Hi Jim,

thank you very much for your encouraging comments and very useful
references. I notice that you point to the difference between Berlin
and Hayek, which is very important for political tactial matters. More
general point I emphesise is the shift from the positive concept
freedom to negative concept of freedom in liberal thought from
classical liberalism to neoliberalism.I am very much aware that
classical liberal thought is full of contradictions. They usually
formulate and employ a concept of positive freedom in their more
theoretical works but when they come to apply it to questions of
pratical philosophy they normally justify a concept of negative
freedom.Despite this they normally tried to combine both concepts. In
neoliberal thought however the concept of positive freedom is either
silently discarted or attacked openly. If we take in good Marxist
tradition that theories mirror their time, then, for political
theorist/philosophers it is important to investigate the reason for
this shift. Rosa Luxemburg writes somewhere in her book Social Reform or 
Revolution?
that liberalism was death because finans capital controls and dominates
almost everything. This change in the structure of capital in
particular and capitalism in general must be taken into account when we
think about current political developments.

Thanks a lot again and best wishes,



 


D.Göçmen
http://dogangocmen.wordpress.com/

 


 

-----Original Message-----
From: farmela...@juno.com <farmela...@juno.com>
To: marx...@lists.econ.utah.edu; marxism-thaxis
@lists.econ.utah.edu
Sent: Fri, Jul 31, 2009 8:31 pm
Subject: Re: [Marxism-Thaxis] [Marxism] The Nature and Paradoxes of Freedom












Dogan's comments on Hayek remind me a bit of
what the Canadian political philosopher
C.B. Macpherson had to say about Milton
Friedman.

Milton Friedman in his 1962 book, *Capitalism and Freedom*, famously argued 
that 
a free market capitalist economy was a necessary requirement if political 
freedom and democracy were to flourish. He admitted that not all capitalist 
societies were democratic and that not all them safeguarded political freedom 
but he argued that as an empirical matter, there were no “free” societies 
around 
that not also capitalist. He also made the argument that a free market economy 
was necessary to provide checks against the ambitions of the state, and so in 
that way acted as a necessary basis for the preservation of political freedom 
and democracy. That’s also how, years later, he could justify his giving 
economic advice to the Pinochet government, which clearly was hostile to both 
democracy and political freedom, since while Pinochet himself might have been a 
fascist thug, his economic policies, so Friedman argued, were conducive to the 
eventual expansion of liberty and democracy.

There are, however, several problems with Friedman’s arguments. First of all 
the 
claimed correlation between economic freedom and political freedom is not as 
simple as Friedman made out. Friedman claimed that “democratic soci
alism” was an 
oxymoron. A “democratic socialist” society, in his view, would either in time 
become undemocratic or it would revert back to capitalism. However, his 
argument 
does not take into account that though most of the West, the expansion of 
political freedom coincided with the spread of social democracy. The 
Scandinavian countries, for instance, back in the 1960s and 1970s managed to 
develop quite extensive welfare states at the very same time that these 
societies were also exapnding the range of personal and political freedoms that 
they were willing to protect,

Back in 1968 the Canadian political philosopher C.B. Macpherson wrote, what I 
believe to be one of the most effective demolition of Friedman’s arguments in 
his essay, “Elegant Tombstones: A Note on Friedman’s Freedom,” which first 
appeared in the journal, Canadian Journal of Political Science in March of that 
year. The following paragraphs should give the reader some of the flavor of 
Machpherson’s critique of Friedman.

Here, Macpherson takes on Friedman’s contention that free market capitalism is 
noncoercive in nature. That contention is one of the basic premises that 
underly 
Friedman’s argument that capitalism is a necessary presupposition for the 
existence of political freedom.
—————————————
“Professor Friedman’s demonstration [in _Capitalism and Freedom] that the 
capitalist market econ
omy can coordinate economic activities without coercion 
rests on an elementary conceptual error. His argument runs as follows. He shows 
first that in a simple market model, where each individual or household 
controls 
resources enabling it to produce goods and services either directly for itself 
or for exchange, there will be production for exchange because of the increased 
product made possible by specialization. But since the household always has the 
alternative of producing directly for itself, it need not enter into any 
exchange unless it benefits from it. Hence no exchange will take place unless 
both parties do benefit from it. Cooperation is thereby achieved without 
coercion’…So far, so good. It is indeed clear that in this simple exchange 
model, assuming rational maximizing behavior by all hands, every exchange will 
benefit both parties, and that no act of coercion is involved in the decision 
to 
produce for exchange or in any act of exchange.

Professor Friedman then moves on to our actual complex economy, or rather to 
his 
own curious model of it:

As in [the] simple exchange model, so in the complex enterprise and 
money-exchange economy, cooperation is strictly individual and voluntary 
*provided*: (a) that enterprises are private, so that the ultimate contracting 
parties are individuals and (b) that individuals are effectively free to enter 
or not to enter into any particular exchange so that every exchange is strictly 
voluntary…

…Proviso (b) is ‘
that individuals are effectively free to enter or not to enter 
into any particular exchange’, and it is held that with this proviso ‘every 
exchange is strictly voluntary’. A moment’s thought will show that this is not 
so. The proviso that is required to make every transaction strictly volunatry 
is 
not freedom not to enter into any *particular* exchange, but freedom not to 
enter into any exchange *at all*. This, and only this, was the proviso that 
proved the simple model to be voluntary and noncoercive; and nothing less than 
this would prove the complex model to voluntary and noncoercive. But Professor 
Friedman is clearly claiming that freedom not to enter into any *particular* 
exchange is enough: ‘The consumer is protected from coercion by the seller 
because of the presence of other sellers with whom he can deal…The employee is 
protected from coercion by the employer because of other employers for whom he 
can work…’

One almost despairs of logic, and of the use of models. It is easy to see what 
Professor Friedman has done, but it is less easy to excuse it. He has moved 
from 
the simple economy of exchange between independent producers, to the capitalist 
economy,without mentioning the most important thing that distinguishes them. He 
mentions money instead of barter, and ‘enterprises which are intermediaries 
between individuals in their capacities as suppliers of services and as 
purchasers of goods’…as if money a
nd merchants were what distinguished a 
capitalist economy from an economy of independent producers. What distinguishes 
the capitalist economy from the simple exchange economy is the separation of 
labor and capital, that is, the existence of a labor force without its own 
sufficient capital and therefore without a choice as to whether to put its 
labor 
in the market or not. Professor Friedman would agree that where there is no 
choice there is coercion. His attempted demonstration that capitalism 
coordinates without coercion therefore fails.”
----------------
Concerning the concepts of negative freedom
that were embraced by both Hayek and Isaiah Berlin,
Dogan is quite correct that for both men, the
embracing of negative liberty (and the rejection
of positive liberty) was very much motivated by
their desire to defend capitalism.  Where the two
men differed, is that Berlin's embrace of negative
liberty was in the context of his "pluralism."
By pluralism, Berlin meant a "value pluralism"
or a pluralism of values (not unlike Max Weber's
conception) in which there are a plurality of
ideals, which may all be equally valid, but which
are not entirely compatible with one another.
For Berlin, while negative liberty was a valid
social ideal, it was not the only one.  Berlin
recognized as valid, the social ideals of
equality and solidarity.  Therefore, for Berlin,
unlike Hayek,  the good society while embracing
negative liberty also might embrace other
ideals like equality or solidarity.  Therefore,
Berlin was able to
 rationalize the emergence of
the welfare state in the UK and the New Deal
in the US.  In this way, as Dogan suggests,
Berlin's pluralism of values was closely
tied to the pluralism of classes under
capitalism, and so Berlin like a good
social democratic liberal attempted to
mediate between the interests of capitalists
and workers under capitalism.

Jim F.

---------- Original Message ----------
From: Dogan Gocmen <dgn.g...@googlemail.com>
To: farmela...@juno.com
Subject: [Marxism] The Nature and Paradoxes of Freedom
Date: Fri, 31 Jul 2009 10:37:33 +0300

Dear All,
a draft paper by Ä°smail Åžiriner and me is available now. Comments are always
welcome...
--------
"The Nature and Paradoxes of Freedom



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