Conservatism: core ideas and principles (OCR A-Level Politics): Revision Notes

5.1.6 libertarianism (specifically neo-liberalism)

Upholding Liberty: Maximising Autonomy and Free Choice

• Individual Autonomy: Libertarianism, particularly in its neo-liberal form, prioritises individual autonomy above all else. It emphasises the right of individuals to make their own choices in life, free from external constraints, particularly those imposed by the state. This belief in autonomy extends to all areas of life, including personal, social, and economic decisions.
• Free Choice: Neo-liberals argue that freedom of choice is essential for personal fulfilment and economic efficiency. By allowing individuals to make their own decisions, whether it's choosing a career, spending money, or starting a business, society as a whole benefits. Free choice is seen as a driver of innovation, diversity, and progress.

The Role of the State

• Minimal State Intervention: Neo-liberalism advocates for a minimal role for the state, limited to protecting individual rights, enforcing contracts, and maintaining law and order. The state's primary function is to create and maintain an environment where free markets can operate without interference.
• Opposition to State Control: Neo-liberals reject state control over economic and personal matters, viewing such control as a threat to individual liberty. They argue that when the state intervenes too much, it restricts freedom and hampers the ability of individuals to make choices that reflect their own values and interests.

Economic Beliefs

• Free Market Economy: Neo-liberals strongly support a free market economy, where prices, production, and distribution of goods and services are determined by supply and demand. They believe that free markets lead to efficient resource allocation, economic growth, and innovation.
• Deregulation and Privatization: Neo-liberals advocate for the reduction of government regulations and the privatisation of state-owned enterprises. They argue that deregulation increases competition and efficiency, while privatisation leads to better services by introducing market dynamics into previously state-controlled sectors.
• Low Taxation: Neo-liberals favour low taxes, believing that individuals should keep more of their earnings to make their own economic choices. Lower taxes are also seen as a way to stimulate economic activity by encouraging investment, entrepreneurship, and consumption.

Impact on Society

• Emphasis on Individual Responsibility: In a neo-liberal society, individuals are expected to take responsibility for their own lives, including their economic and social well-being. This belief fosters a culture of self-reliance, where people are encouraged to succeed through their own efforts rather than relying on state support.
• Social Mobility: Neo-liberals argue that a society with minimal state intervention provides the best opportunities for social mobility. By removing barriers to entry and allowing individuals to compete freely, they believe that everyone has the chance to improve their circumstances based on merit and hard work.
• Reduction of Welfare State: Neo-liberalism often leads to a reduction in the welfare state, as the emphasis shifts from state-provided social safety nets to individual responsibility. This can result in a more unequal society, as those who are less able to compete in the free market may struggle without state support.

Human Nature

• Rational and Self-Interested: Neo-liberals believe that human nature is fundamentally rational and self-interested. They argue that individuals are best suited to make decisions about their own lives because they know their needs and desires better than anyone else. This rationality means that people can be trusted to act in ways that maximise their well-being, making autonomy and free markets ideal.
• Natural Desire for Freedom: Neo-liberals also believe that humans have a natural desire for freedom and autonomy. They argue that people thrive when they are free to pursue their goals without interference, which is why a system that maximises individual liberty aligns well with human nature.
• Capacity for Innovation and Progress: Neo-liberals view humans as naturally creative and innovative. They believe that when individuals are free to experiment, take risks, and pursue their self-interest, it leads to overall progress and improvement in society. This belief underpins the support for free markets, where competition and entrepreneurship are seen as the engines of innovation.