A Classical Liberalism Society Is A Contractual Society.

In a contractual society people simply interact with each other and when they exchange goods or services they do so voluntarily. The voluntary nature of the exchange is evidence that both parties believe that they will be better off afterwards, otherwise there would be no reason for the exchange.

This voluntary agreement is a form of contract. Some exchanges are more complex and as such require a more formal contract. All contracts reinforce trustworthiness and protect property rights. This contractual relationship taking place between the people in society acts naturally to foster respect and to stimulate further refinement of property rights.

These are exactly the things that are missing in decadent societies.

It is this valuable contribution of contractual relationships that makes a classical liberalism society free and prosperous. What I mean by free is that there is no intervention, no intervening parties creating a barrier to the voluntary exchange. Without this stifling effect there is significantly more prosperity both in terms of the total and in distribution. No longer is the prosperity partially distributed to intervening parties, which means that this type of political corruption is eliminated - thank God - in a classical liberalism society.

Here is where government has a role: its role is confined to protecting persons and property from violence and fraud. The contracts represent claims and if those claims can be verified then it is easy to see if the contract is being upheld. If the contract is not being upheld then taboos or penalties are assigned to the negligent party and then enforced by the government.

If the contract is not formal and not easily verified and yet claimed to be violated then it may merely be that it is chocked up as a mistake; we all make them. In a contractual society it is very important to have a good reputation so if someone acts in an untrustworthy manner then very quickly the well will run dry! Notice that this rectification needs no government action.

For Cedar Rapids to become a contractual society and a model classical liberalism city there has to be a laissez-faire environment. That means no intervention in the economic affairs of the community! Let the voluntary exchanges flourish and watch as contracts of all types form, as respectfulness and trustworthiness grow, as property rights become more and more refined, and as prosperity finds Cedar Rapids to be a welcoming city.

This blog will be a repository of ideas, concepts and principles that support the philosophy of classical liberalism for the purpose of making Cedar Rapids a model city, worthy of emulation. Submit your ideas to divineeconomyconsulting@msn.com.

For more information go to http://www.divineeconomyconsulting.com/ .