Government and Market: A Critique of Professor James Buchanan’s ‘What Should Economics Do?’

Abstract

For Professor James Buchanan, government is just one more player in the market, along with all others, such as consumers, landlords, farmers, etc. This view is subjected to sharp criticism by the present author, who makes the case that the government differs from all other participants in society in that it and it alone enjoys a legal monopoly over initiatory aggression against person and property. No individual presumes to take on the role accorded the state (e.g., to "tax" anyone, or prevent businesses from merging under threat of fine or jail); the government does this every day.