Any Libertarian arguments against Anarchy?

[rocketpig]

mrstickball said:
I don't think its accurate to pin the entire 2008 collapse on the deregulation of markets.

The other side of the issue is that prior to de-regulation, the government massively incentivized the loaning process to subsidize the loan process. Therefore, when de-regulation occurred, the banks were able to run freely towards derivatives and sub-prime loans, knowing that the government not only backed, but funded the procedures.

A libertarian would argue that such de-regulation was needed, but that the government should not of incentivized the process through various acts such as the Community Reinvestment Act, the Interstate Commerce Act of 1994, and Clinton's Executive Order that forced banks to add specific questions on the loan application process to ensure that they couldn't discriminate against risky minorities.

There were a slew of problems that caused the 2008 collapse but it's pretty hard to deny that deregulation was one of them. The incentives shouldn't have been applied, I agree with that, but the banks were still the ones loaning out money the economy could not support. And there was much more to it than banks being forced to loan to "risky minorities". It's painfully obvious that several loaning institutions saw the writing on the wall and were handing out loans willy-nilly, only to immediately sell them to someone else and push the burden to another company. Predatory lending was rampant throughout the first part of the 21st century.

As I said earlier, business goals are often not in line with the public good. By their very nature, they are incredibly self-serving. I'm not saying that's necessarily a bad thing (it's how business thrives and grows), but it's something that needs to be acknowledged and tempered. I'd love for business to temper its own ambitions and regulate itself for the long-term good of the economy but we all know that's never going to happen. So what are we left with? Regulation. It's certainly not a perfect system but without government "interference" telling business what to do, we slowly move toward a "might makes right" society because no community activist group, no worker union, nothing can stand against the power of unbridled corporate money and the power that goes along with it. To balance the power of conglomerate business, there needs to be an entity to watch out for the public welfare. The only institution capable of doing that is the government.