Uploaded February 2022 | Updated September 2026, 1 week ago
There are a lot of anti libertarians I come across and there is always the same old recurring arguments, the usual anti capitalist rhetoric about there being some dangerous concentration of wealth in the hands of the few, or that it would lead to monopolies, oligopolies and cartels. One common argument you will hear is the claim that capitalism is either the same thing as cronyism (corporatism) or is the early stages of corporatism.
In this response I decided to respond on a particular comment I received, the typical anti libertarianism with the usual anti capitalist nonsense. The funny thing is, everything he proclaims to stand against, he is essentially supporting by upholding a mixed economy. The argument he makes regarding "evening the playing field" doesn't make rational sense as the mixed economy has done anything but such a thing. This common argument based on equality isn't just something you find with Marxists but many of those who value the mixed economy.
As I have pointed out numerous times before, there is a colossal difference between the protectionism of corporatism and that of capitalism and perhaps I could get around to doing a video in particular on that subject illustrating the differences. It is important to note, however, free markets are not the cause for why corporatism exists, you can't blame the freedom of a market for the fault of government intervention even if someone tries to claim it's the natural state. To justify the fault, which is government intervention, is to basically support the causal effects. Having freedom of the market FROM the state's interference isn't the problem.
Again, much like Marxists, his claims are baseless, whether it's on monopolies, the dangerous concentration of wealth in the hands of the few, or what equals things out. As history has proven, nothing even comes close to free market economies for opportunity and lifting the masses out of poverty, the world's most successful economies as I've pointed out numerous times before were the likes of Hong Kong, Singapore and even Sweden for a period when they were free markets.
The absolutist mentality these people have where they assume that if something isn't exactly 100% then that must mean it either does not work or that free markets don't exist. It's such a myopic overly simplistic worldview of economics and political history, the world doesn't work that way.
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There are a lot of anti libertarians I come across and there is always the same old recurring arguments, the usual anti capitalist rhetoric about there being some dangerous concentration of wealth in the hands of the few, or that it would lead to monopolies, oligopolies and cartels. One common argument you will hear is the claim that capitalism is either the same thing as cronyism (corporatism) or is the early stages of corporatism.
In this response I decided to respond on a particular comment I received, the typical anti libertarianism with the usual anti capitalist nonsense. The funny thing is, everything he proclaims to stand against, he is essentially supporting by upholding a mixed economy. The argument he makes regarding "evening the playing field" doesn't make rational sense as the mixed economy has done anything but such a thing. This common argument based on equality isn't just something you find with Marxists but many of those who value the mixed economy.
As I have pointed out numerous times before, there is a colossal difference between the protectionism of corporatism and that of capitalism and perhaps I could get around to doing a video in particular on that subject illustrating the differences. It is important to note, however, free markets are not the cause for why corporatism exists, you can't blame the freedom of a market for the fault of government intervention even if someone tries to claim it's the natural state. To justify the fault, which is government intervention, is to basically support the causal effects. Having freedom of the market FROM the state's interference isn't the problem.
Again, much like Marxists, his claims are baseless, whether it's on monopolies, the dangerous concentration of wealth in the hands of the few, or what equals things out. As history has proven, nothing even comes close to free market economies for opportunity and lifting the masses out of poverty, the world's most successful economies as I've pointed out numerous times before were the likes of Hong Kong, Singapore and even Sweden for a period when they were free markets.
The absolutist mentality these people have where they assume that if something isn't exactly 100% then that must mean it either does not work or that free markets don't exist. It's such a myopic overly simplistic worldview of economics and political history, the world doesn't work that way.
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![Why Subsidies Dont Work: Government Failure in Economics
In this video I explain why subsidies dont work which is a common problem with government failure in economics. Socialists and quasi-socialists alike fail to comprehend capitalism, that it is not a system of guaranteeing business success and more often than not, it is a result of their government intervention through regulation, taxation and subsidies that result in business failure, which leads them to believe that capitalism is somehow failing, therefore, capitalism needs to be bailed out.
This is an erroneous argument as it ignores what capitalism is. Capitalism is not about an over-regulated private sector nor is it relative to government taxation. As history proves and as I explain, the internal improvements [corporate subsidies] were being financed by heavy protectionist tariffs imposed on the market. The evidence stacked against the subsidies illustrates why subsidies dont work.
Throughout the 19th century, whether it was the turnpike industry, steamship industry or even the railroad industry, you would see hundreds of private companies that took on the corporate subsidies by government going under facing bankruptcy. I have noted numerous times about the North Pacific Railroad company and James J. Hill, you can also check out Burt Fulsoms excellent talk on the failure of Edward Collins steamship company and why Cornelius Vanderbilt gave him a showing up here:
https://www.youtube.com/watch?v=RsCptN_F1OA&t=8s
Time and time again, folk, regardless of whether you talk about the lead up to the Sherman Antitrust Act of 1890, the Great Depression of 1929, or even the Banking Crisis of 2008, you will see why subsidies are destructive. It was the fault of the government subsidies that resulted in bad banks getting away with legally protected fraud because the government through subsidies took away the risk of the creditors.
Risk is something important, as are losses which play an important role in the economy as profits do. I have explained in detail for why this is.
You can also check out my explanation on the banking crisis of 2008 for a better understanding on why it happened here:
https://www.youtube.com/watch?v=FCHahZ2e6kU
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https://www.patreon.com/LibertarianViewsScottyM Why Subsidies Dont Work: Government Failure in Economics](https://i.ytimg.com/vi/koDKM9mYlic/mqdefault.jpg)








