KOL225 | Reflections on the Theory of Contract (PFS 2017)

Kinsella On Liberty

Kinsella on Liberty Podcast, Episode 225. This is my speech delivered earlier today at the 2017 Annual Meeting of the Property and Freedom Society, Sept. 17, 2017. Video embedded below. Slides used embedded below (or can be downloaded). Transcript below. The subsequent Q&A session for our panel is also embedded below (but not included in the audio RSS stream on this podcast feed). Related: Kinsella, A Libertarian Theory of Contract: Title Transfer, Binding Promises, and Inalienability, Journal of Libertarian Studies 17, no. 2 (Spring 2003): 11-37 (to be included in Law in a Libertarian World) Williamson Evers, “Toward a Reformulation of the Law of Contracts,” vol. 1, no. 1, J. Libertarian Stud. (1977) Rothbard, The Ethics of Liberty, ch. 19: “Property Rights and the Theory of Contracts” (1982; 1998) Rothbard “Justice and Property Rights,”Property in a Humane Economy, Samuel L. Blumenfeld, ed. (1974) (online here) Also in Egalitarianism as a Revolt Against Nature and Other Essays (1974) (online here) and later in The Logic of Action One Kinsella, “Justice and Property Rights: Rothbard on Scarcity, Property, Contracts…,” The Libertarian Standard (Nov. 19, 2010) Kinsella on Liberty podcast: KOL146 | Interview of Williamson Evers on the Title-Transfer Theory of Contract KOL197 | Tom Woods Show: The Central Rothbard Contribution I Overlooked, and Why It Matters More detail in my “Libertarian Legal Theory” course, Mises Academy (2011), Lectures 3-4 (see KOL118) Transcript Reflections on the Theory of Contract by Stephan Kinsella From the 2017 Annual Meeting of the Property and Freedom Society, Bodrum, Turkey (Sept. 17, 2017) 00:00:11 STEPHAN KINSELLA: Thank you very much, Hans. Thanks again, once again, to you and Gulcin for the invitation. I’m honored and happy to be here. I do believe this is my seventh or eighth time. I figure that if I keep attending every year that, over time, my percentage rate of attendance will asymptotically approach 100%, sort of like the Bitcoin inflation rate. 00:00:36 Anyway, my topic today is reflections on the theory of contract. I do have these slides. I will post them later on my site when I post this talk. And I have some background material here in the beginning and sprinkled throughout the lecture. I was going to make a joke that Hans tends to assign me boring-sounding titles. And I was going through some of the previous ones I’ve done here, which is on property rights and the protection of international investments, patent and copyright, corporations, legislation, and common libertarian misconceptions. But they actually sound pretty juicy to me. I guess I’m just a legal geek or something. 00:01:17 But anyway, when you say we’re going to talk about contract, it sounds like it’s a mundane, boring topic, but I believe this is the key, a proper understanding of contract theory is key to having a solid understanding of what libertarian principles are all about. Libertarians usually view the libertarian theory or principle as the non-aggression principle, or the NAP. And they’ll usually say something like the initiation of violence against others or aggression is impermissible, and they say so we’re against aggression. 00:01:55 And then they’ll just sort of throw in these other things that are sort of attached to it like ornaments to a Christmas tree. They’ll say, and you can’t trespass, and you can’t make a threat, and you can’t breach contract, and of course, you can’t commit fraud, as if these are all implicitly part of what it means to commit aggression, and I’ll go over this later. I think this is—we have to really understand the non-aggression principle is a shorthand for what the libertarian principles are. 00:02:23 But really, aggression is the violence against someone’s body, and all these other things are related to our property theory.