According to Joseph Heath, privatizations should be judged on a case-by-case basis with appeal to the Pareto criterion. This approach, or so I argue, amounts to a depoliticization of privatization. While Heath’s approach is effective and at times illuminating, I show that a consistent application of his methodology is self-defeating in that it eventually requires a politicization of privatization. With appeal to transaction cost theory, I show there are social costs associated with affirming the competitive pressures of the market. Subsequently, (...) I argue that while private actors may, according to Heath, pursue efficiency with appeal to an adversarial morality, state-owned enterprises (SOEs) are much more constrained in how they may achieve such gains. Due to the pressures of liberal neutrality, SOEs may chase efficiency only without setting actors back. Conversely, the private sector’s potential for success is predicated on its ability to compete for Kaldor-Hicks efficiency, which specifically allows for win-lose interactions. While SOEs are often no more able than the private sector to achieve Pareto optima, this discrepancy makes it so that SOEs produce gains that are ex-ante lower but more equal, whereas the private sector produces gains that are ex-ante higher but more unequal. Thus, the social cost of affirming the competitive pressures of the market is ex-ante inequality. If this premise is accepted, there is no way to avoid the conclusion that a consistent case-by-case approach requires a structural, political view on how privatizations affect the state’s ex-post Pareto-enhancing abilities. (shrink)

Anarchists get a bad rap. More often than not, TV shows, comic‐books, videogames and sometimes even serious journalism portray anarchists as lazy work‐shirkers or as cartoonish evil villains, hell‐bent on causing chaos for chaos's sake. Unfortunately, the world of Avatar: The Last Airbender is not immune to this habit. Book Three of Avatar: The Legend of Korra even features an antagonist, Zaheer, who is nominally an anarchist. Anarchists would never jealously guard knowledge in a personal library, like the owl spirit (...) Wan Shi Tong. Anarchism involves a radical commitment to democracy‐sharing power and an opposition to unjust hierarchies. Anarchism also involves a way of looking at human beings and human interaction. This perspective is encapsulated in the anarchist principle “mutual aid,” which is often ascribed to the Russian biologist and philosopher Pyotr Kropotin. (shrink)

In a recent article in this journal, David Rondel argues that symbolic (or semiotic) objections to markets hold significant argumentative force. Rondel distinguishes between Incidental markets and Pervasive markets, where Incidental markets describe individual instances of exchange and Pervasive markets comprise the social management of goods by an institutional market arrangement. In this reply, I specify a key insight that buttresses Rondel’s distinction. The distinction as it is currently characterized fails to identify when Incidental markets become Pervasive. This opaqueness allows (...) scholars that defend markets without limits to question the analytical distinctiveness of Incidental and Pervasive markets. I show that by incorporating the market’s price mechanism as an indicator of a properly Pervasive market, Rondel’s distinction is not only able to tackle the aforementioned retort, but also allows for important reflections on what types of institutions should be considered markets at all. (shrink)