Below is Part 30 of my review of “Anarchy, State, and Utopia”, which covers the sixth subsection of Chapter 5 (pp. 110-113), where I review — and rip apart — Nozick’s solution the problem of risky independents.
To his credit, Nozick recognizes the reciprocal nature of the relationship between private protection agencies and independents in the sixth subsection of Chapter 5 (pp. 110-113). Specifically, if a protection agency decides to prohibit independents from exercising their right of self-help against due-paying members of the agency (on the pretext that the guilt-finding procedures of independents are unreliable and unfair), such a prohibition would impose a significant disadvantage on independents. So, what is to be done? In a word: compensation.
In summary, Nozick re-introduces his principle of compensation from Chapter 4 of ASU (p. 110, emphasis added by us): “The clients of the protection agency, then, must compensate the independents for the disadvantages imposed upon them by being prohibited self-help enforcement of their own [natural] rights against the agency’s clients.” So far, so good. But, alas, to make this scheme workable, Nozick qualifies his compensation principle in a major…
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