Are Libertarians Against Helping the Poor and Underprivileged?

is4slfgDonnie Davis, Feb 26, 2017

A common argument used against libertarianism or libertarian ideas, this particular topic is one that is based in the false notion that we as a political party do not care for the little guy or those who are living in poor economic conditions. Many a times we scoff at this approach to discredit our political viewpoints and simply state that the freedom to fail is just that and that we are not fiscally responsible for other people’s misfortune. As that is the main reasoning for our ideas, a lot of people will still see this as a heartless approach to dealing with this issue.

So, to throw some intellectual reasoning with no emotions involved:

Fiscally conservative = less government spending = minimal taxes = more money in “poor people’s” pockets.

Socially liberal = personal freedom = everyone is free to do as they will unless they violate someone else’s life, liberty, or property = no jail/criminalization for people living their lives = more freedom for “poor people”.

Free markets = no government hoops = more businesses = more competition = lower costs = more opportunity = more jobs and lower cost for “poor people”.

Libertarianism and free markets are the best systems for the poor and wealthy as everyone keeps more of their money and has less restrictions on how they want to live their lives.

Socialism, or more specifically socialist programs, rob from Peter to pay Paul for services provided to Sally. Theft is theft and should be treated as such. Taxation is legalized theft and is a necessary evil that needs to be minimized and recognized as such.

Any regulation, law, or requirement by any governing body may not be permitted to violate rights of any citizen to benefit others; as this is tyranny and should be met with opposition. The same goes with any unchecked corruption of governing bodies, monopolized marketplaces and corporations, and etc. The second amendment is a guarantee to the people that they may use deadly force to protect themselves, their rights, and anyone who they choose to assist that is being victimized.

Proper venues currently exist for providing care and welfare for those who are impoverished. Charities, homeless shelters (if approved by the community), food drives/banks, clothing donations, and many other forms of donations exist nationwide and are completely voluntary forms of social welfare. We as libertarians urge everyone to care for their fellow citizens but WILL NOT FORCE you to pay for their care by means of legalized extortion also known as taxation.

Large, powerful, and over reaching government is never the resolution. An open heart, compassion, and empathy is what is needed and passing laws to force people to open their pockets to fund federal welfare programs is wrong. Allow the people to choose whether or not they wish to donate or be charitable. Freedom of choice is a necessary requirement in the idea of a free nation.

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Money vs Wealth


Eliyahu Neiman-Jan 23, 2017

Do the wealthy accumulate their riches at the expense of the poor? Some believe that wealth inequality means that the poor must be losing out – because, after all, there is only so much money to go around. However, this is not exactly true. To see why, it is important to understand the difference between money and wealth.

Consider a case focusing on only two people: a tool manufacturer and a contractor. Say that the manufacturer pays the contractor $100,000 to build a production facility. Over the course of a year, the contractor buys $100,000 in tools from the manufacturer. Having paid off his initial investment, the manufacturer now pays $100,000 to the contractor to expand his facility.

How much money has changed hands? Apparently, only $100,000 – three times. But how much wealth has been created? The tool manufacturer has produced $100,000 worth of tools for the contractor. The contractor has built $200,000 worth of construction for the manufacturer. Our two-person economy now contains $400,000 in wealth. It is richer by $300,000. In fact, that would be its GDP if it were a country.

How is it possible that only $100,000 of money has created $300,000 of wealth? The secret is that money is not actually worth anything – other than as a means of exchange. Money represents a collective IOU that can be collected from anyone at all. This allows anyone to use their skill set to create wealth on behalf of anyone else,  requiring nothing in return but an anonymous IOU. Those who find ways to create wealth for consumers accumulate money, which they can exchange for other forms of wealth. This is the reward that the free market delivers for serving consumers. If Bill Gates and Warren Buffet have more money than anyone else, it is because they have created real wealth for consumers, and used their initial profits to create more wealth for consumers to purchase.

Two government activities are particularly harmful to this process:

1. High taxes. By confiscating the IOUs, government becomes the new recipient of the wealth owed in exchange for creative activity. This reduces the reward for wealth creation. (Equivalently, it diminishes the purchasing power of consumers). If government then spends this money on activities which don’t create wealth (i.e. goods or services that don’t improve people’s lives), then it has wasted resources, making them unavailable for real wealth creation.

2. Overregulation. If a small business owner cannot afford to spend the time and energy, or to purchase the additional equipment, required by government regulations, they may not have enough remaining resources to create wealth at a price that consumers are willing to pay. Overregulation can shut down the means of wealth production entirely.

In short, money is just an IOU, or stand-in for real wealth. Anyone, rich or poor, who can sell their services to a consumer has not only earned a share of their own wealth – they have contributed more wealth to the whole economy. Taxing the creation of wealth harms everyone; this is because everyone benefits from being able to purchase the goods and services that wealth creators produce. Policies that benefit poor people most are those that encourage and enable them to create valuable goods and services. When more people are able to create and contribute to the economy, we all become richer.


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