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EXPLORING THE BASIC INCOME GUARANTEE

The Problem of Property

Taking the Freedom of


Nonowners Seriously
Karl Widerquist
Exploring the Basic Income Guarantee

Series Editor
Karl Widerquist, Georgetown University in Qatar, Doha, Qatar
Basic income is one of the most innovative, powerful, straightforward,
and controversial proposals for addressing poverty and growing inequali-
ties. A Basic Income Guarantee (BIG) is designed to be an unconditional,
government-insured guarantee that all citizens will have enough income
to meet their basic needs. The concept of basic, or guaranteed, income
is a form of social provision and this series examines the arguments for
and against it from an interdisciplinary perspective with special focus on
the economic and social factors. By systematically connecting abstract
philosophical debates over competing principles of BIG to the empir-
ical analysis of concrete policy proposals, this series contributes to the
fields of economics, politics, social policy, and philosophy and establishes a
theoretical framework for interdisciplinary research. It will bring together
international and national scholars and activists to provide a compara-
tive look at the main efforts to date to pass unconditional BIG legislation
across regions of the globe and will identify commonalities and differences
across countries drawing lessons for advancing social policies in general
and BIG policies in particular.
Karl Widerquist

The Problem
of Property
Taking the Freedom of Nonowners Seriously
Karl Widerquist
Georgetown University in Qatar
Doha, Qatar

ISSN 2662-3803 ISSN 2662-3811 (electronic)


Exploring the Basic Income Guarantee
ISBN 978-3-031-21947-4 ISBN 978-3-031-21948-1 (eBook)
https://doi.org/10.1007/978-3-031-21948-1

© The Editor(s) (if applicable) and The Author(s), under exclusive license to Springer
Nature Switzerland AG 2023
This work is subject to copyright. All rights are solely and exclusively licensed by the
Publisher, whether the whole or part of the material is concerned, specifically the rights
of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on
microfilms or in any other physical way, and transmission or information storage and
retrieval, electronic adaptation, computer software, or by similar or dissimilar methodology
now known or hereafter developed.
The use of general descriptive names, registered names, trademarks, service marks, etc.
in this publication does not imply, even in the absence of a specific statement, that such
names are exempt from the relevant protective laws and regulations and therefore free for
general use.
The publisher, the authors, and the editors are safe to assume that the advice and informa-
tion in this book are believed to be true and accurate at the date of publication. Neither
the publisher nor the authors or the editors give a warranty, expressed or implied, with
respect to the material contained herein or for any errors or omissions that may have been
made. The publisher remains neutral with regard to jurisdictional claims in published maps
and institutional affiliations.

This Palgrave Macmillan imprint is published by the registered company Springer Nature
Switzerland AG
The registered company address is: Gewerbestrasse 11, 6330 Cham, Switzerland
Acknowledgments

This book is based on one part of the thesis1 I wrote at Oxford between
2003 and 2006. The acknowledgments for that thesis were published
in my 2013 book.2 I began rewriting it for publication in 2022 and
haven’t shown the recent drafts to anyone. So, there are only a few new
acknowledgments to mention.
First is my wife, Elizabeth Smith Widerquist, who tolerates my work,
understands what I’m going through, and is loving in a way that
makes me strong. My father, mother, siblings, my siblings’ children, and
my friends have given me support in many ways that have indirectly
contributed to this project.
Part of the reason I decided to publish this book now came from
an anonymous Twitter follower who found my thesis (which I had not
promoted) and alerted me to the value of the chapters that were still
unpublished.
Otto Lehto also helped inspire me to publish this book by pressing me
to explain my own property theory.

1 Widerquist, Karl (2006). Property and the Power to Say No: A Freedom-Based Argu-
ment for Basic Income. Oxford University: Department of Politics and International
Relations.
2 Widerquist, Karl (2013). Independence, Propertylessness, and Basic Income: A Theory of
Freedom as the Power to Say No. New York: Palgrave Macmillan.

v
vi ACKNOWLEDGMENTS

Ian Almond gave me very valuable advice just as I was finishing these
revisions, as did several of my colleagues at the Economic Ethics Network
meeting in Greece in 2022. Carole Sargent has given me incredibly valu-
able advice about all aspects of writing and publishing since I started at
Georgetown in 2009.
Meera Seth, the managing editor of Palgrave’s series “Exploring the
Basic Income Guarantee” and the rest of Palgrave’s team involved with
this project have been extremely helpful.
I received support this year from the Goertz Werner Chair and the
Freiburg Institute for Basic Income Studies at Albert-Ludwigs-Universität
Freiburg.
I wrote large portions of this book at coffee shops on at least three
continents. Thanks to all the baristas, janitors, and other employees at all
those places, not to mention the janitors and support staff at the Depart-
ment of Politics at the University of Oxford, in Freiburg, and the various
buildings I’ve worked in.
I would like to thank Georgetown University-Qatar, its parent orga-
nizations Qatar Foundation, and the government of Qatar for my job
and generous research support. Even more so, I would like to thank my
colleagues and Georgetown-Qatar and the university’s support staff. Most
of all, I would like to thank the 100-plus migrant laborers who work at
Georgetown but who don’t officially work for Georgetown. Although
most of them are essential workers without whom Georgetown-Qatar
could not function, they are badly exploited, underpaid, overworked,
separated from their families for years at a time, and not what you could
call genuinely free laborers. Georgetown and Qatar Foundation tend to
blame all mistreatment on human-resource companies that act as inter-
mediaries, but the labors in our building provide services exclusively for
us. Their mistreatment ends when we demand it. Here’s the hope that
Georgetown will make that demand and will be ready to close its oper-
ations in Qatar unless there is a major transformation in the treatment
of labor on our campus. Here’s also to the hope that pressure like that
from individuals and international institutions will end the mistreatment
of migrant laborers in both Qatar and in my home country, the United
States of America.
—Karl Widerquist at Anis Café in Msheireb, Doha, Qatar on
August 22, 2022.
Contents

1 Introduction 1
2 The Problem of Property 7
1 Assets, Property, and Ownership 10
2 Rights to Property and Right-Libertarianism 14
3 Special Rights, Legal Privileges, and Full Individual
Ownership of Property 15
3 Lockean Property Theory: A Menu of Options
for the Justification of Unilateral Appropriation 21
1 Appropriation in the State of Nature 22
2 Three Provisos in One 24
3 Fulfilling the Proviso 26
3.1 Must the Proviso Be Fulfilled in Resources or is
Compensation Acceptable? 27
3.2 Should the Proviso Be Fulfilled in Terms
of Standard-of-Living or Independent
Functioning? 27
3.3 How Strong Should the Proviso Be? 28
4 Property in Civil Society 31

vii
viii CONTENTS

5 A Menu of Lockean Property Theories 33


5.1 Outline 1: A Broad Outline of Lockean Theories
of Property 33
5.2 Outline 2: Nozick’s Property Theory in Terms
of the Lockean Outline 36
4 Lockean Appropriation Assessed 39
1 Unilateral Appropriation Diminishes Joint Claims Out
of Existence 40
2 Appropriation Based on First Labor (or First Use) Has
No Value Without Historical Accuracy 41
3 Original Appropriation as Metaphor 45
4 What Is Labor Supposed to Do in Appropriation Theory? 46
5 Labor Does Not Fulfill the Proviso If It Is Not Otherwise
Fulfilled 47
6 The Size of Labor’s Contribution Cannot Give One
Group Exclusive Claim to All the Land 49
7 Appropriation Conflicts with the Right to Unconditional
Subsistence on Which It Is Based 51
8 Locke’s Consent Theory Lacks Consent 53
9 What Kind of Ownership? 55
5 Right-Libertarian Appropriation Assessed 59
1 The Weak Version of the Proviso 60
1.1 The Argument Ignores or Begs a Central Question 62
1.2 The Weak Proviso Ignores Significant Harms 64
1.3 The Weak Proviso Violates the Principle of Justice
in Transfer 65
1.4 Nozick’s Proviso Gives Workers Nothing for Their
Claim to the Land 66
2 Resources as Unowned 67
2.1 Equal Freedom from Prevention 68
2.2 No Ethical Distinction Between Prevention
and Interference 69
3 State Appropriation of Property 71
3.1 This Story Is Not Literally True 75
3.2 Taxation Is Forced Labor 76
3.3 Queen Has Too Large a Concentration of Power 77
3.4 Conclusion 79
CONTENTS ix

4 Equal Rights Under the Law and After-The-Fact


Justifications for Property 79
5 What Would Have or Could Have or Actually Did
Happen? 82
6 Forget About Ancient History 83
7 Conclusion 84
6 The Approximation of a Property-Rights Accord 87
1 A Property-Rights Accord in Ideal Theory 88
1.1 Equal Division or Compensation 90
1.2 Full Collective Ownership 93
1.3 Privatization by Accord 94
2 Three Barriers to a Property-Rights Accord 98
2.1 Overlapping Generations 98
2.2 The Improbability of Unanimity 100
2.3 The Desirability of Revocability 101
3 The Approximation of a Property-Rights Accord
in Non-ideal Theory 102
3.1 Inalienability of ECSO Freedom 103
3.2 ECSO Freedom Assures the Consent of Property
Holders 105
3.3 No Dichotomy Between Initial Assignment
of Property Rights and Subsequent Trade 106
3.4 Minimizing the Negative Impact on Those Who
Are Not Party to the Agreement 108
3.5 Protection of Property Owners 110
4 A Left-Libertarian Reply? 112
5 A Right-Libertarian Reply? 118
6 Conclusion 118
7 Conclusion: The Greater of Two Goods 121
1 Freedom as the Motivation for Protection
from Propertylessness 122
2 How Big? 123
3 Equality of Freedom 124

Index 125
CHAPTER 1

Introduction

As I went walking, a sign stopped me.


On the one side, it said “No Trespassing.”
But on the other side, it didn’t say nothing.
That side was made for you and me.

This land was made for you and me.
—Woody Guthrie, “This Land Is Your Land” as covered by
Remember Alice?1

Any conception of a right—whether legal or natural—has to be recip-


rocal in the relevant ethic respect. A nonreciprocal “right” is merely a
privilege. A right of self-ownership at least prima facie passes this test.
It amounts to saying accept my ownership of my body as I respect
your ownership of your body. The highly unequal ownership system
that prevails in external assets (i.e., property in anything outside of our
living bodies) prima facie fails this test in at least two ways. First, it
gives one group control over resources essential to everyone’s survival
and therefore, forces the propertyless group to perform services for the

1 Guthrie, Woody (1956). “This Land Is Your Land.” Woody Guthrie Publications,
Inc. & TRO-Ludlow Music, Inc. (BMI), covered by Remember Alice? c. 1996.

© The Author(s), under exclusive license to Springer Nature 1


Switzerland AG 2023
K. Widerquist, The Problem of Property, Exploring the Basic Income
Guarantee, https://doi.org/10.1007/978-3-031-21948-1_1
2 K. WIDERQUIST

property-owning group to survive. Second, it amounts to saying, “You


should respect my property for I would respect yours if you had any.”2
My 2006 dissertation, Property and the Power to Say No,3 addressed
both of these problems with property from what I now call an “inde-
pentarian” perspective. That thesis also represented my first detailed
statement of what I now call “Justice as the Pursuit of Accord” (JPA).
It addressed both of the above objections to the property rights system.
By 2013, I managed to expand the freedom section—the part
addressing the first of the two objections mentioned above—into a full-
length book, Independence, Propertylessness, and Basic Income: A Theory
of Freedom as the Power to Say No.4 I intended to later expand the parts
addressing the second objection into a full-length book of its own. Nearly
10 years later, I had not yet made good on that intention, and only one
chapter from that part of the book had been published as an article.
Therefore, I decided to publish the property section of my thesis as this
short book.
I did minimal updates and changes to the original manuscript. The
biggest change is that Chapter 3, “Lockean Property Theory,” is a
summary (with minor changes) of the version of the thesis chapter that
was published in Public Reason in 2010.5
I also made some small changes, including copyediting and a few
updates to the terminology, such as, changing “he or she” to “they,”
and where appropriate, I now use “Universal Basic Income” (UBI) rather
than “Basic Income,” or “Unconditional Basic Income.” As I copyedited
the book, I could not resist updating some of the text to reflect how my
writing style and thinking have developed in the last 15 years, but I tried
to keep those changes to a minimum. I have made only minimal updates
to the citations, and some of the citations will, therefore, be dated, but
the arguments addressed here are still underexplored in the literature.
I submitted the dissertation on which this book is based before I settled
on the terms “indepentarianism” and “justice as the pursuit of accord,”
but most of the elements that make up those concepts are in place here,

2 Waldron J. (1988). The Right to Private Property. Oxford: Clarendon Press, 441.
3 Widerquist, Property and the Power.
4 Widerquist, Independence.
5 Widerquist, Karl (2010). “Lockean Theories of Property: Justifications for Unilateral
Appropriation.” Public Reason 2 (3): 3–26.
1 INTRODUCTION 3

one central example being the existence of dissenters (people who have
reasonable objections to prevailing social arrangements, the duties they
are asked to perform, or the rewards they are given in return). The
presence of dissenters represents the failure of social contract theory or
natural rights theory to create social arrangements that no reasonable
person could object to or that all rational ethical people must accept.
Most political theories have dealt with dissenters by wishing them away:
each theorist assumes their contract or their conception of natural rights
is the one that no ethical person could reasonably reject. I instead assume
that nobody’s theory will ever be that good—and that includes my theory
and the theories of the dissenters themselves should they come to power.6
If I’m right, the problem of justice is not how to come up with an
imaginary agreement or list of rights that we can tell ourselves no reason-
able person could reject. We should doubt the value of any philosopher’s
imagined consensus of all supposedly reasonable people either to a social
contract or to a set of natural rights, because both the theory and practice
of politics inherently advantages insiders and disadvantages outsiders.
Also, if I’m right, the problem of justice is to obtain the literal agree-
ment of as many people as possible while minimizing interference with
and oppression of dissenters and of disadvantaged people (understood as
people who might not know they have good reason to dissent).
JPA theory is “indepentarian” in the sense that it gives a high priority
to the independence of each individual. Ideally, we would all live together
in accord—under rules that we all literally agree on. If we cannot agree,
the next best solution is to divide into separate communities, each of
which can do things their way. Because we are effectively stuck together,
the majority must get their way, but they have the responsibility to be
aware that they are imposing their will on dissenters. Therefore, they
take on a responsibility to respect individual independence as much as
possible and to forever pursue literal, present agreement with everyone
by minimizing the negative effects the social order imposes on dissenters
and disadvantaged people. Justice is something we pursue but never fully
capture.

6 Widerquist, Karl (2019). “The Pursuit of Accord: Toward a Theory of Justice with
a Second-Best Approach to the Insider–Outsider Problem,” Raisons Politiques 73 (1),
61–82.
4 K. WIDERQUIST

My 2013 book, Independence, Propertylessness, and Basic Income, laid


out the indepentarian theory of freedom as “Effective Control Self-
Ownership” (“ECSO” or for clarity, “ECSO freedom”) the effective
power to accept or refuse active cooperation with other willing people.
It argued that one of the institutions necessary to protect ECSO freedom
was some form of Basic Income Guarantee (BIG) at least large enough
to meet people’s basic needs.
BIG is an unconditional income floor, below which no one’s income
can fall for any reason. Universal Basic Income (UBI) is one form of BIG;
it establishes the income floor by providing an unconditional income to
everyone regardless of their private income. Other forms of BIG estab-
lish that floor by providing income only to those whose private income
falls below a certain amount. I usually use the term UBI because is my
preferred model of BIG, but none of the arguments in this book are
specific to UBI.7
Respect for ECSO freedom puts one significant constraint on any
political-economic system, but it says little about what forms of property
are otherwise justifiable.8 This book presents the first tentative statement
of JPA property theory. It addresses and rejects natural-rights-based argu-
ments for highly unequal private property systems like the one we have
(Chapters 2–5). It then discusses the JPA alternative, the approximation
of a property-rights accord (Chapter 6). It argues that taxes and regula-
tions should be considered part of the purchase price of a good. People
who wish to control, use, or use up external assets need to pay the costs
that one person’s control over anything made out of natural resources
imposes on people who have to make do without those resources and
who are affected by the environmental impact of its production and use.
The solution involves the attempt to get a majority of people to agree on
whether, how many, and which resources to privatize and on what terms:
price, length of tenure, regulations, and so on. I argue that the solution
must include the highest sustainable BIG that can be derived from the
portion of assets that are privatized both to bring less advantaged people
into agreement and to compensate dissenters.

7 Widerquist, Karl (Forthcoming). Universal Basic Income: Essential Knowledge.


Cambridge, MA: MIT Press.
8 Widerquist, Property and the Power.
1 INTRODUCTION 5

The conclusion (Chapter 7) discusses how to harmonize the two very


different arguments for BIG in this book and in Independence, Property-
lessness, and Basic Income (the two parts of my 2006 dissertation).9
The theory presented here is part of a larger project to develop JPA
theory. Therefore, it has some relationship to the works below. I try to
cite them when relevant.
The following books and articles explain, elaborate, argue for, and
apply the indepentarian theory of ECSO freedom: “The Physical Basis
of Voluntary Trade” (2010), “Why we Demand an Unconditional Basic
Income: the ECSO freedom case” (2011), and Independence, Property-
lessness, and Basic Income (2013).10 The article, “Reciprocity and the
Guaranteed Income” (1999)11 defends BIG against the objection that
it violates the principle of “reciprocity” by taking the offense: it argues
that the background system of property rights without BIG violates reci-
procity. In so doing, it makes an embryonic statement of the theory I am
still trying to develop into JPA.
The following articles further elaborate JPA property theory: “A
Permanent Endowment for the United States” (2012), “Why Link Basic
Income to Resource Taxation?” (2012), “The People’s Endowment”
(2016).12
The following books and articles explain the need for JPA theory
and/or criticize competing theories: “A Dilemma for Libertarianism”
(2009), Prehistoric Myths in Modern Political Philosophy (2017), “My

9 Ibid.
10 Widerquist, Karl (2008). “The Physical Basis of Voluntary Trade.” Human Rights
Review 11 (1): 83–103; Widerquist, Karl (2011). “Why We Demand an Unconditional
Basic Income: The ECSO Freedom Case.” In Arguing about Justice: Essays for Philippe
Van Parijs. Axel Gosseries and Yannick Vanderborght (eds.). Louvain-la-Neuve, Belgium:
Presses universitaires de Louvain, 387–394; Widerquist, Independence.
11 Widerquist, Karl (1999). “Reciprocity and the Guaranteed Income.” Politics and
Society 33: 386–401.
12 Widerquist, Karl (2012). “A Permanent Endowment for the United States,” In
Exporting the Alaska Model: Adapting the Permanent Fund Dividend for Reform Around
the World, Widerquist, Karl and Michael W. Howard (eds.). New York: Palgrave
Macmillan, 163–167; Michael W. Howard and Karl Widerquist (2012). “Why Link Basic
Income to Resource Taxation?” In Alaska’s Permanent Fund Dividend: Examining Its
Suitability as a Model, Karl Widerquist and Michael W. Howard (eds.). New York: Palgrave
Macmillan, 205–220; Karl Widerquist (2016). “The People’s Endowment.” In Institutions
for Future Generations. Axel Gosseries and Inigo Gonzalez (eds.). Oxford University Press,
312–330;
6 K. WIDERQUIST

Own Private Basic Income” (2018), “The Pursuit of Accord: Toward a


Theory of Justice With a Second-Best Approach to the Insider–Outsider
Problem” (2019), “Why Private Property?” (2019), the Prehistory of
Private Property: Implications for Modern Political Theory (2021), “The
State of Nature, Prehistory, and Mythmaking” (2022).13
These articles reply to potential objections to indepentarian theory and
policy: “Reciprocity and the Guaranteed Income” (1999), “Who Exploits
Who?” (2006), “Does She Exploit or Doesn’t She?” (2005).14
My forthcoming book, Universal Basic Income: Essential Knowledge,
presents (among other things) some indepentarian ideas for a lay audi-
ence.15
And the dissertation that this book is drawn from is Property and the
Power to Say no: A Freedom-Based Argument for Basic Income.16

13 Widerquist, Karl (2009). “A Dilemma for Libertarianism,” Politics, Philosophy, and


Economics 8 (1): 43–72; Widerquist, Karl and Grant McCall (2017). Prehistoric Myths
in Modern Political Philosophy. Edinburgh: Edinburgh University Press; Widerquist, Karl
(2018). “My Own Private Basic Income.” In It’s Basic Income: the Global Debate, Amy
Downes and Stewart Lansley (eds.). Bristol, UK: Policy Press, 48–53; Widerquist, Karl.
“The Pursuit of Accord”; Jean-Fabien Spitz, Hillel Steiner, Philippe Van Parijs and
Karl Widerquist (2019). “Why Private Property?” Raisons Politiques 73 (1), 119–131;
Widerquist, Karl and Grant S. McCall (2021). The Prehistory of Private Property: Impli-
cations for Modern Political Theory, Edinburgh: Edinburgh University Press; Widerquist,
Karl and Grant S McCall (2022). “The State of Nature, Prehistory, and Mythmaking.”
In The State of Nature: Histories of an Idea. Anne Peters and Mark Somos (eds.). Brill
Publishers, 399–421.
14 Widerquist “Reciprocity”; Widerquist, Karl (2006). “Who Exploits Who?” Political
Studies 54 (3): 444–464; Widerquist, Karl (2005). “Does She Exploit or Doesn’t She?”
In The Ethics and Economics of the Basic Income Guarantee, Karl Widerquist, Michael A.
Lewis, and Steven Pressman (eds.). Aldershot, UK: Ashgate, 138–162.
15 Widerquist, Universal Basic Income.
16 Widerquist, Property and the Power.
CHAPTER 2

The Problem of Property

Seven stranded castaways live on an uncharted desert isle. Wealthy Mr.


Howell asks working-class Gilligan to dig a hole for a barbeque pit. In
doing so, Gilligan digs up a locked treasure chest. Before opening it, the
two begin to dispute its ownership. Both apparently base their claims on
Lockean unilateral appropriation: Gilligan mixed his labor with the chest
(by cutting into the turf) and Mr. Howell mixed his servant’s labor with
the chest (by asking Gilligan to cut into the turf). They ask the wise
Professor to act as judge in their dispute. In an ignorable breech of disin-
terest, the Professor rules that the chest belongs equally to all seven of
the castaways, none of whom has special claim to the island’s resources.
Strong Skipper flings a rope over a high tree branch and hoists up the
chest. Before he could drop it, greedy Mr. Howell, working within the
legally ascribed egalitarian property-rights regime but not wanting to miss
his chance to be the sole owner of the contents of the treasure chest, offers
the other six castaways a large sum of money for the exclusive right to it.
They decline; he raises his offer, and keeps raising it until all six of the
other castaways agree to respect his ownership of the chest. Skipper drops
the chest. It breaks open, revealing only worthless cannonballs, of which,
the weeping Mr. Howell is now the undisputed owner.
—Elroy Schwartz (summarized)1

1 Schwartz, E. and O. Crawford (1965). “Plant You Now, Dig You Later,” CBS Tele-
vision. This example is actually rather advanced, incorporating uncertainty and a prior
distribution of wealth. Uncertainty complicates the issues I wish to discuss, but it does

© The Author(s), under exclusive license to Springer Nature 7


Switzerland AG 2023
K. Widerquist, The Problem of Property, Exploring the Basic Income
Guarantee, https://doi.org/10.1007/978-3-031-21948-1_2
8 K. WIDERQUIST

This book addresses the question of what property-rights regime


delivers the most extensive equal liberty (understood as freedom from
interference in the continuous, scalar, or incremental sense of the term
as opposed to the dichotomous sense of freedom discussed in my earlier
book2 ). The goal is to determine the property-rights regime that delivers
the maximal freedom consistent with equal freedom for all. It rejects the
concept of a natural right to property. The rights it argues for are derived
from the goal of maximizing equal freedom in the neutral sense of the
term. The theory of status freedom as ECSO freedom acts as a constraint
on the property system, and so I’ll mention it only when relevant.
This book argues the property-rights regime that delivers the maximal
equal freedom requires the approximation of an accord. Under this
regime, people obtain title to an unowned natural resource (or a product
of past generations) by paying their contemporaries sufficiently so that it
is in their interest to agree to respect their property rights. In other words,
people can obtain an approximation of a property right in unowned
external assets by making it in each other’s interest to treat their holdings
as property. Call it “as-if property.” It argues (among other things) that
private property requires some form of BIG if it is going to be consistent
with maximal equal freedom.
This theory of the relationship between property and liberty runs
counter to the argument from liberty for right-libertarianism.3 I use

not change my conclusions, and so I will set it aside entirely. It is interesting, however,
that the participants choose to make their decisions under uncertainty when they could
easily have resolved the uncertainty first and distributed the property second. By a prior
distribution of wealth, I mean that Mr. Howell is wealthy before the assignment of a prop-
erty right to this external asset, whereas people usually talk about an initial assignment of
property rights and subsequent trade. It would be easy to write the prior distribution of
wealth out of the story: Mr. Howell possesses greater talent, skill, or willingness to work
than anyone else. Instead of bidding for the treasure chest in cash, he offers a contract
to provide services for everyone else.
2 Widerquist, Property and the Power.
3 Kagan, Shelly (1994). “The Argument From Liberty.” In In Harm’s Way: Essays in
Honor of Joel Feinberg. Cambridge: Cambridge University Press, 16–41. I take the phrase,
“argument from liberty,” from Kagan but use it differently. He questions whether strong
rights of any kind promote the greatest freedom from interference. I discuss whether
strong property rights are consistent with the most extensive equal freedom.
2 THE PROBLEM OF PROPERTY 9

“the argument from liberty” for any argument involving the claim that
property rights established unilaterally over natural resources without
compensation for, or consent of, the propertyless deliver the maximal
equal freedom for all. “Right-libertarianism,” is the belief that govern-
ments should have minimum or perhaps nonexistent powers to tax,
regulate, or redistribute private property.4 Right-libertarians might better
be called “propertarians” or “property rights advocates” because, as
argued below, they promote property rights for some at the expense of
equal liberty for all.5
Many critics have conceded some or all of the argument from liberty
to right-libertarianism. Isaiah Berlin, for example, argues that no matter
how morally right or desirable redistribution from the propertied to the
propertyless may be, it entails an absolute loss of liberty.6 Thomas Scanlon
states that Robert Nozick7 adheres “as closely as possible to the idea that
… all valid obligations derive from consent.”8 Scanlon makes this remark
despite recognizing that heritable property rights disadvantage the poor
of subsequent generations without their consent9 —an obligation which
(he should also recognize) is nonconsensual.10

4 Authors who make rights-based or liberty-based arguments for one version of right-
libertarianism or another include: Von Mises, L. (1927). Liberalism in the Classical
Tradition. Irvington, NY: The Foundation for Economic Education; Hayek, F. A. (1944).
The Road to Serfdom. London: Routledge; Hayek, F. A. (1960). The Constitution of
Liberty. Chicago: University of Chicago Press; Friedman M. (1962). Capitalism and
Freedom. Chicago: University of Chicago Press; Nozick; Friedman M. and R. Friedman
(1980). Free to Choose: A Personal Statement. New York: Harcourt Brace Jovanovich;
Rothbard, Murray (1982). The Ethics of Liberty. Atlantic Highlands, NJ: Humanities
Press; Narveson, J. (1988). The Libertarian Idea. Philadelphia: Temple University Press;
Murray, C. A. (1997). What it Means to be a Libertarian. New York: Broadway Books.
5 See also Widerquist, “Dilemma;” Widerquist and McCall, Prehistoric Myths; Widerquist
and McCall, The Prehistory of Private Property.
6 Berlin, Isaiah I. (1969). Four Essays on Liberty. Oxford: Oxford University Press, 125.
7 Nozick, R. (1974). Anarchy, State, and Utopia. New York: Basic Books, Inc.
8 Scanlon, Thomas T. (1981). “Nozick on Rights, Liberty, and Property.” In Reading
Nozick: Essays on Anarchy, State, and Utopia. Oxford: Basil Blackwell, 107–130, 107.
9 Ibid., 110–111.
10 See Chapter 4; Widerquist, Property and the Power; Widerquist and McCall, The
Prehistory of Private Property; Cohen, G. A. (1995). Self-Ownership, Freedom, and
Equality. Cambridge: Cambridge University Press.
10 K. WIDERQUIST

This chapter clarifies the issue of property to set the stage for my
arguments against existing property theories and in favor of an alternative.

1 Assets, Property, and Ownership


A discussion of property rights or ownership rights has to begin with an
understanding of what is being owned. I use the economists’ definition of
a “good” as anything a person values. It is whether it has market value or
not. Goods do not have to be physical objects. Software, time, a beautiful
sky, a day at the races, a night at the opera, friendship, free speech, and
property rights are all goods. Goods can be categorized in many different
ways, three of which are relevant to the discussion here.
Goods can be classified as “internal” and “external assets.” “Internal
assets” are the goods that make up part of a person’s self, such as body
parts, abilities, talents, thoughts, memories, and emotions. The concept
of ECSO freedom proposed in my earlier book implies that individuals
should have effective control over their internal assets.11 “External assets”
are all goods that are not a part of a person’s self, including land and
minerals, the things past or present generations have made out of land
and minerals, knowledge left by previous generations, and so on.12
Goods can also be classified as “natural resources” and “finished prod-
ucts.” Natural resources are all the products of nature, whether embedded
in other goods or not. These include land, water, minerals, plant life,
and so on. Finished products are goods that have been altered in the
production process and are now in their final form, such as machine tools.
Goods can just as well be classified as “resources” and “consumption
goods.” Resources are goods that are used to produce other goods. They
include natural resources such as land but also finished products such as
machine tools. Consumption goods are goods that are used directly by
consumers to fulfill their needs or wants but not to produce anything
else for exchange with others. Consumption goods include many finished
products, such as cars and paintings, but they also include raw natural
resources that are enjoyed directly by consumers, such as a nature park or
a sunset.

11 Widerquist, Property and the Power.


12 Van Parijs, P. (1995). Real Freedom for All: What (If Anything) Can Justify
Capitalism? Oxford: Oxford University Press.
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