Etatism

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Etatism is a term used primarily in the discipline of economics, though also related to sociology and even government-directed education policy. It describes a system of centralized planning and intervention by those in control of the economic mechanisms of the state, especially in economic policies, restrictions on individual property rights, and coercive social economic policies. It is a descriptively correct term for most of the policies espoused by those clamoring for greater "stability" via the pursuit of globalization, and is most closely related to the similar system referred to as Dirigisme.

Libertarians and even Anarchists may use the word in this sense. In economics, the term "etatism" refers to any economy where state planning is openly dominant, even if by regulation and compulsive taxation of "private" businesses rather than direct ownership by the state, as well as the advocacy of such a system, and implies an active intervention by the state in any market segment that is perceived to require alteration to achieve a result more aligned with the interests of the state. This is assumed by Statists to then be also in line with the greater good of society, as the elitists in control of the state are expected to be better able to decide what economic activity will result in the greater good. This directly rejects the free market notion that it is individuals, acting in their own best economic interest, that directly move the entire market in an aggregate way toward the greatest economic good for society.

In economics, then, the term is specifically used to refer to the combination of centralized planning or coercive regulation of the economy, as pursued by the state in Socialism or the social constructs of Statism, combined with actual economic intervention itself, even if it occurs within an overall market economy. This would not, therefore, be an appropriate term to use when describing any branch of socialism that respects personal freedoms, such as libertarian socialism or the ideals of classical Liberalism. In this sense, "etatism" is often what is meant by the opponents of socialist government intervention in markets by taxation and economic regulation.

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Discussion of the moral attributes of etatism

Etatism is one potential result of applying the philosophical viewpoint of socialism, or even the more encompassing worldview of Humanistic Relativism to the market economy. Post-modernist political philosophies that reject the existence of God also predictably claim that individual rights cannot be held to be self-evident, and are therefore not "natural," nor are they absolute. These constructs argue that the concept of individual liberty is nothing more than a social construct created by rational members of human society, rejecting the possibility of the endowment of individual rights by a creator, or by "Nature and Nature's God" as described, for instance, in the founding documents of the United States of America.

In other words, under etatism, rights and freedoms are not assigned by Nature or some other higher authority, nor are they inherent in the simple existence of mankind, but are assigned by human society itself. For example, you have the "right to life" not because you inherently deserve to live by virtue of your humanity, nor because any God created or designed you, nor because there is anything natural about you having a right to your life (after all, nature does not cause you to instantly die if you commit murder), but rather because the majority of the human population has agreed that it is in their common interest to respect this right. Therefore, individual rights are seen as inseparable from society's judgement of what is in the public interest, since this is the ground for individual rights to exist. This is similar to the view of statists, who would claim that once it is accepted that the state is necessary to protect individual rights, then the state also has the responsibility to plan and intervene in all other aspects of life, including economic activity, for the purpose of achieving greater public good. Critics of this position would explain that although individuals may find it practical to allow the state to exist and to take action to protect individual freedoms, it does not follow that the state may act as an entity that has its own right to existence, nor that the individuals currently occupying state offices are morally justified in overriding other's individual decisions, and that when they do so, they are in fact violating sovereign individual freedoms in the name of the state.

Many opponents of etatism argue that restricting individual liberty, particularly as this affects personal property rights, is intrinsically immoral. Others may well favor the view of the "new" or "modern liberal" for social justice, but still criticize etatist economic policy simply because they understand that greater decentralization of economic decisions, all the way to freedom in resource planning by individuals and corporations, (the free market concept) produces superior economic results.

Supporters of etatism generally begin with justifying Statism, then follow this with the argument that intervention by centralized economic planners (by elite individuals in positions of economic influence), rather than a free market, produces greater economic benefits for everyone. (see also planned economy)

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