Anarchism and Capitalism - Economic Issues

Economic Issues

Some anarchists object to the portrayal of economics as a "value-free science".

"ll the so-called laws and theories of political economy are in reality no more than statements of the following nature:" "'Granting that there are always in a country a considerable number of people who cannot subsist a month, or even a fortnight, without accepting the conditions of work imposed upon them by the State, or offered to them by those whom the State recognizes as owners of land, factories, railways, etc., then the results will be so and so.' "So far middle-class political economy has been only an enumeration of what happens under the just-mentioned conditions – without distinctly stating the conditions themselves. And then, having described the facts which arise in our society under these conditions, they represent to us these facts as rigid, inevitable economic laws." – Kropotkin's Revolutionary Pamphlets, p. 179

It has also been pointed out that historically, the anarchist-communist economic theories published by Kropotkin and others have been ignored or intentionally sidelined by historians.

Within the realm of anarchist labor issues is the issue of the monetary system. While all anarchists are against the current monetary system, there is disagreement as to whether or not there should be a monetary system. Alexander Berkman was an anarchist against the monetary system. In his book What is Anarchism?, Berkman argues that in an anarchist society, money would become unnecessary. Within anarchy, all occupations are viewed as equally beneficial to society. Since the concept of value is different for everyone and cannot be determined, it is argued that it should not be set and one's contribution to society through their occupation entitled them to be a part of it. Within this system, there is a free distribution of goods, without the need for money. Money in its current form is a hierarchical system, the exception being when all people are paid equal salaries. The argument goes further, however, to question the purpose of money if people are paid equally. Certainly those who agree with this would also note that a monetary system would open a vulnerability for some to acquire more of it and create a class system.

Not all anarchists oppose the idea of money. Individualist and mutualist anarchists see currency as a tangible form of workers receiving the "full product of their labor". They support mutual banking (some individualists support no banking at all to keep exchange rates constant) and local currency as opposed to national currency. Others see money as simply an index for exchanging goods and that its existence wouldn't necessarily create a class system. Anarcho-capitalists prefer free banking in which inter-bank competition assures market discipline and price stability because it tends to require relatively hard currencies such as gold instead of fiat currency.