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Published on March 20, 2008

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Liberalism, Globalization, and the Problem of State Sovereignty:  Liberalism, Globalization, and the Problem of State Sovereignty Dr. Tom G. Palmer Senior Fellow, Cato Institute Cato.ru & Polit.ru Moscow November 30, 2005 Liberalism:  Liberalism Has deep roots: in classical antiquity in the high middle ages and the separation of church from empire, in the free cities of Europe, in the constitutional struggles against monarchs, in the struggle for religious toleration, in the fight for rights and against serfdom and slavery A Few Highlights of that Tradition….:  A Few Highlights of that Tradition…. War Between Sparta and Athens 431 – 404 B.C.E. Awakened An Appreciation of Freedom:  War Between Sparta and Athens 431 – 404 B.C.E. Awakened An Appreciation of Freedom “Each one of our citizens, in all the manifold aspects of life, is able to show himself the rightful lord and owner of his own person....” Pericles, Funeral Oration, 430 B.C.E. Understanding the Higher Law: A Legacy of Marcus Tullius Cicero:  Understanding the Higher Law: A Legacy of Marcus Tullius Cicero “We are all constrained by one and the same law of nature; and if that is true, then we are certainly forbidden by the law of nature from acting violently against another person.” De Officiis, III, 26-27 The Gregorian Reformation – “Freedom of the Church” Separates Church from State:  The Gregorian Reformation – “Freedom of the Church” Separates Church from State 1073 – The German monk Hildebrand becomes Pope Gregory VII 1075 - Gregory Issues Dictates of the Pope 1077 – Emperor Henry IV asks forgiveness at Canossa 1122 - the Concordat of Worms recognizes the spheres of the imperial and papal powers The Growth of Civil Society: The Formation of “Communes”– Independent Cities (Civitas:City):  The Growth of Civil Society: The Formation of “Communes”– Independent Cities (Civitas:City) “Stadtluft macht frei, nach Ablaufe von Jahr und Tag.” “City air makes you free, after the lapse of a year and a day.” The Emergence of the Modern Doctrine of Individual Rights:  The Emergence of the Modern Doctrine of Individual Rights “I maintain, therefore, that dominium, possession, and jurisdiction can belong to infidels licitly and without sin, for these things were made not only for the faithful, but for every rational creature as has been said.” Innocent IV, ca. 1250 Respect for Individual Rights the Foundation of Justice:  Respect for Individual Rights the Foundation of Justice “The proper matter of justice consists of those things that belong to our interaction with other men....‘a man is said to be just because he respects the rights of others.’” --Thomas Aquinas, Summa Theologica, IIa, IIae, Q. 58 Written Charters of Privileges and Immunities:  Written Charters of Privileges and Immunities Magna Carta (1215): “No free man shall be taken, imprisoned, or disseized, outlawed, banished, or in any way destroyed, nor will We proceed against him or prosecute him, except by the lawful judgment of his peers or by the law of the land.” Golden Bull of Hungary (1222): included the right of resistance (ius resistendi) Pact of Košice (1374): recognized the rights of the nobles and the requirement of consent for the legitimacy of the ruler Rights Recognized as Valid for All Humans:  Rights Recognized as Valid for All Humans "Inasmuch as he is a person, every Indian has free will, and, consequently, is the master of his actions"; "By natural law, every man has the right to his own life and to physical and mental integrity." Francisco de Vitoria, 1492-1546 The Movement to Abolish Slavery:  The Movement to Abolish Slavery “Among our Indians ... there are important kingdoms, large numbers of people who live settled lives in a society, great cities, kings, judges and laws, persons who engage in commerce, buying, selling, lending, and the other contracts of the law of nations....” Bartolomé de las Casas, 1484-1566 The Dutch Republic Embodies Toleration, Free Trade, & Low Taxes, Beginning a General Trend Against Absolutism:  The Dutch Republic Embodies Toleration, Free Trade, & Low Taxes, Beginning a General Trend Against Absolutism “the so-called revolutions of Holland, England, and America, are all links of one chain.” John Lathrop Motley, The Rise of the Dutch Republic, 1855 The English Put Law Above King and Parliament:  The English Put Law Above King and Parliament “When an act of Parliament is against common right and reason, or repugnant, or impossible to be performed, the common law will controul it, and adjudge such Act to be void.” Sir Edward Coke, 1552–1634 The Levellers: the First Consistent Liberals:  The Levellers: the First Consistent Liberals The Levellers demanded religious freedom, elimination of arbitrary power, protection of property, free trade, trial by jury, equal rights for all.... John Lilburne, 1615-1657 :  John Lilburne, 1615-1657 Lilburne died in the arms of his wife Elizabeth, also an active Leveller, when let out of prison: “I shall leave this Testimony behind me, that I died for the Laws and Liberties of this Nation.” John Locke and the Radical Whigs Carry Out Much of the Leveller Programme:  John Locke and the Radical Whigs Carry Out Much of the Leveller Programme “Though the earth, and all inferior creatures, be common to all men, yet every man has a property in his own person: this no body has any right to but himself. The labour of his body, and the work of his hands, we may say, are properly his.” John Locke, 1632-1704 Adam Smith Systematizes the Study of the Wealth of Nations:  Adam Smith Systematizes the Study of the Wealth of Nations “Little else is requisite to carry a state to the highest degree of opulence from the lowest barbarism but peace, easy taxes, and a tolerable administration of justice: all the rest being brought about by the natural course of things.” From a lecture of 1755 Anne Robert Jacques Turgot (1727-1781) Attempts to Foster Liberty in Europe and America:  Anne Robert Jacques Turgot (1727-1781) Attempts to Foster Liberty in Europe and America In France he eliminated or cut many taxes; abolished forced labor, restrictions on trade, and government enforced monopolies. He advised the Americans to “reduce to the smallest number the kinds of affairs of which the government of each state should take charge.” The Americans Declare the Principles of their Independence:  The Americans Declare the Principles of their Independence “…all men are created equal, that they are endowed by their Creator with certain unalienable Rights, that among these are Life, Liberty and the pursuit of Happiness. ム That to secure these rights, Governments are instituted among Men, deriving their just powers from the consent of the governed….” --July 4, 1776 Liberals Continue the Struggle Against Slavery:  Liberals Continue the Struggle Against Slavery “The contest was now ended; the chain was severed; God and right stood vindicated. I was A FREEMAN, and the voice of peace and joy thrilled my heart.” – Frederick Douglass, 1817? - 1895 The Liberal Tradition rests on Three Supporting Legs:  The Liberal Tradition rests on Three Supporting Legs Individal Rights Spontaneous Order Constitutionally Limited Government Each Leg Supports the Others to Make Liberalism a Stable System:  Each Leg Supports the Others to Make Liberalism a Stable System When rights are well defined and legally secure, society is MORE, not less, orderly Limited Government defines and protects rights, but does not seek to create order directly Liberalism is Unique in Focusing on Principles, Institutions, and Processes, not Wishful Thinking:  Liberalism is Unique in Focusing on Principles, Institutions, and Processes, not Wishful Thinking Institutions Are More Important than Resources. Institutions Shape Incentives, which Shape Human Behavior:  Institutions Are More Important than Resources. Institutions Shape Incentives, which Shape Human Behavior “Institutions provide the incentive structure of an economy; as that structure evolves, it shapes the direction of economic change towards growth, stagnation, or decline.” Douglas North, 1993 Nobel Prize Winner in Economics The Economic Problem….:  The Economic Problem…. “is a problem of the utilization of knowledge which is not given to anyone in its totality.” F. A. Hayek, 1974 Nobel Prize Winner in Economics Legally Secure Property Rights Create Incentives for People to Put Their Knowledge to Work :  Legally Secure Property Rights Create Incentives for People to Put Their Knowledge to Work Property Rights Create Incentives for Cooperation and Wealth Creation To do that, they must be characterized by the “Three D’s”; they must be: Definable (the legal system must be able to define them clearly to avoid conflicts) Defendable (they must be secured through access to a legal system) Divestible (they must be transferrable through gift, sale, or other form of contract) The World Is Not Ruled by Magic or Wishes:  The World Is Not Ruled by Magic or Wishes It is ruled by cause and effect; In the world of human interactions, the scientific method asks about incentives; Incentives are given form by Institutions; Institutions are shaped by both conscious design (especially at the constitutional level) and evolution. Liberals Understand that Incentives and Institutions Matter:  Liberals Understand that Incentives and Institutions Matter Incentives give signals to rational actors about what will advance their purposes Institutions give form to incentives What incentives do different people have to create light? Globalization and Liberalism:  Globalization and Liberalism Definition: Globalization refers to the diminution or elimination of state-enforced restrictions on exchanges across borders and the increasingly integrated and complex global system of production and exchange that has emerged as a result. Accordingly, Globalization is an application of liberal principles:  Accordingly, Globalization is an application of liberal principles The application of the right to freedom of trade and travel The application of global standards of equal rights and the growth of an international consensus against violence and oppression Does Globalization Threaten National Identity?:  Does Globalization Threaten National Identity? No. It would threaten national identity only if national identity required poverty and stagnation Freeing trade increases wealth, with which cultures flourish The Japanese are richer than 100 years ago, but still Japanese Cultures that are closed to the outside cease to be living cultures; cultural “protection” is a form of cultural death. A look at the problem of sovereignty :  A look at the problem of sovereignty “Majesty or sovereignty is the most high, absolute, and perpetual power over the citizens and subjects in a Commonwealth….” Jean Bodin, Les Six livres de la République, 1576 As such, the sovereign is defined to be the source of law and therefore above the law:  As such, the sovereign is defined to be the source of law and therefore above the law Is Sovereignty Compatible With Liberalism?:  Is Sovereignty Compatible With Liberalism? Lawyers and Political Scientists Distinguish between External Sovereignty and Internal Sovereignty:  Lawyers and Political Scientists Distinguish between External Sovereignty and Internal Sovereignty External Sovereignty Helps to Diminish Armed Conflicts Among States and is an Element of a Liberal International Order:  External Sovereignty Helps to Diminish Armed Conflicts Among States and is an Element of a Liberal International Order Internal Sovereignty is Inherently Illiberal: The liberal ideal is the “Rechtsstaat”-- the law-governed state, in which the law is supreme, not the state :  Internal Sovereignty is Inherently Illiberal: The liberal ideal is the “Rechtsstaat”-- the law-governed state, in which the law is supreme, not the state We can see the two uses of the term at work in events in Iraq:  We can see the two uses of the term at work in events in Iraq External sovereignty was violated through the decision to wage war (just as Saddam had earlier violated the external sovereignty of Iran and Kuwait) Internal sovereignty is being debated; will the constitution and the rule of law be supreme, or will the rule of men be supreme? Externally, the Sovereignty of Iraq Was Violated by Invasion:  Externally, the Sovereignty of Iraq Was Violated by Invasion Internally, Iraqis Are Attempting to Substitute a Law-Governed State for a Lawless State:  Internally, Iraqis Are Attempting to Substitute a Law-Governed State for a Lawless State They face a familiar problem, though….:  They face a familiar problem, though…. The Resource Curse State Ownership of Resources Creates Rentier Classes Undermines Political Accountability Creates Internal Conflicts A Problem:  A Problem Name the States where Oil was Discovered and then later Liberal Democracy was established A Challenge for Liberal Scholarship, Intelligence, and Courage:  To Foster the Rule of Law and Limited Government To Overcome Nationalism, Religious Extremism, the Resource Curse, and Other Challenges and Foster a World of: Peace (respecting the idea of external sovereignty) The Rule of Law (undermining the idea of internal sovereignty) Freedom and Toleration (respecting the rights of the individual) A Challenge for Liberal Scholarship, Intelligence, and Courage Peace, Freedom, and Prosperity Depend on How Liberals Meet that Challenge:  Peace, Freedom, and Prosperity Depend on How Liberals Meet that Challenge Спасибо Thank you Cato.ru Cato.org

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