Voluntary Exchange

1. A Story of Two Gentlemen
Bubba and Hotep wish to exchange goods with each other. Bubba brings some beer, and Hotep brings a book titled “Social Commentaries of the Unhelpful Kind.” Bubba offers a price of 10 beers, and since Hotep values the 10 beers more than his perceived benefits of the book, he agrees to the exchange.
This is an example of voluntary exchange—on the individual basis. However, some of us implicitly think that the word “voluntary” acquires the same meaning when mixed in the company of words like “government,” “common good,” and “national interest.”
2. Bandits
Suppose a group of bandits—like the Mafia—come into your town, wave their guns around, and offer their security services in exchange for $100 per month. Since it is ‘an offer you can’t refuse’, you accept the exchange. Is this a voluntary or an involuntary exchange?
3. The King
Suppose you reside in a highly esteemed city of King Shekel’s humble empire. The municipal government provides and/or funds basic services like justice, policing, ‘national’ defense, etc. Regardless of how much of these services you use--if at all, you are levied $100 per month. Is this a voluntary or an involuntary exchange?
4. The Liberal Democracy
Suppose you live in a particular boundary over which a democratic government was formed some time before you were born (e.g. the US, GER, JPN, S Korea, France, etc.). Regardless of your voting habits and your proportional use of government-provided goods and services, you are taxed at a $100 per month. Is this a voluntary or an involuntary exchange?
5. The Liberal Democracy
You live in a liberal democracy, but you are unwillingly drafted into the armed services. Is this a voluntary or an involuntary exchange?
Is this a voluntary or an involuntary exchange?
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Bubba and Hotep wish to exchange goods with each other. Bubba brings some beer, and Hotep brings a book titled “Social Commentaries of the Unhelpful Kind.” Bubba offers a price of 10 beers, and since Hotep values the 10 beers more than his perceived benefits of the book, he agrees to the exchange.
This is an example of voluntary exchange—on the individual basis. However, some of us implicitly think that the word “voluntary” acquires the same meaning when mixed in the company of words like “government,” “common good,” and “national interest.”
2. Bandits
Suppose a group of bandits—like the Mafia—come into your town, wave their guns around, and offer their security services in exchange for $100 per month. Since it is ‘an offer you can’t refuse’, you accept the exchange. Is this a voluntary or an involuntary exchange?
3. The King
Suppose you reside in a highly esteemed city of King Shekel’s humble empire. The municipal government provides and/or funds basic services like justice, policing, ‘national’ defense, etc. Regardless of how much of these services you use--if at all, you are levied $100 per month. Is this a voluntary or an involuntary exchange?
4. The Liberal Democracy
Suppose you live in a particular boundary over which a democratic government was formed some time before you were born (e.g. the US, GER, JPN, S Korea, France, etc.). Regardless of your voting habits and your proportional use of government-provided goods and services, you are taxed at a $100 per month. Is this a voluntary or an involuntary exchange?
5. The Liberal Democracy
You live in a liberal democracy, but you are unwillingly drafted into the armed services. Is this a voluntary or an involuntary exchange?
Is this a voluntary or an involuntary exchange?
1.
2.
3.
4.
5.