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What Do We Do About the Subsidy of History?

I concurred on one point with “The Subsidy of History” by Kevin Carson (June 2008). It is not sound to view the historical development of capitalism as though it evolved strictly by fairness, without including the vices of mankind. Surely history is better stated by Burton Folsom in The Myth of the Robber Barons that there were “political entrepreneurs” and “market entrepreneurs” (even though Mr. Carson might criticize the latter as well).

However the view that emphasizes the reestablishment of justice, by confiscating much that is owned by the wealthy, leaves out much of reality. Today, we are beset by those who advocate taking from the oil companies, solely because they make “exorbitant profits.” Then there are those who seek to restore to Mexico the American states that were once Mexican territory. Similarly, there are those who seek reparations for descendants of slaves. These approaches take the view (which Mr. Carson might share) that the issue is solely a matter of justice, rather than adherence to the rule of law.

Hence let us assume, arguendo, that everything written in “The Subsidy of History” is completely correct (which I take as viewing capitalism in its worst light). There remain other factors to be addressed. For example, much of what industry has produced has been earned. Moreover, much of the earnings of the wealthy have been redistributed through taxation (and other mechanisms) to others. So it is not simply a matter of taking from the thieves to return to their victims, but also of considering that which industry has developed and that which our government has stolen from them. Moreover, it is overreaching for a country to attempt to correct that which was done prior to a man’s life. Thus, while there was loss to a man whose father was enslaved, it is beyond the capability of society to compensate for that loss. It is more than challenging for society to adequately deal with the injustices where those involved are living and the facts obtainable. . . .

Consequently, to deal with the issues of our day, I would begin with the presumption that possession is evidence of ownership. Then, given a case brought by an injured party (to the extent that he has been harmed), full compensation should be made. Finally, each guilty party requires due punishment. To operate instead by conflicting visions of justice would require a nation not of laws but of men.

—ALLEN WEINGARTEN
Monroe Township, N.J.

Kevin Carson replies:

I agree with Mr. Weingarten that there are good elements in American capitalism. Every society in history has been a mixture of the political and economic means to wealth. But even in American capitalism, I believe the overall structure is largely defined by the political means and that genuine markets operate mainly in the interstices of the state-corporate system. A purely market system, in my estimation, would have a lot more Ralph Borsodi and Lewis Mumford, and a lot less Alfred Chandler.

I also agree that there are serious practical difficulties involved in any rectification of past injustice. But inaction carries its own cost in ongoing injustice. The only fair comparison is between the net levels of justice involved in action and inaction, respectively. I’ve already made it clear where I believe the advantage lies in such a comparison.