In a word, no. While "anarcho"-capitalists obviously try to associate themselves with the anarchist tradition by using the word "anarcho" or by calling themselves "anarchists", their ideas are distinctly at odds with those associated with anarchism. As a result, any claims that their ideas are anarchist or that they are part of the anarchist tradition or movement are false.
"Anarcho"-capitalists claim to be anarchists because they say that they oppose government. As such, as noted in the last section, they use a dictionary definition of anarchism. However, this fails to appreciate that anarchism is a political theory, not a dictionary definition. As dictionaries are rarely politically sophisticated things, this means that they fail to recognise that anarchism is more than just opposition to government, it is also marked a opposition to capitalism (i.e. exploitation and private property). Thus, opposition to government is a necessary but not sufficient condition for being an anarchist — you also need to be opposed to exploitation and capitalist private property. As "anarcho"-capitalists do not consider interest, rent and profits (i.e. capitalism) to be exploitative nor oppose capitalist property rights, they are not anarchists.
Moreover, "anarcho"-capitalism is inherently self-refuting. This can be seen from leading "anarcho"-capitalist Murray Rothbard. he thundered against the evil of the state, arguing that it "arrogates to itself a monopoly of force, of ultimate decision-making power, over a given area territorial area." In and of itself, this definition is unremarkable. That a few people (an elite of rulers) claim the right to rule others must be part of any sensible definition of the state or government. However, the problems begin for Rothbard when he notes that "[o]bviously, in a free society, Smith has the ultimate decision-making power over his own just property, Jones over his, etc." [The Ethics of Liberty, p. 170 and p. 173] The logical contradiction in this position should be obvious, but not to Rothbard. It shows the power of ideology, the ability of means words (the expression "private property") to turn the bad ("ultimate decision-making power over a given area") into the good ("ultimate decision-making power over a given area").
Now, this contradiction can be solved in only one way — the owners of the "given area" are also its users. In other words, a system of possession (or "occupancy and use") as favoured by anarchists. However, Rothbard is a capitalist and supports private property. In other words, wage labour and landlords. This means that he supports a divergence between ownership and use and this means that this "ultimate decision-making power" extends to those who use, but do not own, such property (i.e. tenants and workers). The statist nature of private property is clearly indicated by Rothbard's words — the property owner in an "anarcho"-capitalist society possesses the "ultimate decision-making power" over a given area, which is also what the state has currently. Rothbard has, ironically, proved by his own definition that "anarcho"-capitalism is not anarchist.
Rothbard does try to solve this obvious contradiction, but utterly fails. He simply ignores the crux of the matter, that capitalism is based on hierarchy and, therefore, cannot be anarchist. He does this by arguing that the hierarchy associated with capitalism is fine as long as the private property that produced it was acquired in a "just" manner. In so doing he yet again draws attention to the identical authority structures and social relationships of the state and property. As he puts it:
"If the State may be said too properly own its territory, then it is proper for it to make rules for everyone who presumes to live in that area. It can legitimately seize or control private property because there is no private property in its area, because it really owns the entire land surface. So long as the State permits its subjects to leave its territory, then, it can be said to act as does any other owner who sets down rules for people living on his property." [Op. Cit., p. 170]
Obviously Rothbard argues that the state does not "justly" own its territory — but given that the current distribution of property is just as much the result of violence and coercion as the state, his argument is seriously flawed. It amounts, as we note in section F.4, to little more than an "immaculate conception of property" unrelated to reality. Even assuming that private property was produced by the means Rothbard assumes, it does not justify the hierarchy associated with it as the current and future generations of humanity have, effectively, been excommunicated from liberty by previous ones. If, as Rothbard argues, property is a natural right and the basis of liberty then why should the many be excluded from their birthright by a minority? In other words, Rothbard denies that liberty should be universal. He chooses property over liberty while anarchists choose liberty over property.
Even worse, the possibility that private property can result in worse violations of individual freedom (at least of workers) than the state of its citizens was implicitly acknowledged by Rothbard. He uses as a hypothetical example a country whose King is threatened by a rising "libertarian" movement. The King responses by "employ[ing] a cunning stratagem," namely he "proclaims his government to be dissolved, but just before doing so he arbitrarily parcels out the entire land area of his kingdom to the 'ownership' of himself and his relatives." Rather than taxes, his subjects now pay rent and he can "regulate to regulate the lives of all the people who presume to live on" his property as he sees fit. Rothbard then asks:
"Now what should be the reply of the libertarian rebels to this pert challenge? If they are consistent utilitarians, they must bow to this subterfuge, and resign themselves to living under a regime no less despotic than the one they had been battling for so long. Perhaps, indeed, more despotic, for now the king and his relatives can claim for themselves the libertarians' very principle of the absolute right of private property, an absoluteness which they might not have dared to claim before." [Op. Cit., pp. 54-5]
So not only does the property owner have the same monopoly of power over a given area as the state, it is more despotic as it is based on the "absolute right of private property"! And remember, Rothbard is arguing in favour of "anarcho"-capitalism ("if you have unbridled capitalism, you will have all kinds of authority: you will have extreme authority." [Chomksy, Understanding Power, p. 200]). So in practice, private property is a major source of oppression and authoritarianism within society — there is little or no freedom within capitalist production (as Bakunin noted, "the worker sells his person and his liberty for a given time"). So, in stark contrast to anarchists, "anarcho"-capitalists have no problem with factory fascism (i.e. wage labour), a position which seems highly illogical for a theory calling itself libertarian. If it were truly libertarian, it would oppose all forms of domination, not just statism. This position flows from the "anarcho"-capitalist definition of freedom as the absence of coercion and will be discussed in section F.2 in more detail.
Of course, Rothbard has yet another means to escape the obvious, namely that the market will limit the abuses of the property owners. If workers do not like their ruler then they can seek another. However, this reply completely ignores the reality of economic and social power. Thus the "consent" argument fails because it ignores the social circumstances of capitalism which limit the choice of the many. Anarchists have long argued that, as a class, workers have little choice but to "consent" to capitalist hierarchy. The alternative is either dire poverty or starvation.
"Anarcho"-capitalists dismiss such claims by denying that there is such a thing as economic power. Rather, it is simply freedom of contract. Anarchists consider such claims as a joke. To show why, we need only quote (yet again) Rothbard on the abolition of slavery and serfdom in the 19th century. He argued, correctly, that the "bodies of the oppressed were freed, but the property which they had worked and eminently deserved to own, remained in the hands of their former oppressors. With economic power thus remaining in their hands, the former lords soon found themselves virtual masters once more of what were now free tenants or farm labourers. The serfs and slaves had tasted freedom, but had been cruelly derived of its fruits." [Op. Cit., p. 74]
To say the least, anarchists fail to see the logic in this position. Contrast this with the standard "anarcho"-capitalist claim that if market forces ("voluntary exchanges") result in the creation of "free tenants or farm labourers" then they are free. Yet labourers dispossessed by market forces are in exactly the same social and economic situation as the ex-serfs and ex-slaves. If the latter do not have the fruits of freedom, neither do the former. Rothbard sees the obvious "economic power" in the latter case, but denies it in the former. It is only Rothbard's ideology that stops him from drawing the obvious conclusion — identical economic conditions produce identical social relationships and so capitalism is marked by "economic power" and "virtual masters." The only solution is for "anarcho"-capitalists to simply say the ex-serfs and ex-slaves were actually free to choose and, consequently, Rothbard was wrong. It might be inhuman, but at least it would be consistent!
Rothbard's perspective is alien to anarchism. For example, as individualist anarchist William Bailie noted, under capitalism there is a class system marked by "a dependent industrial class of wage-workers" and "a privileged class of wealth-monopolisers, each becoming more and more distinct from the other as capitalism advances." This has turned property into "a social power, an economic force destructive of rights, a fertile source of injustice, a means of enslaving the dispossessed." He concludes: "Under this system equal liberty cannot obtain." Bailie notes that the modern "industrial world under capitalistic conditions" have "arisen under the regime of status" (and so "law-made privileges") however, it seems unlikely that he would have concluded that such a class system would be fine if it had developed naturally or the current state was abolished while leaving the class structure intact (as we note in section G.4, Tucker recognised that even the "freest competition" was powerless against the "enormous concentration of wealth" associated with modern capitalism). [The Individualist Anarchists, p. 121]
Therefore anarchists recognise that "free exchange" or "consent" in unequal circumstances will reduce freedom as well as increasing inequality between individuals and classes. In other words, as we discuss in section F.3, inequality will produce social relationships which are based on hierarchy and domination, not freedom. As Noam Chomsky put it:
"Anarcho-capitalism, in my opinion, is a doctrinal system which, if ever implemented, would lead to forms of tyranny and oppression that have few counterparts in human history. There isn't the slightest possibility that its (in my view, horrendous) ideas would be implemented, because they would quickly destroy any society that made this colossal error. The idea of 'free contract' between the potentate and his starving subject is a sick joke, perhaps worth some moments in an academic seminar exploring the consequences of (in my view, absurd) ideas, but nowhere else." [Noam Chomsky on Anarchism, interview with Tom Lane, December 23, 1996]
Clearly, then, by its own arguments "anarcho"-capitalism is not anarchist. This should come as no surprise to anarchists. Anarchism, as a political theory, was born when Proudhon wrote What is Property? specifically to refute the notion that workers are free when capitalist property forces them to seek employment by landlords and capitalists. He was well aware that in such circumstances property "violates equality by the rights of exclusion and increase, and freedom by despotism . . . [and has] perfect identity with robbery." He, unsurprisingly, talks of the "proprietor, to whom [the worker] has sold and surrendered his liberty." For Proudhon, anarchy was "the absence of a master, of a sovereign" while "proprietor" was "synonymous" with "sovereign" for he "imposes his will as law, and suffers neither contradiction nor control." This meant that "property engenders despotism," as "each proprietor is sovereign lord within the sphere of his property." [What is Property, p. 251, p. 130, p. 264 and pp. 266-7] It must also be stressed that Proudhon's classic work is a lengthy critique of the kind of apologetics for private property Rothbard espouses to salvage his ideology from its obvious contradictions.
Ironically, Rothbard repeats the same analysis as Proudhon but draws the opposite conclusions and expects to be considered an anarchist! Moreover, it seems equally ironic that "anarcho"-capitalism calls itself "anarchist" while basing itself on the arguments that anarchism was created in opposition to. As shown, "anarcho"-capitalism makes as much sense as "anarcho-statism" — an oxymoron, a contradiction in terms. The idea that "anarcho"-capitalism warrants the name "anarchist" is simply false. Only someone ignorant of anarchism could maintain such a thing. While you expect anarchist theory to show this to be the case, the wonderful thing is that "anarcho"-capitalism itself does the same.
Little wonder Bob Black argues that "[t]o demonise state authoritarianism while ignoring identical albeit contract-consecrated subservient arrangements in the large-scale corporations which control the world economy is fetishism at its worst." [Libertarian as Conservative] The similarities between capitalism and statism are clear — and so why "anarcho"-capitalism cannot be anarchist. To reject the authority (the "ultimate decision-making power") of the state and embrace that of the property owner indicates not only a highly illogical stance but one at odds with the basic principles of anarchism. This whole-hearted support for wage labour and capitalist property rights indicates that "anarcho"-capitalists are not anarchists because they do not reject all forms of archy. They obviously support the hierarchy between boss and worker (wage labour) and landlord and tenant. Anarchism, by definition, is against all forms of archy, including the hierarchy generated by capitalist property. To ignore the obvious archy associated with capitalist property is highly illogical. Stephen L. Newman makes the same point:
"The emphasis [right-wing] libertarians place on the opposition of liberty and political power tends to obscure the role of authority in their worldview . . . the authority exercised in private relationships, however — in the relationship between employer and employee, for instance — meets with no objection. . . . [This] reveals a curious insensitivity to the use of private authority as a means of social control. Comparing public and private authority, we might well ask of the [right-wing] libertarians: When the price of exercising one's freedom is terribly high, what practical difference is there between the commands of the state and those issued by one's employer? . . . Though admittedly the circumstances are not identical, telling disgruntled empowers that they are always free to leave their jobs seems no different in principle from telling political dissidents that they are free to emigrate." [Liberalism at Wit's End, pp. 45-46]
As Bob Black pointed out, right libertarians argue that "'one can at least change jobs.' But you can't avoid having a job — just as under statism one can at least change nationalities but you can't avoid subjection to one nation-state or another. But freedom means more than the right to change masters." [Op. Cit.] Trying to dismiss one form of domination as flowing from "just" property while attacking the other because it flows from "unjust" property is not seeing the wood for the trees.
In addition, we must note that such inequalities in power and wealth will need "defending" from those subject to them ("anarcho"-capitalists recognise the need for private police and courts to defend property from theft — and, anarchists add, to defend the theft and despotism associated with property!). Due to its support of private property (and thus authority), "anarcho"-capitalism ends up retaining a state in its "anarchy"; namely a private state whose existence its proponents attempt to deny simply by refusing to call it a state, like an ostrich hiding its head in the sand (see section F.6 for more on this and why "anarcho"-capitalism is better described as "private state" capitalism). As Albert Meltzer put it:
"Common-sense shows that any capitalist society might dispense with a 'State' . . . but it could not dispense with organised government, or a privatised form of it, if there were people amassing money and others working to amass it for them. The philosophy of 'anarcho-capitalism' dreamed up by the 'libertarian' New Right, has nothing to do with Anarchism as known by the Anarchist movement proper. It is a lie . . . Patently unbridled capitalism . . . needs some force at its disposal to maintain class privileges, either form the State itself or from private armies. What they believe in is in fact a limited State — that us, one in which the State has one function, to protect the ruling class, does not interfere with exploitation, and comes as cheap as possible for the ruling class. The idea also serves another purpose . . . a moral justification for bourgeois consciences in avoiding taxes without feeling guilty about it." [Anarchism: Arguments For and Against, p. 50]
For anarchists, this need of capitalism for some kind of state is unsurprising. For "Anarchy without socialism seems equally as impossible to us [as socialism without anarchy], for in such a case it could not be other than the domination of the strongest, and would therefore set in motion right away the organisation and consolidation of this domination; that is to the constitution of government." [Errico Malatesta, Life and Ideas, p. 148] Because of this, the "anarcho"-capitalist rejection of anarchist ideas on capitalist property economics and the need for equality, they cannot be considered anarchists or part of the anarchist tradition.
Thus anarchism is far more than the common dictionary definition of "no government" — it also entails being against all forms of archy, including those generated by capitalist property. This is clear from the roots of the word "anarchy." As we noted in section A.1, the word anarchy means "no rulers" or "contrary to authority." As Rothbard himself acknowledges, the property owner is the ruler of their property and, therefore, those who use it. For this reason "anarcho"-capitalism cannot be considered as a form of anarchism — a real anarchist must logically oppose the authority of the property owner along with that of the state. As "anarcho"-capitalism does not explicitly (or implicitly, for that matter) call for economic arrangements that will end wage labour and usury it cannot be considered anarchist or part of the anarchist tradition.
Political theories should be identified by their actual features and history rather than labels. Once we recognise that, we soon find out that "anarcho"-capitalism is an oxymoron. Anarchists and "anarcho"-capitalists are not part of the same movement or tradition. Their ideas and aims are in direct opposition to those of all kinds of anarchists.
While anarchists have always opposed capitalism, "anarcho"-capitalists have embraced it. And due to this embrace their "anarchy" will be marked by extensive differences in wealth and power, differences that will show themselves up in relationships based upon subordination and hierarchy (such as wage labour), not freedom (little wonder that Proudhon argued that "property is despotism" — it creates authoritarian and hierarchical relationships between people in a similar way to statism).
Their support for "free market" capitalism ignores the impact of wealth and power on the nature and outcome of individual decisions within the market (see sections F.2 and F.3 for further discussion). For example, as we indicate in sections J.5.10, J.5.11 and J.5.12, wage labour is less efficient than self-management in production but due to the structure and dynamics of the capitalist market, "market forces" will actively discourage self-management due to its empowering nature for workers. In other words, a developed capitalist market will promote hierarchy and unfreedom in production in spite of its effects on individual workers and their wants. Thus "free market" capitalism tends to re-enforce inequalities of wealth and power, not eliminate them.
Furthermore, any such system of (economic and social) power will require extensive force to maintain it and the "anarcho"-capitalist system of competing "defence firms" will simply be a new state, enforcing capitalist power, property rights and law.
Overall, the lack of concern for meaningful freedom within production and the effects of vast differences in power and wealth within society as a whole makes "anarcho"-capitalism little better than "anarchism for the rich." Emma Goldman recognised this when she argued that "'Rugged individualism' has meant all the 'individualism' for the masters . . . in whose name political tyranny and social oppression are defended and held up as virtues while every aspiration and attempt of man to gain freedom . . . is denounced as . . . evil in the name of that same individualism." [Red Emma Speaks, p. 112] And, as such, is no anarchism at all.
So, unlike anarchists, "anarcho"-capitalists do not seek the "abolition of the proletariat" (to use Proudhon's expression) via changing capitalist property rights and institutions. Thus the "anarcho"-capitalist and the anarchist have different starting positions and opposite ends in mind and so they cannot be considered part of the same (anarchist) tradition. As we discuss further in later sections, the "anarcho"-capitalist claims to being anarchists are bogus simply because they reject so much of the anarchist tradition as to make what they do accept non-anarchist in theory and practice. Little wonder Peter Marshall said that "few anarchists would accept the 'anarcho-capitalists' into the anarchist camp since they do not share a concern for economic equality and social justice." [Demanding the Impossible, p. 565]