Overview
Freedom naturally leads to prosperity. Reasonable people do not engage in voluntary transactions unless they expect the outcome to be in their interest.
Parties to a voluntary transaction assume they are in the best position to judge what is in their own best interest. As such, voluntary transactions generally result in a ‘win’ for both parties. The cumulative effect of millions of win-win transactions is abundance. Abundance means our human needs are met.
DISCUSSION
The Legal Principle protects against pollution. Pollution is a trespass and therefore violates the Legal Principle. Because so many of our basic needs rely on a healthy biosphere, there can be no abundance on a polluted planet. Short-term economic benefits do not override the obligation not to pollute or trespass upon another’s property. Nature is wealth; it is unsurpassed in its ability to bring health and wellness.
By eliminating all laws and regulations against victimless crimes, competent adults will be free to pursue all the voluntary transactions they choose in a free choice economy.
Exchange generally occurs when one person who has more of something than they need gives or sells that thing to someone who wants or needs it more. Such an exchange increases the prosperity for all.
Prosperity is the natural byproduct of living in accordance with the 3LP.
Why do free markets create prosperity?
The freedom to choose how one spends one’s resources can be met with another’s freedom to do the same. When people want something from another, voluntary exchange benefits both parties rather than unilateral coercion.
Planned economies face significant hurdles to prosperity as they restrict how people resources are used in society and, by consequence, ultimately limit the opportunities for people to exchange with one another.
Free markets, a pure free market, respects private property. When people have a guarantee that their body and resources are protected, they are free to use their body and resources in any peaceful way they choose. Such freedom of choice on how to spend one’s labor and resources increases the available options for others to do the same.
What role does entrepreneurship play in society?
Without entrepreneurship there is no diversity. Without diversity there are less options for people to meet their needs.
A high degree of entrepreneurship increases economic prosperity as the entrepreneurs: - look for opportunities among factors of production - consider the productivity per unit among the factors of production - arrange factors of production in specific ways to meet peoples’ subjective preferences.
Entrepreneurship is inherently an endeavor which does not aggress. A true entrepreneur can only be successful in a market when others voluntarily provide investment or revenue.