Why Can't We Cooperate?

A thousand skeptic hands
Won't keep us from the things we plan
Unless we're clinging to the things we prize
--Howard Jones

In a speech at a liberal pre-election rally last weekend, comedian Jon Stewart wondered aloud why Americans can't work more collaboratively to solve our nation's problems. He cited examples of people from diverse backgrounds who work together daily. Why can't we have more of that?

Stewart was describing examples of market activity. Markets are people engaging in exchange. People do so because they have needs that they want to satisfy (self-interest is axiomatic to human behavior), and cooperative exchange helps individuals achieve higher levels of satisfaction than otherwise possible.

Markets are not just associated with material exchange. There are also markets for ideas, knowledge, companionship, power, etc. Indeed, gains from market exchange may be more psychic than material.

Markets, then, constitute a basic form of social organization.

In unhampered (a.k.a. 'free') markets, property rights of the individual form the basis for exchange. This means that an exchange can only occur if both sides voluntarily engage in the trade. This holds true in product markets, where spectacular chains of widespread voluntary cooperation often assemble to produce even the simplest of products.

The same principle holds true in non product markets. For example, if I have an idea about how the world should function, then I can offer it to others but I cannot force them to accept it. I also cannot coerce others to do things in order for my vision to become reality.

Unhampered markets promote freedom because property rights are respected, meaning that exchange is done on a voluntary basis.

Circling back to Jon Stewart's question, then, one possible answer is that there are not two sides to 'the market for voluntarily solving problems at a national level. Current ideas/programs being offered by some (sellers/supply) have found insufficient support among those necessary to convert those ideas into reality (buyers/demand).

This answer is not totally satisfactory, however, because it does not address the very real possibility that an unhampered market do not exist in this case.

We'll continue this discussion in future missives.