Why Thieves Hate Free Markets – Learn Liberty

I know how to get a free suit. All I have
to do is go to Macy’s, get a suit, charge it, and then when the bill comes, rip it up.
Ethical issues aside, you see the main problem with this approach is that I can only do it
once. The next time I go to Macy’s, they’ll know, because they made a note of it last
time, that I rob suits and they won’t give me another one. But I have a clever idea.
I’ll go to Penney’s and get a free suit there. Hang on, when I try to get my free
suit from Penny’s they won’t give me one either. Macy’s has told them that I’m
a suit thief. That’s odd. One view of the marketplace is that it’s a dog eat dog world
of hostile competitors. The philosopher Thomas Hobbes saw the whole world that way.
Since Macy’s and Penney’s are competitors, you might expect that Macy’s would hope
that I would rob Penny’s next. That would even things out. But they don’t. In fact,
they share information about thieves. They have figured out that in the long run it’s
in their mutual best interests to help each other crack down on theft. That’s more important
to them than short-term getting even. If they didn’t share what they know, they would
be cut off from a tremendous information network about theft. So helping the other guy isn’t
contrary to their self interest at all. Despite their being competitors, they have a strong
incentive to be cooperative. Even more interesting is that they came up
with this system on their own. It wasn’t a grand design by enlightened rulers, a top-down
plan. Rather it was a bottom-up system that evolved organically by the merchants as they
figured out how to manage their affairs. Long before the advent of the department store,
merchants realized that cooperation among competitors was an absolute necessity. So
many mechanisms in their world depend on trust and reputation issues. Not just in their world
though, in mine and yours. When I first told you my plan for getting a free suit, you might
have objected that I ought to be afraid of being jailed. And that seems to require a
government with a top-down plan. But even if the fear of jail were taken out
of equation, I would still have good reason to pay my bill. The same networks of trust
and reputation that the merchants depend on are things that I depend on as well, to have
a job, a home, a car; to be able to buy plane tickets or go to a restaurant. In an important
way, we are all merchants. We all trade with each other. Not only are we capable of cooperating,
we generally do. Society is full of these organic or spontaneous
orders. Everything from language to fashion. From Internet memes to prices in a market.
The basic concepts of Anglo-American common law, as well as the international merchant
law, evolved in a similar fashion, the result of people’s attempts to work out the most
mutually beneficial ways of living and working together. So when people tell you that society
can’t solve its problems without force applied from the top down, you’re right to be skeptical.
Mechanisms that facilitate and are based on social cooperation are all around us.

  1. Cool, so we just have to hit all the smaller mom-and-pop stores, where they don't have intercommunication networks on local thieves. And we can still steal a shitload of expensive stuff from bigger chains, we just have to do it in one trip. Seriously, imagine this logic applied to jewelry stores, who cares if you can only steal once if you're making of with tens off thousands of dollars worth of stuff?

  2. Invitation to Free Market – Приглашение на FreeMarket #1 (г. Белгород)

  3. Credit card companies are thieves charging extremely high interest.  I fired credit card companies and cut up their cards. 

  4. When I canceled my credit cards and cut them up and started living within my means, the credit companies did not like it.  They lowered my credit score.  When you cancel a credit card the credit card company reports it to the credit bureau as a negative point on your credit and your score goes down.  How can they get away with it?  Simple….they own the credit bureau.  The entire credit racket is a scam.  I don't care what my credit score reads.  I don't care because if I don't have the money on hand, I simply don't buy it.  

  5. Actually they have a stronger incentive to appear to be co-operative while allowing giving the competitor false information. With friends like that who needs enemies?

  6. lol these scum banker liars paid for me to watch this crap and  shit post about how off base they are via google ads. Does anyone else get the feeling that this is big bank propaganda?

  7. If anyone loves a free market it is a thief and especially a banker thief, which is exactly who this video represents and is trying to shape the public opinions of.

  8. Wow the comments here are so stupid and atrocious, specially towards libertarians. Ok, I'm a libertarian…sure. This isnt a call for Anarchy! So how many cameras do I need to put into your home to stop you from murdering your family? To extreme…ok. How many IP address loggers do I need to put on your computer to prevent your illegal use of copyright infringement…Ok I guess your saying "Yeah this proves my point, all people are horrible and need a gun at their head to be good". Government exist to supply the basic needs for the whole. If McDonalds start putting arsenic in their food, you think the government is needed to stop them. People arent stupid, they arent blind, why they take advantage of the current system. Freedom of the press and the free market would instantly tell the people "look at McDonalds…eat somewhere else".
    The founding fathers told us to build roads, schools and a military.

  9. Don't like capitalism?  Well capitalism doesn't love you either… And that is why it works.

    First capitalism rewards consumers.  Maybe not immediately but in time consumers are the big beneficiaries of a capitalist system.  That is because consumers whine more than any other group of people on the planet.  Just take a look at Yelp and you'll see what I mean.  Go in to business and turn off a few customers and you'll be spending your nights responding to Yelp postings until the next Age of Aquarius. 

    So if you dream of economic equality for every human being on the planet.. teach them to complain, throw fits, boycott, shake their fist, return merchandise, send food back, and mostly importantly teach them how to practice their consumerism.  The market will listen… and they'll hate you for it.

  10. this is all fine and good so long as the individuals in said organizations are trustworthy themselves.  However, many of them are not.  So, it is, unfortunately, required that there be a top down system of regulation to watch those who would do harm to their everyday patrons.  In the hypothetical scenario when a company might cheat a group of people without government oversight, and we say "oh, well the people would just vote with their feet, shop somewhere else, and the market would thus correct itself."  However, first the people need to know that they are being cheated, and then if they find out there needs to be an alternative to go to "vote with their feet" – and in most places there are none.  

    The example fresh in most people's minds, cable companies, you would have to move to another city or state if you wanted to change to a major competitor – doesn't sound like they are competing to me.

  11. They may cooperate on certain things, but that doesn't mean we can take that to mean that companies will cooperate in every way – we know for a fact they don't. So while this video just points out some good aspects of markets, it doesn't make any case for the unbridled total free markets that the channel seems to advocate. Nothing here that pro-regulation liberals would disagree with.

  12. Ayn Rand, Rand Paul, and Paul Ryan walk into a bar. The bartender serves them tainted alcohol because there are no regulations. They die. 

  13. This is the funniest House of Cards lampoon I've ever seen House of Cards Parody [Last Broadcast From Earth] https://youtu.be/9o-In8Yk6zA

  14. This video is rather misleading. Though nothing said in it is really untrue, the fact of the matter is that cooperation between individuals is not the product of free markets, nor is it limited to them.

    Furthermore, the reality is that cooperation can work just as well for nefarious purposes as it can for 'good' ones that benefit society– all one has to do is look at various collusion schemes committed by businesses in the past to drive competitors out of a market, fix prices or mislead consumers.

    Unfortunately, the ideals of libertarianism, like those of communism, are nice to think about, but don't hold up in the real world.

  15. @Jonathan Farnham writes "cooperation between individuals is not the product of free markets"

    Well duh, that's because free markets are the result of cooperation between individuals. The world makes a lot more sense when you put the horse in front of the cart.
    Oh, and decent people enable replies.

  16. The problem is where you say, humans generally cooperate. Unless all humans are like that(or some incredibly overwhelming majority), it is difficult to remove a state. If we all were mutually nice to each other, there would be no reason for "big brother" to break up the fights. At least most, if not all, people would see that.

  17. What if I'm a thief who isn't a complete dumb ass and doesn't give my own information to either Macy's or JCPenny?  Granted, they might have a picture of me on file but there's no guarantee I'll be recognised before I'm out of the store.  Also, my information might only be recorded in stores that are in the general area of where I bought the first suit, meaning I can steal from other branches, or other stores with impunity.  Criminals who actually have a brain in their head are often hard enough for the police to catch.  Private individuals have virtually no chance.  

  18. 1. Macy's doesn't own the credit card business
    2. Macy's doesn't handle these kinds of problems all goes 3rd party and that costs extra money

  19. This video hints at anarcho-capitalism, which is pretty much anti-government capitalism.

    Although the ideas presented in the video are largely correct, and the free market does indeed deter thievery, one cannot assume that a free-market will just happen spontaneously. There has to be a certain structure within which spontaneous order comes about. And that is the purpose of a republic: the rule of law.

  20. How capitalistic of them to claim such things.
    Marx described the free market as a place of endless conflict and tension.
    This is a purely one dimensional view of the market and its dynamic of tension and cooperation, working as a self-balancing system.

  21. A market system/capitalism will never prevent a person from stealing no matter if "laws"  exist. A person who is starving or needs to feed his family would do anything to attain the resources in order to survive. That's basic common sense. The only way to prevent stealing is to remove the conditions that promotes the behavior in the first place. If people's basic needs were met, there would be no basis for stealing and many of the underlying problems we see today. Today our current state of technology can easily feed and more than meet the basic needs of every person on the planet.  The current market capitalist system by it's nature, promotes ever increasing inequality which has resulted in millions of destitute and homeless people. The majority of people who aren't homeless/destitute are instead forced to become work and debt slaves to businesses/corporations. Where is the so called freedom and individuality in that? This system is just as worse as your so feared fascist state.

  22. Hmm…this information sharing is a good idea and yes, it does happen in the real world and yes, there are obvious benefits to it, but the idea completely breaks down when you run a business selling low value, pay over the counter items and your thieves just shove items under their coats and walk out, no one having any idea it's even happened until the stock-take at the end of the week…

  23. this has nothing to do with a free market or the title of the video ,free markets do not have layers of regulations that make it impossible for the people to produce and make a fair functioning economy that welcome everyone

  24. think it's important to note that we have not solved thievery, and that we are unlikely to ever solve that problem without some disruptive new antitheft technologies. That doesn't mean we need more or less government necessarily, just that we should remain aware that the presence of naturally occurring anti-theft mechanisms doesn't mean the absolute end of theft.

  25. It is generally the case that we help those more like ourselves. It is in our human nature. So it isn't shocking to see businesses work together through mutual self interest.

    The moment this becomes a problem is when our differences outweigh our likeness. It has been proven through studies done on toddlers than we feel connected and friendly towards people like ourselves even when the people we like are being violent towards those who are different. It's the same mentality that creates slavery and genocide.

    The Conservative Government as an example can justify implementing austerity measures against the poorest and most vulnerable in society. Not because they're 'evil' but because it's either take from their rich friends who they have a genuine connection and mutual self interest to protect. Or take from those at the bottom whom they have absolutely no connection to.

    When the capitalist system has inequality as an inherent consequence, it causes immense division. Human societal structure is historically community based. So when we have a system based on individualism we fuel a whole number of abhorrent behaviour and neurosis.

  26. You know who hates the free market? The rich who hates competition, and the unproductive who hates to work hard. Those two classes are well-represented in the 2 parties in USA. But who represents the interests of hard working middle class?

  27. I think you guys should leave the source of the information (ideas, graphs, charts, quotes, etc) in the description of the video. Sometimes I spend a lot of time researching for this data so I can decide about its reliability, It would be great help if you put the links to the sources in the description. Thanks!

  28. Its in the car company's best interest to put airbags and seatbelts in cars, and thats why they did it, and not because of some 'large and overreaching government' telling them to do that, right? I mean, look at south america; they have no regulations for air bags, and thats why to save money, car companies remove the airbags from the cars…. oh, wait.

    Also, using past behavior to predict the future works to some degree, but it really fucks over people who want to get their life on track. Using credit checks to determine if someone is employable is not exactly fair, is it? Often times people make judgements without the proper context and it only goes to make a bad situation worse.

  29. How is a corporate hierarchy "Bottom up", and how would JC Penny protect it's property from private armies or militias without employing them itself?

  30. This sort of system could be used to prevent drunk driving, you know bartenders could ask their customers to surrender their keys in order to purchase drinks and if they don't they don't get served, and if they get drunk they could hire a taxi and, with the consent of the drinker, have the taxi take them home and just charge the patron cab fair. If every bar in a community did this you could put a huge dent in drunk driving related accidents.

  31. those who work hard with the goal of owning or in any other way claim property and ownership of anything, are factically the real parasites of the world. they are the cause of inequality, stress, desruction, totalitariansim. all tyrannies are based on an own subjective ideology version of property/ownership. these instituions become more democratized by leftist movements with the goal to make government and the other propertybased institutions obsolete. like the spanish revolution made one of the freeest societys called anarchocommunism/syndicalism which got destroyed by fascists, pseudosoviets and other propertarians.. now we have the konowledge and technology to create an even better system a called a resource based economy.

    your system is opinion based and forced upon everyone else. free people wont respect it and will rise against to create the rbe aka anarchocommunism.

  32. This was an excellent explanation of how the free market works organically and for the benefit of all involved. Well done!

  33. I agree with that. But I believe that the credit rating system is now at an extreme because it is held at to high of a standard and requirement.

    For example I was a full time mechanic at a well established dealership, have a 15 year career in car repair, went to apply for a $30,000 property first home and was told that I didn't make enough and that my score was not good enough witch is a result of hospital bills being delinquent but fully paid off and dealing with false collection agency's that affected my score. and I was forced into renting at $600 a month instead of owning at approximately $180 a month for 20 years. I could go into to greater detail of that situation.
    I am curious to know what's your opinion on credit scores from the poor, middle and upper class? having a low credit score during an recession sucks especially when your pay doesn't go no where near as far as it use too.

  34. It's shocking to see how people who witnessed the fall of socialism (in Yugoslavia in my case) aren't completely convinced that socialism doesn't work.
    I really wish more people were educated about libertarian ideas in my country.

  35. This is such a unique, educational video. It really is worth 3 minutes of everyone's time. I don't know how anyone could have an argument with anything in here.

  36. Lol, I highly doubt every store is gonna keep a spread sheet of "who not to serve", especially the small businesses.

  37. This shows that the market can solve some of its own problems but not all of them. There are many things that the market is dependent on the government for. For example: the free market requires there to be peace and tranquility. In order for there to be tranquility there needs to be universally applied laws enforced by a police force to ensure that free trade between businesses can occur. If that doesn't exist then the world would turn into Milwaukee. Businesses can not perform if they are burned to the ground.

  38. free market and libertarian are words stolen from left wing anarchists who advocate workers cooperatives and political decentralization.

  39. There is a flipside to this:
    If i am sold shoddy merchandise i could, in a free society, negelct paying the merchant, telling everybody why i did so.
    Today this is not an option because the Merchant can use the Police to make me pay.

  40. Is the government itself not just a result of these same mechanisms? People figured out it's easier to select a few amongst themselves to deal with decision-making, leaving the others free to pursue their interests.

  41. the real issues with free market actually come from this same cooperation. it's what is known as a monopoly. we generally think of a monopoly as one company, but when multiple companies decide to share the market in such a way that they are not in direct competition, there becomes huge issues. the other issue here is you didn't show why a free market is needed for this cooperation. your idea is sound, if free market capitalism is the best system. all you have done is shown that free markets can punish unorganized crime (normally committed by the most vulnerable members of society) and reward honest workers at the bottom of the rung.

  42. it doesn't always turn out like this, but the idea that it usually doesn't is just an absolute lie by so called "LIberals".

  43. Also, stealing destroys your credit, so you wouldn't be able to get a JCPenny's Credit Card

  44. "Despite they're being competitors they have a strong incentive to be cooperative". Well, there you go. That's exactly why companies would form trusts in a free market.

  45. How about when your personal wallet or car is stolen? How are you expected to "share info" with other citizens to prevent this? That's why we DO need the threat of jail to deter theft.

  46. Of course these systems are all around us. People weren't stupid before we had nation states. Shunning is very important, and I even suggest government cannot possibly replace it. That's not why I want a police. It allows to take some additional risk in trusting people, given it works and the laws of the land are optimized for good incentives.

  47. The title of this video is very misleading. The biggest thieves in the world are corporations. They do hate free markets. That's why they form cartels and use government rules to drive out small competitors.

  48. The THIEF Steal Because He doesnt Get Enough SALARY and The PRODUCT is COSTLY then ORIGINAL VALUE….

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  50. Then why are there monopolies? Why do big companies swallow little companies whole? Because of free will. Free market does not take into account the fact that human beings can do anything at any given moment. Yes, most people will work together for mutual benefit but if left unchecked, the cruel will always, and I mean ALWAYS, find a way to the top. We need regulation whether we want it or not.

  51. Sucess is not about beating someone else, it is about having more than you would have otherwise had, it is about maximizing overall abundance, not relative abundance.

  52. I'm an avid supporter however, if competitors thought that cooperation was beneficial a cartel would not fight over production. Government contracts ensure one party does not abuse another. This also goes for the supposed "organic" system we have in Industries like Food and Hospitality. Yelp has been investigated on numerous occasions for accepting bribes for putting a certain place in its top picks. Freelancer websites like odesk and elance are flooded with business owners and managers paying top dollar for fake reviewers, so I'm not really sure how this organic system is better but what I do know is that a bit of contract enforcement and some Internet laws might help in the long run.

  53. You mentioned this cooperation to share information between businesses is not mandated by government. If anything recent government regulations about privacy oppose it. Having been in charge of human resources at a retail store, I can tell the law is making it so your history doesn't follow you if it's anything less than a felony criminal conviction. When considering someone for employment, it was illegal for me to ask a former employer anything other than to verify dates of employment. I can't ask the reason they left or for an impression of them as an employee. Also, employees I fired for large scale theft I see later have solid jobs elsewhere because the new employer can't ask me what happened.

  54. 1:58 and to the objection that people give this man, my reply is that not everyone is afraid of getting jailed.

  55. Thieves love free markets, and the corrupt at the top use lobbying and bribes to push laws that cement their monopoly and prevent possible competition. And no, understanding that fact does not constitute an alignment with socialism.

  56. This is probably the stupidest example of them all. Pretty sure thieves would wear a mask if they were planning on stealing something. And why would he even bother going to the counter if he’s not going to pay for it. And what kind of system would that require to detect millions and millions of thieves faces?

  57. This video just proves to show that libertarians live in their own little fantasy world. I can't wait to beat the shit oyt of an extreme libertarian so that he can scream FREE MARKET

  58. i want to like this video but could you please give me some examples of this happening?
    you only said how things are suppossed to work on paper,what if they don't tell their competitiors about you?
    and how big can this network be?it may work if you try to steam inside that neighborhood but what if you go to an other town to steal a suit?do the locals know about you?
    i am not saying that this video is full of shit,i am just saying that i want stronger arguments to be persuaded.
    if anyone can think some better examples i would love to hear them.

  59. How does this relate to the recent censorship of conservatives by social media? Don't we need some other powerful entity to reign in these private companies? Maybe the core issues stems from the monopolies that these companies have formed. The free market is great, but it's not perfect by itself.

  60. …This is Bull Shit! The only "Morality" American Business has is a Gluttonous and Self Indulgent Morality !

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