What is Anarcho Capitalism?

February 1, 2021

What is Anarcho Capitalism?

Anarcho capitalism is a political ideology. Political ideologies are theories for how a population of people should be organized. For context:

People assume America’s political ideology is democracy and that we exercise capitalism. However, less than half of Americans vote and capitalism died the die politicians started accepting bribes from corporations in exchange for favors.

America’s political ideology is corporatism: A system in which elected officials serve the interest of corporations and special interest groups instead of the people. For example, we all know that Amazon doesn’t pay taxes. They get away with that because they pay a significant amount of money to politicians via campaign donations, lobbying, etc. Arrangements such as this exist in every industry and every corner of the country.

The only reason you think we live in a democracy that exercises capitalism…. is because that’s what you’ve been told.

Related Reading: The Case for Small Government

Corporations Own the Media

Despite how obvious corporatism is, some people insist that politicians care about us. It’s not a coincidence that these people also watch cable news. For example, can you imagine Rachel Maddow doing a segment on how Procter & Gamble bribed politicians to shut down their competitors? Procter & Gamble is the parent company for brands such as Tide, Pampers, Tampax, Bounty, Gillette, Febreeze and thousands more. They spend hundreds of millions to advertise on Maddow’s show. If she reported truthfully, they would pull their advertising budget and Rachel would lose her job. So, to deflect from real life, Rachel makes up stories such about Russia:

Related Reading: Corporate Accountability is Over

Capitalism is Evil, Right?

As you can see, the government and media are owned by corporations and special interest groups. This means capitalism is evil, right? According to this video, this is all capitalism’s fault:

The video mentions three disasters “caused by capitalism:”

1. Flint, Michigan

Residents in Flint were drinking toxic tap water. The YouTube video said this happened because an evil corporation used dirty river water to cut down on water supply costs. But there’s more to the story. The governor of Michigan appointed the corporation and gave them exclusive control of the city’s water supply. What are the chances the governor accepted campaign donations in exchange for this reward?

2. SoCalGas

There was a gas leak in California’s San Fernando Valley. The company responsible, SoCalGas, hadn’t replaced their gas pipes in 50+ years and one burst which led to millions of residents getting sick and forced to evacuate their homes. Are you sure this is evil capitalism? California’s politicians were aware of the eroding pipes. And if SoCalGas is so evil, why were they just rewarded a $7 million government grant? And why is there no consequence when they use customer money to hire lobbyists to fight environmental regulations? If you think capitalism is evil and government is good — you need a head check.

3. Deepwater Horizon 

In 2010, BP, British Petroleum, had an oil accident off the coast of Louisiana. It was such a travesty that no free market corporation would have survived (customers would reject them). But America doesn’t exercise free market capitalism. And so, BP’s biggest customer, as of 2021, is the U.S. Government. BP got a slap on the wrist for the accident and then a couple months later — were granted federal contracts worth billions of dollars. 

Related Reading: How to Be A Conscious Investor

What is Anarcho Capitalism?

Anarchy means Without Ruler. Capitalism means private ownership and profit from industry. Therefore, anarcho capitalism is capitalism without rulers (politicians). Anarcho capitalists believe that private companies create better services than government agencies. Can you imagine if Facebook ran the DMV, Google ran the IRS and Venmo ran our unemployment and welfare agencies?

In addition, anarcho capitalists believe that if a product or service sucks, people will stop buying it and the company will fail. This is in contrast to today’s world. In cities like New York, yellow cabs aren’t safe, their cars smell, the drivers are rude and they never know where they’re going. That said, the government is using taxpayer dollars to keep the industry alive which is just plain dumb.

A major tenet of anarcho capitalism is the Non-Aggression Principle. This says that aggression between any two humans is morally wrong. For example, if I go live in the woods alone and stop paying taxes, I am harming no one. In today’s world, the police are legally allowed to break into my home, use violence against me and throw me in jail even though I committed a victimless crime. Anarcho capitalists reject this.

And finally, anarcho capitalists reject funding initiatives they don’t support. For example, most Americans don’t want to go to war and don’t want to bail out Wall Street. As you may have noticed, however, the government doesn’t care what we want.

Related Reading: The Income Tax is Unconstitutional


Every human is born free. Many of us are willing to give up some freedoms in order to live in society. The problem is people today have forgotten they have a right to be free. They are enslaved by meaningless jobs, mortgages, student loans and fighting over politics. Anarcho capitalists believe in the magic of the human. Each of us is creative, intelligent and beautiful. Our founding fathers fought for freedom and the right to live life however we please. Anarcho capitalists carry this torch and are willing to fight for freedom once again.