entries in terms of set-up costs and so on. This means that if the relation between capital and labour was abolished *within* the workplace (by their transformation into co-operatives) but they remained the property of their workers, it would only be a matter of time before the separation of the producers from their means of production reproduced itself. This is because, within any market system, some firms fail and others succeed. Those which fail will create a pool of unemployed workers who will need a job. The successful co-operatives, safe behind their natural barriers to entry, would be in a stronger position than the unemployed workers and so may hire them as wage labourers -- in effect, the co-operative workers would become "collective capitalists" hiring other workers. This would end workers' self-management (as not all workers are involved in the decision making process) as well as workers' ownership, i.e. "occupancy and use," (as not all workers' would own the means of production they used). The individual workers involved may "consent" to becoming wage slaves, but that is because it is the best option available rather than what they really want. Which, of course, is the same as under capitalism. Little wonder Proudhon argued that "every worker employed in the association" must have "an undivided share in the property of the company" in order to ensure workers' self-management. [Op. Cit., p. 223] Only this could ensure "occupancy and use" and so self-management in a free society (i.e. keep that society free). Looking wider afield, unless there is some form of community control, a free market in banks may soon lead to the growth of purely capitalist firms. For in order to survive, banks -- like any company -- will have to make money, and so they will wish to lend to the most profitable firms. Capitalist firms are exploitative, thus allowing them to expand faster than co-operative firms. Hence even mutual banks will wind up preferring to lend to capitalist firms in order to survive on the market. This will enforce the division of labour (as opposed to work) as the most "efficient" way of exploiting workers, and this practice will spread across the economy like an oil slick as more and more co-operatives find themselves needing to introduce similar working practices in order to survive. Thus competition will soon result in like competing against like, not only in the market but also in production. If we take the creation of employer-employee relationships within an anarchy, we see the danger of private statism arising (as in "anarcho"-capitalism) and so the end of anarchy. Such a development can be seen when Tucker argues that if, in an anarchy, "any labourers shall interfere with the rights of their employers, or shall use force upon inoffensive 'scabs,' or shall attack their employers' watchmen . . . I pledge myself that, as an Anarchist and in consequence of my Anarchistic faith, I will be among the first to volunteer as a member of a force to repress these disturbers of order, and, if necessary, sweep them from the earth." [_Instead of a Book_, p. 455] In such a situation, these defence associations would be indeed "private states" and here Tucker's ideas unfortunately do parallel those of the "anarcho"-capitalists (although, as the employees would not be exploited by the employer, this does not suggest that Tucker can be considered a proto-"anarcho"-capitalist). As Kropotkin warned, "[f]or their self-defence, both the citizen and group have a right to any violence [within individualist anarchy] . . . Violence is also justified for enforcing the duty of keeping an agreement. Tucker . . . opens . . . the way for reconstructing under the heading of the 'defence' all the functions of the State." [_Kropotkin's Revolutionary Pamphlets_, p. 297] However, as we have argued above (see section G.2), his opposition to usury in all forms implies co-operative labour, not wage labour, and if such a strike did occur in individualist anarchy it indicates that it was turning back into capitalism. And we may note this "love it or leave it" attitude of Tucker in regards firms in an anarchy ignores the fact that following orders is *not* a form of liberty and is degrading even when you get the full product of your labour. Ironically, by placing so much stress in opposing capitalist *exploitation,* instead of capitalist *oppression,* Tucker is actually closer to (the "authoritarian") Marx than (the "libertarian") Proudhon (Tucker's terms) and like Marx opens the door to various kinds of domination and restrictions on individual self-government within "scientific socialism" (one of Tucker's expressions for individualist anarchy!). Again we see a support for contract theory creating authoritarian, not libertarian, relationships between people. So Tucker's comments on strikers brings to light an interesting contradiction in his ideas. After all, he favoured a system of "property" generally defined by use and occupancy, that is whoever uses and possesses is to be consider the owner. Based on this theory of "property" Tucker opposed landlords and rent, arguing that anarchy "means the freeing of all land not occupied *by the owner*" that is, "land ownership limited by occupancy and use." [_The Individualist Anarchists_, p. 155] He extends this principle to housing, arguing that "Anarchic associations" would "not collect your rent, and might not even evict your tenant" and "tenants would not be forced to pay you rent, nor would you be allowed to seize their property. The Anarchic Associations would look upon your tenants very much as they would look upon your guests." [Op. Cit., p. 162] Now, in a strike those who *use* the given property are in dispute with those who *own* it. If individualist anarchy *was* based on "occupancy and use" then the argument for housing and land must extend to workplaces. Hence, if "the land should be free to all, and no one would control more than he [or she] used." [Op. Cit., p. 114] then it is clear that the boss controls more land than he can use (simply because he hires *others* to use it, and what is on it, for him). Thus "Anarchic associations" could not defend the property owner against those who use his/her property. If landlordism is unjust, then so is the ownership of capital by those who do not use it. In other words, "occupancy and use" implies co-operatives and *not* wage-labour. And Tucker's comments about strikers show an inconsistency in his basic ideas (see also section G.1). This conclusion is not surprising. As Malatesta argued: "The individualists give the greatest importance to an abstract concept of freedom and fail to take into account, or dwell on the fact, that real, concrete freedom is the outcome of solidarity and voluntary co-operation. . . They certainly believe that to work in isolation is fruitless and that an individual, to ensure a living as a human being and to materially and morally enjoy all the benefits of civilisation, must either exploit -- directly or indirectly -- the labour of others . . . or associate with his [or her] fellows and share their pains and the joys of life. And since, being anarchists, they cannot allow the exploitation of one by another, they must necessarily agree that to be free and live as human beings they have to accept some degree and form of voluntary communism." [_The Anarchist Revolution_, p. 16] Occupancy and use, therefore, implies the collective ownership of resources used by groups which, in turn, implies associative labour and self-management. In other words, "some degree and form of voluntary communism." Moreover, if we look at Tucker's definition of the State, namely that it based on "aggression" and "the assumption of sole authority over a given area and all within it," then it is clear that the capitalist has sole authority over their workplace ("a given area") and all within it. And, as Tucker notes, no State "has ever tolerated a rival State within its borders" then the same can be said of the boss -- they rarely, through choice, allow unions to organise on their workplace (they sometimes agree if they have no choice or if the union in question will not question their authority -- as with the state). Given that the major rationale for the Homestead strike of 1892 *was* (to use the words of a company historian) that management decisions were "subject to the interference of some busybody from the Amalgamated Association" its clear that the boss does not like to tolerate a rival within his/her borders (i.e. workplace). Moreover, according to David Brody in his work _The Steel Workers_, after the union was broken "the steel workers output doubled in exchange for an income rise of one-fifth . . . The accomplishment was possible only with a labour force powerless to oppose the decisions of the steel men." [quoted by Katherine Stone, "The Origins of Job Structures in the Steel Industry", _Root and Branch_, p. 127 and p. 132] In other words, the boss is both the monopoly of authority in a given area and tolerates no other within it -- just like the state. Thus Tucker's comments on strikers indicates a distinct contradiction in his ideas. It violates both his support for "occupancy and use" and his opposition to the state. It could, of course, be argued that the contradiction is resolved because the worker consents to the authority of the boss by taking the job. However, it can be replied that, by this logic, the citizen consents to the authority of the state as a democratic state allows people to leave its borders and join another one. That the citizen does not leave indicates they consent to the state. In other words, consent of and by itself does not justify hierarchy for if it did, the current state system would be anarchistic. This indicates the weakness of contract theory as a means of guaranteeing liberty and its potential to generate, and justify, authoritarian social relationships rather than libertarian and liberty enhancing ones. Hence Kropotkin's comment that "anarchism . . . refuses all hierarchical organisation and preaches free agreement." [_Kropotkin's Revolutionary Pamphlets_, p. 137] To do otherwise is to contradict the basic ideas of anarchism. In addition, we must note another contradiction within Tucker's viewpoint highlighted by this diatribe against strikes in an anarchy. If, as Tucker maintained, in an individualist anarchy the demand for workers exceeded supply (unlike under capitalism) so ensuring that "labour will. . . be in a position to dictate its wages, and will thus secure its natural wage, its entire product" [_The Anarchist Reader_, p. 150], how will the employer attract enough scabs? There would be few if any workers willing to swap jobs and work for an employer whose management style provoked strikes by fellow workers. And in such a situation the power of labour would be so strong that workers' control would have occurred long before! Peter Kropotkin recognised the statist implications of some aspects of anarchist individualism which Tucker's strike example highlights. Tucker's anarchism, due to its uncritical support for contract theory, could result in a few people dominating economic life, because "no force" would result in the perpetuation of authority structures, with freedom simply becoming the "right to full development" of "privileged minorities." But, Kropotkin argued, "as such monopolies cannot be maintained otherwise than under the protection of a monopolist legislation and an organised coercion by the State, the claims of these individualists necessarily end up in a return to the State idea and to that same coercion which they so fiercely attack themselves. Their position is thus the same as that of Spencer and of the so-called 'Manchester school' of economists, who also begin by a severe criticism of the State and end up in its full recognition in order to maintain the property monopolies, of which the State is the necessary stronghold." [Op. Cit., p. 162] Such would be the possible (perhaps probable) result of the individualists' contract theory of freedom without a social background of communal self-management and ownership. As can be seen from capitalism, a society based on the abstract individualism associated with contract theory would, in practice, produce social relationships based on power and authority (and so force -- which would be needed to back up that authority), *not* liberty. As we argued in section A.2.14, voluntarism is *not* enough in itself to preserve freedom. Therefore, social anarchists have to part company with individualists when the latter apply *to bosses* the maxim, "[t]o coerce the peaceful non-co-operator is to violate equality of liberty." [Tucker, _Instead of a Book_, p. 42] A boss not only "attempts to control another" but *succeeds* in doing so every day at work. To "coerce" bosses by those subject to it removing their authority to control (i.e. to govern) them is not itself coercion but a blow struck for liberty. It is not coercive to prevent others from coercing! Therefore, social anarchists favour direct actions by those subject to authority, such as strikes, boycotts, the occupation of workplaces, picketing, etc., irrespective of whether such measures are desired by the boss. However, as already indicated in section A.3.1, social anarchists reject attempts to coerce other workers into joining a co-operative. Freedom cannot be given, it must be taken and social anarchism, like all forms of anarchy, cannot be imposed. As Kropotkin argued: "Communist organisations . . . must be the work of all, a natural growth, a product of the constructive genius of the great mass. Communism cannot be imposed from above; it could not live even for a few months if the constant and daily co-operation of all did not uphold it. It must be free." [Op. Cit., p. 140] Which indicates that Tucker did not really understand communist-anarchism when he argued that communism is "the force which compels the labourer to pool his product with the products of all and forbids him to sell his labour or his products." [_Instead of a Book_, p. 400] Rather, communist-anarchists argued that communism must be free and voluntary. In other words, a communist-anarchist society would not "forbid" anything as those who make it up must be in favour of communism for it to work. The option of remaining outside the communist-anarchist society is there, as (to again quote Kropotkin) expropriation would "apply to everything that enables any man [or woman] . . . to appropriate the product of others' toil." [_The Conquest of Bread_, p. 61] Thus communist-anarchism would "forbid" exactly what Individualist Anarchism would "forbid" -- property, not possession (i.e. any form of "ownership" not based on "occupancy and use"). Free contracts are not sufficient to ensure freedom. Therefore, social anarchists reject the individualists' conception of anarchy, simply because it can, unfortunately, allow hierarchy (i.e. government) back into a free society in the name of "liberty" and "free contracts." Freedom is fundamentally a social product, created in and by community. It is a fragile flower and does not fare well when bought and sold on the market. As we noted in the last section, Individualist "defence associations" would not be the private states of "anarcho"-capitalism only if the land and housing they protected were based on "occupancy and use" and the workplaces they protected were co-operatives (and we have indicated why Individualist Anarchism logically implies co-operative labour -- see section G.2). Tucker's example about strikers only drives home the contradictions in his views, contradictions resulting from his liberal slant on anarchism. If we agree with Kropotkin that Tucker's ideas are a combination of the anarchist Proudhon's and the liberal capitalist Herbert Spencer's, we see where the contradiction lies. If we reject Proudhon's support for association/co-operation as the basis of an anarchist economy, we are left with liberal capitalism and the need to protect the power of the employer over the employee, and so some form of statism ("anarcho"-capitalists, by ignoring Proudhon's argument from the start, miss the contradiction by jumping straight to capitalism and so private statism). Moreover, even assuming that such "defence associations" did protect a co-operative economy, they would still suffer from the problems of collusion which "anarcho"-capitalist "defence associations" face (as described in section F.6.3). If "self-defence" does become a commodity on the market, there is a distinct danger that the "defence associations" would (in time) become a new public state, due to the unique market forces within that specific market. Also, Kropotkin saw that Tucker's argument against the forced expropriation of social capital by the working class would lead to a continuation of authoritarian relations in production, which would need to be maintained by coercion through some kind of state (aka "anarcho"-capitalist private states). In addition, Kropotkin seriously doubted that capitalism could be reformed away as Tucker maintained. In addition, even assuming a fully individualist economy, co-operatives would still be controlled or influenced by market forces, which would drive them to increase working hours, create a division of labour, and implement a host of other dehumanising working practices in order to compete successfully against other co-operatives, and thus to "survive" economically. Hence *survival,* not *living,* would be the norm within such a society, just as it is, unfortunately, in capitalism. So, taken as a whole, individualist anarchism would tend to revert back to capitalism. Moreover, it would not eliminate the tendency of a market economy to reduce people to commodities, as can be seen from Tucker's argument that children are "owned" by their parents until such time as they are able to make contracts -- an argument that led him, for the sake of logical consistency, to tolerate child labour. Therefore, because of the forces and tendencies at work within the any market system, social anarchists recognise the need to communalise, and so decentralise, production and finance in order to ensure that freely associated and co-operative labour is the basis of a free society. Finally, as to its means of activism, individualist anarchism exaggerates the potential of mutual banks to fund co-operatives. While the creation of community-owned and -managed mutual credit banks would help in the struggle for a free society, such banks are not enough in themselves. Unless created as part of the social struggle against capitalism and the state, and unless combined with community and strike assemblies, mutual banks would quickly die, because the necessary social support required to nurture them would not exist. Mutual banks must be part of a network of other new socio-economic and political structures and cannot be sustained in isolation from them. This is simply to repeat our earlier point that capitalism cannot be reformed away. However, while social anarchists disagree with the proposals of individualist anarchists, we do still consider them to be a form of anarchism -- one with many flaws and one perhaps more suited to an earlier age when capitalism was less developed and its impact upon society far less than it is now (see section G.1.1). John Quail, in his history of British Anarchism, puts his finger on the contextual implications and limitations of Tucker's ideas when he writes: "Tucker was a Proudhonist and thus fundamentally committed to a society based on small proprietorship. In the American context, however, where the small landowner was often locked in battle with large capitalist interests, this did not represent the reactionary position it often did later. . . Tucker had a keen sense of the right of the oppressed to struggle against oppression." [_The Slow Burning Fuse_, p. 19] G.5 Benjamin Tucker: Capitalist or Anarchist? Benjamin Tucker was against "capitalism" in the sense in which he defined it: namely, as a state-supported monopoly of social capital (tools, machinery, etc.) which allows owners to avoid paying workers the full value of their labour [see _Instead of a Book_]. Indeed, he thought that the "labouring classes are deprived of their earnings by usury in its three forms, interest, rent and profit." [quoted by James J. Martin, _Men Against the State_, p. 210f] This stance puts him squarely in the libertarian socialist tradition. Indeed, Tucker referred to himself many times as a socialist. It is true that he also sometimes railed against "socialism," but in those cases it is clear that he was referring to *state* socialism. As he argues himself there are two kinds of socialism based upon two different principles: "The two principles referred to are Authority and Liberty, and the names of the two schools of Socialistic thought which fully and unreservedly represent one or the other of them are, respectively, State Socialism and Anarchism. Whoso knows what these two schools want and how they propose to get it understands the Socialistic movement. For, just as it has been said that there is no half-way house between Rome and Reason, so it may be said that there is no half-way house between State Socialism and Anarchism." [_The Anarchist Reader_, p. 150] He also made it clear that he was against private property and so supported Proudhon's argument that "property is theft," and even translated Proudhon's "What is Property?", where that phrase originated. Tucker advocated *possession* but not private property, believing that empty land, houses, etc. should be squatted by those who could use them, as labour (i.e. use) would be the only title to "property" (Tucker opposed all non-labour income as usury). This was because Tucker did not believe in a "natural right" to property nor did he approve of unlimited holdings of scarce goods. He clearly recognised that allowing "absolute" rights to private property, when land was scarce, would result in the liberty of non-owners being diminished. As he put it: "It should be stated, however, that in the case of land, or of any other material the supply of which is so limited that all cannot hold it in unlimited quantities, Anarchism undertakes to protect no titles except such as are based on actual occupancy and use." [_Instead of a Book_, p. 61] This, he thought, would reduce the evils of capitalism and increase liberty. For those who own no property have no room for the soles of their feet unless they have the permission of those who do own property, hardly a situation that would increase, nevermind protect, freedom for all. Therefore, Tucker considered private property in land use (which he called the "land monopoly") as one of the four great evils of capitalism. According to Tucker, "the land monopoly. . . consists in the enforcement by government of land titles which do not rest upon personal occupancy and cultivation. . .the individual should no longer be protected by their fellows in anything but personal occupation and cultivation of land" [_The Anarchist Reader_, p. 150]. The other capitalist monopolies were based on credit, tariffs and patents and all where reflected in (and supported by) the law. Tucker believed that bankers' monopoly of the power to create credit and currency is the linchpin of capitalism Although he thought that all forms of monopoly are detrimental to society, he maintained that the banking monopoly is the worst, since it is the root from which both the industrial-capitalist and landlordist monopolies grow and without which they would wither and die. For, if cr