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I've read widely in the libertarian, minarchist and anarcho-capitalist traditions, and while I think they are often good at identifying certain problems of government, and I'm convinced by the arguments of Huemer's The Problem of Political Authority and Ellickson's Order without Law that these forms of government could potentially work in the real world, I still find myself more attracted to social democracy as a set of principles for organizing society, especially since it's actually been tried in the real world and seems to work reasonably well.
Don't get me wrong, I'm very sympathetic to the view of government that it is just the largest and most successful gang of thugs in an area, and that there is actually little moral grounding for the idea of political authority. But I'm a pragmatist and a consequentialist, and I'm more willing to shrug and say, "if the big bullies take care of the little bullies and make people more free, that's better than the alternative." I tend to agree with Noah Smith's argument in The Liberty of Local Bullies that there are many "intermediate" groups between the government and the individual that often have just as much power to reduce your liberty as the government does.
Imagine a devout Jehovah's Witness in high school refusing to stand for the Pledge of Allegiance because oaths are against their faith, and constantly being punished by their overzealous home room teacher for it. The only way to resolve the issue in a way that preserves the liberty of the Jehovah's Witness to not say the Pledge is to go over the teacher's head, via school administrators. But what if the school administrators support the teacher over the student? The only way to force the teacher to respect the student's religious freedom is to go a level higher to the government, and hope that they will force fines or other coercive measures in order to protect the student's rights.
I think for freedom to be meaningfully maximized you need a centralized government with enough state capacity to force the local bullies to respect freedom. Obviously, it would be foolish to claim that centralized governments with high state capacity always results in increased liberty, but most of the countries I can think of that are good places to live in are some form of liberal representative democracy with free markets and a government with enough state capacity to secure people's rights, and create money transfers and social safety nets (even the United States.)
That’s the good intention which paved the road to Hell, the road we call the anti-trust laws. Alan Greenspan wrote a detailed yet eminently readable paper, later published by Rand, about the US government’s efforts to stop “monopolies” and the resulting unbridled growth of the bully state.
Outlaw unequivocally evil externalities, to be sure! But don’t let the law become non-objective, subject to whim or pull. If you give a man a gun and tell him he’s the defender of justice, pretty quickly he’ll think his job is to find the right time to pull the trigger. Find the proper size and role of government, and provide better incentives for it to protect the individual even at the cost of outcomes for pressure groups with sob stories or crocodile tears.
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