What is Inflation? (Version 2.0)

by Nicholas Evans Monday, Jan. 18, 2010 at 6:36 PM
EvansPress@yahoo.com

Inflation is a rise in the general price of things. As a result, people believe they are able to buy less things.

What is inflation?
By
Nicholas Evans
(Version 2.0)

Inflation is a rise in the general price of things. As a result, people believe they are able to buy less things. 1.

What are the causes of inflation?

According to the economist Stanford:

- If consumers and businesses are spending too much too fast and not enough goods and services are offered, then prices rise as purchasers compete for the scarce services. This is called “demand-pull inflation” 2.

- If wages for wage workers cost more than what the wage workers are producing and is being sold, employers will try to pass on the higher production costs through higher prices. 3.

- If companies feel they can increase prices without losing customers (perhaps due to lack of competition, or a willingness of customers to tolerate higher prices) understandably, they can. 4.

What are some attempts at ending inflation?

One theory dealing with inflation is called the Monetary theory. This theory believes that money is the cause of inflation. 5.

In other words, if people have more money to spend, prices rise; if people have less money to spend, prices fall. The goal of the Monetarists therefore, understandably, is to attempt to control the supply of money in order to be free of inflation.

The Monetary theory was tried in the 1980’s. 6. Even with the increase in money supply, the rate of interest and inflation continued to expand. 7. The theory was later abandoned. 8.

Another method that attempted to stop inflation is through government control of interest on money lending through banks. 9. By charging higher interest to borrow money, businesses and consumers become less likely to over spend. 10. Hence inflation will lower as goods and services are more available.

According to the above theory, the opposite would tend to happen if interest rates would drop.

And as McKay notes, lower interest rates can potentially cause inflation in another way as well, 11. since workers would begin to be self sufficient by having the option for cheaper money to borrow and start their own businesses and be self sufficient.

If workers believe they have they can be self sufficient and want to be self sufficient, they could extend the preference to the workplace and prefer better pay, working conditions ect. The result could be a rise in the price of products so employers can receive a higher pay to make up for higher wages of the employees.

According to Stanford, reducing inflation usually involves recession, high unemployment, and lost economic opportunity. 12.

How can inflation be prevented in the first place?

A possible solution for inflation

If we look at the causes of inflation, as noted above, they are:

Causes of Inflation:

A. Over spending by consumers and companies

B. Wage-worker’s wages are higher then normal (ie. Part of the employer’s income goes more then usual to the wage worker’s wage, so the employer raises the price of goods to make up for the loss)

C. Monopoly on the market (also called ‘Market Power’ 13.)

Now that we understand the causes of inflation, we can come to a conclusion on a possible way to be free from it. First, what is Capitalism?

What is Capitalism?

Capitalism is a competitive market system where the majority of businesses operate in a situation where an employer pays their employee‘s a wage less than what they produce. If employers on a competitive market paid their employees enough to buy back what they produce, this type of business system would be a form of competitive market socialism and therefore different from Capitalism. 14.

Different kinds of Libertarian economics as alternatives:

There are three major forms of libertarianism: Mutualism, Collectivism and Gift Economy.

Capitalism is only one form of a competitive market system. There are other forms of competitive market systems besides Capitalism.

What is Libertarian Mutualism?

Libertarian Mutualism is a regulated form of a competitive market system where the majority of businesses operate in the following ways: self employment ,15. a situation where both an employer and employee of smaller businesses are paid equally for an equal amount of time working, or employers pay their employees enough to buy back what they produce, 16. or a situation where small and medium business are democratically operated, 17. and large scale democratic industry and agricultural places are federated and controlled by the community in order to regulate the market and as well as provide public services. 18.

As economist Jim Stanford points out, contrary to popular belief, markets and competition exist in other economic systems besides Capitalism 19. (ie. Market Socialism)

What is Libertarian Collectivism?

In economics, Libertarian Mutualism is very similar to Libertarian Collectivism except Libertarian Collectivism is free from market competition. 20. Libertarian Collectivism also includes free health care and free basic foods. 21. People preferring a living beyond basic needs will use money for exchange. 22. In Libertarian Mutualism, the community controlled banks charge 1% interest or less to cover expenses.

In Libertarian Collectivism, the community banks also handle distribution of all commodities along with charging interest at 1% or less to cover bank expenses. 23. Since market competition is gone in Collectivism, product prices are based on how much physical and mental work went into them. As with Mutualism, how much average work it takes to create a product is decided either individually or by the community.24.

What is Gift Economy?

Gift economy is similar to Collectivism, except the economy would be free from money. 25. Gift economy is a system where most workplaces co-operate rather then compete, and all goods and services are free. As with Mutualism and Collectivism, workplaces and communities would enter into contracts with each other in terms of goods and services. 26. This system is free of money and therefore free from inflation.

How would Mutualism, Collectivism and Gift Economy be free from inflation?

Mutualism

-In regards to A. cause of inflation, economic behaviors of consumers and competitive businesses within the federation are analyzed. Economic information would be made clear by regulating societies, and average prices are set by the local communities in order to prevent over spending by consumers and competitive businesses. 27.

-In regards to B. cause of inflation, general prices of goods and services would be decided by the local community and federation. The actual individual prices of goods and services would be known when placed on the competitive market as a result of market competition. 28.

-In regards to C. cause of inflation, the Agro-Industrial Federation would exist to help small and medium businesses. 29. Large businesses are replaced by local public ownership and community control by the Agro-Industrial Federation. 30.

Collectivism

-In regards to A. cause of inflation, workplaces and self employed individuals will turn in their products to the local community Bank of Exchange and receive wages in return. 31. The types and amounts of pay of the wages will be decided by the local community through direct democracy. 32.

The Bank of Exchange would make sure in advance that the products are in demand, and therefore risks nothing by immediately issuing wage payment to self employed individuals and workplaces. 33. Except for individual houses and self employed individuals who choose to remain free from the federation, communities and workplaces would federate together in a direct democratic way. 34.

-In regards to B. cause of inflation, workplace pay would be decided by the local community and all workers within the local workplaces. 35. The pay would depend on how much work goes into the product, the scarcity, ect. 36. The result would also prevent unnecessary high prices.

-In regards to C. cause of inflation, the competitive market is replaced by a collectivist system where local public ownership of workplaces are organized in a direct democratic 37. fashion to replace the competitive market and the monopoly control that can result.

Gift Economy

-In regards to A. cause of inflation, there is no money in a Gift Economy so there are no money prices, and therefore no inflation. However, regarding over consumption of products in a Gift Economy, each local store and work place would keep track of the amount of goods that currently available. 38. Rather then the use of money, actual data of the amount of resources available, ect. would be communicated between other workplaces and communities. 39.

-In regards to B. cause of inflation, there is no money, so there are no money prices, and therefore no inflation. All workplaces and communities within or outside the federation would be managed in a direct democratic manner. 40.

-In regards to C. cause of inflation, the competitive market is replaced by a system where local public ownership of workplaces are organized in a direct democratic 41. fashion to replace the competitive market and the monopoly control that can result.

Ofcourse, people should live in whatever economic system they choose. (ie. Capitalism, State Socialism and other un-Libertarian economies ect.) 42. However, the Libertarian views of Mutualism, Collectivism or Gift Economy (aka Libertarian Communism) may be the best forms of organization for a stable economy.




Bibliography and footnotes:

1. Michael F. Bryan., The Origin and Evolution of the Word Inflation (Oct. 15 1997 ) Federal Reserve Bank of Cleveland. Retrieved Dec. 2 2008 from
http://www.clevelandfed.org/research/Commentary/1997/1015.pdf

2. Stanford, Jim. Economics for Everyone: A Short Guide to the Economics of Capitalism. Ann Arbor: MI., Pluto Press. 2008. Pp 205

3. Ibid. pp 205

4. Ibid. pp 206

5. Kaldor, Nicholas. The Scourge of Monetarism, Oxford University Press, 1986. Retrieved Aug. 24 2008. pg. 13 of the second Forward http://www.questia.com/PM.qst?a=o&d=13674186
Described by Nicholas Kaldor:

“However, in the new monetarists' view.. To stabilize the economy and to avoid
inflation what is needed first of all is to secure a steady growth in the
money supply…”

And by Allen Meltzer:

Allan H. Meltzer, Monetarism, The Concise Encyclopedia of Economics. Retrieved August 2008 from http://www.econlib.org/library/Enc/Monetarism.html it is now at:
http://www.econlib.org/library/Enc1/Monetarism.html

“The association between money growth and inflation is evidence for one of the principal monetarist propositions: sustained money growth in excess of the growth of output produces inflation; to end inflation or produce deflation, money growth must fall below the growth of output…”

6. Stanford, Jim. Economics for Everyone: A Short Guide to the Economics of Capitalism. Ann Arbor: MI., Pluto Press. 2008. Pp 211

7. Kaldor, Nicholas. The Scourge of Monetarism, Oxford University Press, 1986. Retrieved Aug. 24 2008. pg. 13 of the second Forward http://www.questia.com/PM.qst?a=o&d=13674186

Nicholas Kaldor states:
“From that day on dramatic changes started to happen
which were quite different from those expected. The money supply
failed to grow at a smooth and steady rate; its behaviour exhibited
a series of wriggles.

The rate of interest and the rate of inflation, though
both were very high at the start, soared to unprecedented heights in
a very short time. By March 1980 the rate of interest rose to 18.6 per
cent and the rate of inflation to 15.2 per cent…”

8. Kaldor, Nicholas. The Scourge of Monetarism, Oxford University Press, 1986. Retrieved Aug. 24 2008. pg. 13 of the second Forward http://www.questia.com/PM.qst?a=o&d=13674186

“After a year and a half of continued failures and a chaotic volatility of everything --
interest rates, exchange rates, inflation rates -- the experiment was
abandoned and the system returned..”

9. Kaldor, Nicholas. The Scourge of Monetarism, Oxford University Press, 1986. Retrieved Aug. 24 2008. pg. 14 of the second Forward http://www.questia.com/PM.qst?a=o&d=13674186

“In retrospect none of this would have happened if the Fed had
studied and understood the analysis and prescription of the British
Radcliffe Committee in 1958, according to which central banks should
not really be concerned with the money supply as such -- it is the
regulation of interest rates, and not of the quantity of money, which
in the words of that Report 'is the centre-piece of monetary action'.”

10. Stanford, Jim. Economics for Everyone: A Short Guide to the Economics of Capitalism. Ann Arbor: MI., Pluto Press. 2008. pp 211

11. McKay, Iain. An Anarchist FAQ. AK Press: Oakland 2008 Pg. 295-297

12. Stanford, Jim. Economics for Everyone: A Short Guide to the Economics of Capitalism. Ann Arbor: MI., Pluto Press. 2008. Pp 206

13. Pearce, David. The MIT Dictionary of Modern Economics. Cambridge Massachusetts: The MIT Press (1992) pp 268

14. Marx states:

"The working day of 12 hours is represented in a monetary value of, for example, 6 shillings. There are two alternatives. Either equivalents are exchanged, and then the worker receives 6 shillings for 12 hours of labour; the price of his labour would be equal to the price of his product. In that case he produces no surplus-value for the buyer of his labour, the 6 shillings are not transformed in to capital, and the basis of capitalist production vanishes." Marx, Karl. Capital Volume 1 England: Penguin Classics (reprint) 1990 pp. 676.

And Tucker:
“…it will make no difference whether men work for themselves, or are employed, or employ others. In any case they can get nothing but that wage for their labor…” Tucker, Benjamin. Instead of a Book: By a Man too Busy to Write One. New York: Gordon Press. (1972) pp 475 and “…for the theory that labor is the source and measure of value, for the laborer’s inability to repurchase his product in consequence of the the privileged capitalist’s practice of keeping back a part of it from his wages…” Ibid. 479

As does Kropotkin:

“…the capitalists to appropriate for themselves a quite disproportionate share of the yearly accumulated surplus of production…” Kropotkin, Peter., Anarchism (1910) Encyclopedia Britannica. Retrieved Feb. 10, 2009 from:
http://dwardmac.pitzer.edu/Anarchist_Archives/kropotkin/britanniaanarchy.html

Regarding Tucker’s Libertarian Individualist Market Socialism, value and prices will change depending on new production methods that would be introduced. This happened in the Libertarian Market Socialist economy of Utopia: “…it was expected that the labor price would always be subject to change as new production methods were introduced…” Martin, James J. Men Against the State. Ralph Myles Publisher, Inc.: Colorado Springs USA. (1970) pp 62



15. Proudhon, Pierre-Joseph General Idea of the Revolution in the Nineteenth Century. New York: Cosmo Classics., 2007 pp 217

“Anybody who is capable of cutting out and sewing up a pair of shoes can get a license, open a shop, and hang out a sign, ‘So and So, Manufacturing Shoe Merchant’ although it may only be himself behind his counter.”

16. Edwards, Stewart (Editor) Selected Writings of P.-J. Proudhon. Garden City, New York: Anchor Books., 1969 pp 64

“I will place a condition upon my service: the man who wishes to employ me as a servant must pay me fifty per cent of his income. Without this we are beyond the bounds of fraternity, equality, and mutuality.”

17. Proudhon, Pierre-Joseph General Idea of the Revolution in the Nineteenth Century. New York: Cosmo Classics., 2007 pp 213

“By participating in the loss and gains, by the graded scale of pay, and successive promotion to all grades, the collective force, which is a product of the community, ceases to be a source of profit to a small number of managers and speculators: it becomes the property of all workers. At the same time, by a broad education, by the obligation of apprenticeship, and by the co-operation of all who take part in the collective work, the division of labor can no longer be a cause of degredation for the workman: it is on the contrary…”

Also please see footnote 14.

18. Vernon, Richard (editor) Proudhon, Joseph-Pierre The Principle of Federation. Canada: University of Toronto Press., 1979 pp 70 and 72

“The agro-industrial federation, on the other hand, will tend to foster increasing equality, by organizing all public services in an economical fashion…industries are sisters; they are part of the same body… They should therefore federate… in order to guarantee mutually the conditions of common prosperity…”

And

Edwards, Stewart (Editor) Selected Writings of P.-J. Proudhon. Garden City, New York: Anchor Books., 1969 pp 70

“The advocates of mutualism are as familiar as anyone with the laws of supply and demand and they will be careful not to infringe them. Detailed and frequently reviewed statistics, precise information about needs and living standards, an honest breakdown of cost prices, the forseeing of all eventualities, the fixing after amicable discussion of a maximum and minimum profit margin, taking into account the risks involved, the organization of regulating societies: these things, roughly speaking, constitute all the measures by means of which they hope to regulate the market.”

19. Stanford, Jim. Economics for Everyone: A Short Guide to the Economics of Capitalism. Ann Arbor: MI., Pluto Press. 2008. Pp. 36

“But capitalism is not the only economic system which relies on markets. Pre-capitalist economies also had markets-where producers could sell excess supplies of agricultural goods or handicrafts, and where exotic commodities (like spices or fabrics) from far-off lands could be purchased.

Most forms of socialism also rely heavily on markets to distribute end products and even, in some cases, to organize investment and production. So markets are not unique to capitalism, and there is nothing inherently capitalist about a market.”

Mutualism is and has always been part of the socialist movement. Mutualists were part of the International Working Man’s Association: “First Congress”—Geneva—Sept. 3-8, 1866

The First Congress of the International took place in Geneva from Sept. 3 to 8, 1866. It was attended by 60 delegates. Although some of these delegates were representatives of the schools of Proudhon, Blanqui, or Bakunin, the general tendency of the gathering was socialist in the Marxian tradition. (fn. Kirkup, A History of Socialism, pg. 169.) http://www.marxists.org/history/usa/eam/fi/firstinternational.html

and “..Bakunin claimed that "Proudhon was the master of us all." According to George Woodcock Kropotkin was one of Proudhon's "confessed disciples."..” Tucker “…called Proudhon "the father of the Anarchistic school of Socialism." [Instead of a Book, p. 381]

And, as we noted above, the socialist historian Carl Launder considered Proudhon a socialist, as did the noted British socialist G.D.H. Cole in his History of Socialist Thought (and in fact called him one of the "major prophets of Socialism."). What about Marx and Engels, …According to Engels, Proudhon was "the Socialist of the small peasant and master-craftsman." [Marx and Engels, Selected Works, p. 260]..” http://www.infoshop.org/faq/append11.html#app3

Marx had some good things to say about Proudhon and his market socialism: "Not only does Proudhon write in the interest of the proletarians, he is himself a proletarian, an ouvrier. His work is a scientific manifesto of the French proletariat..." Marx, Karl. The Holy Family Frankfurt am Main (1844) Chapter 4. Retrieved June 6, 2009 from: http://www.marxists.org/archive/marx/...y/ch04.htm

Marx also makes a section in his Communist Manifesto about market socialism:
He notes its “…great acuteness…” though he critiques it for maintaining markets, competition and money. Marx, Karl. Manifesto of the Communist Party (1848) Chapter 3, Section B. Petty Bourgeois Socialism. Retrieved June 5, 2009 from: http://www.marxists.org/archive/marx/...manifesto/

20. Dolgoff, Sam (editor) Bakunin On Anarchy. New York: Vintage Books., 1972 pp 366 From: On Building the New Social Order By James Guillaume “…the value of the commodities having been established in advance by a contractual agreement between the regional cooperative federations and the various communes..”

21. Ibid. pp 371 “First of course, are medical services, which will be free of charge…” to the members of the community. And pp 369 “…efforts must be made to institute the free distribution of certain essential foods, such as bread, meat, wine, dairy products ect…”

22. Ibid. Please see section B. Exchange pp 366

23. Ibid. Please see section D. Statistics pp 370 For Mutualism please see: Proudhon & His “Bank of the People” by Charles Dana. For the Barcelona Central Labor Bank please see: Dolgoff, Sam. The Anarchist Collectives. Brooklyn, NewYork: Free Life Editions., 1974 pp 68-69

24. Ibid. Please see section B. Exchange pp 366 For Mutualism please see: Vernon, Richard (editor) Proudhon, Joseph-Pierre The Principle of Federation. Canada: University of Toronto Press., 1979 pp 45

“The contract of federation, whose essence is always to reserve more powers for the citizen than for the state, and for municipal and provincial authorities than for the central power.. Establishes weights and measures, prescribes the units, value, and divisions of currency.”

25. “Communist anarchism would be similar to collectivism, i.e. a system of confederations of collectives, communes and distribution centers ("Communal stores"). However, in an anarcho-communist system, prices are not used.” Mackay, Iain; Elkin, Gary; Neal, Dave; Boraas, Ed., An Anarchist FAQ Section I.4.4 ‘What economic decision making criteria could be used in anarchy?’ An Anarchist FAQ Collective: International (1996-present) Retrieved 11-13-09 from: http://www.infoshop.org/faq/secI4.html#seci44

26. Eltzbacher, Paul (editor) The Great Anarchists Ideas and Teachings of Seven Major Thinkers. Mineola, New York: Dover Publications Inc., 2004 pp 167

27. Edwards, Stewart (Editor) Selected Writings of P.-J. Proudhon. Garden City, New York: Anchor Books., 1969 pp 70

“The advocates of mutualism are as familiar as anyone with the laws of supply and demand and they will be careful not to infringe them. Detailed and frequently reviewed statistics, precise information about needs and living standards, an honest breakdown of cost prices, the forseeing of all eventualities, the fixing after amicable discussion of a maximum and minimum profit margin, taking into account the risks involved, the organization of regulating societies: these things, roughly speaking, constitute all the measures by means of which they hope to regulate the market.”

28. Vernon, Richard (editor) Proudhon, Joseph-Pierre The Principle of Federation. Canada: University of Toronto Press., 1979 pp 45

“The contract of federation, whose essence is always to reserve more powers for the citizen than for the state, and for municipal and provincial authorities than for the central power.. Establishes weights and measures, prescribes the units, value, and divisions of currency.”

Regarding the difference between price and value:

Proudhon notes:

"The absolute value of a thing, then, is its cost in time and expense...although it may very in its monetary expression. (price-ed)" Proudhon, Pierre-Joseph. What is Property? New York: Cosmo Classics., 2007 pp 93

And Marx:

"Suppose two equal quantities of socially necessary labour are respectively represented by 1 quarter of wheat and 2 pounds (approximately 1/2 ounce of gold). 2 pounds is the expression in money of the magnitude of the value of the quarter of wheat, or its price. If circumstances now allow this price to be raised to 3 pounds, or compel it to be reduced to 1 pound, then although 1 pound and 3 pounds may be too small or too large to give proper expression to the magnitude of the wheat's value, they are nevertheless prices of wheat..." Marx, Karl. Capital Volume 1 England: Penguin Classics (reprint) 1990 pp 196

What is the difference between value and price?

Value in a general sense is how much physical and mental work went into the good, the cost of materials that went into creating the good and the usefulness of the good.

Price depends on how much physical and mental work went into the good, and the cost of creating the good and supply and demand.

So the value in a general sense sets an average price of a good, while the specific price of the good can change depending on supply and demand.

Also regarding the Mutualist system:

Of course in a Mutualist system the community controlled federation and large industry within the federation would be free from competition unlike the small businesses which would compete within the Mutualist system.

29. Edwards, Stewart (Editor) Selected Writings of P.-J. Proudhon. Garden City, New York: Anchor Books., 1969 pg. 63

“The aim of industrial and agricultural co-operatives, including workers’ associations where these can usefully be formed..is to secure for small and medium-sized industrial entrepeurs, as well as for small-property owners, the benefit of discoveries, machines, improvements and processes which would otherwise be beyond the reach of modest firms and fortunes.”

30. Vernon, Richard (editor) Proudhon, Joseph-Pierre The Principle of Federation. Canada: University of Toronto Press., 1979 pp 70 and 72

“The agro-industrial federation, on the other hand, will tend to foster increasing equality, by organizing all public services in an economical fashion…industries are sisters; they are part of the same body… They should therefore federate… in order to guarantee mutually the conditions of common prosperity…”

31. Dolgoff, Sam (editor) Bakunin On Anarchy. New York: Vintage Books., 1972 pp 366

32. Ibid. pp 366

33. Ibid. pp 367

34. Ibid. pp 366

35. Ibid. pp 366

36. Ibid. pp 368

37. Please see: On Building the New Social Order by James Guillaume in Dolgoff, Sam (editor) Bakunin On Anarchy. New York: Vintage Books., 1972 pp 356-379 and

“Once an individual joins a community or workplace, he or she becomes a "citizen" (for want of a better word) of that association…Instead of capitalist or statist hierarchy, self-management (i.e. direct democracy) would be the guiding principle of the freely joined associations that make up a free society.

This would apply to the federations of associations an anarchist society would need to function….By means of a federalism based on mandates and elections, anarchists ensure that decisions flow from the bottom-up.” McKay, Iain. An Anarchist FAQ: Volume 1 AK Press: Oakland 2008 pp 40 available for free on-line at: http://www.infoshop.org/faq/secA2.html#seca211

38. “Communes and confederations of communes may also create buffer stocks of goods to handle unforeseen changes in demand and supply. This sort of inventory has been used by capitalist countries like the USA to prevent changes in market conditions for agricultural products and other strategic raw materials producing wild spot-price movements and inflation.

Post-Keynesian economist Paul Davidson argued that the stability of commodity prices this produced "was an essential aspect of the unprecedented prosperous economic growth of the world's economy" between 1945 and 1972. US President Nixon dismantled these buffer zone programmes, resulting in "violent commodity price fluctuations" which had serious economic effects. [Controversies in Post-Keynesian Economics, p. 114 and p. 115]” Mackay, Iain; Elkin, Gary; Neal, Dave; Boraas, Ed., An Anarchist FAQ. Section I.4.5 ‘What about "supply and demand"?
?’ An Anarchist FAQ Collective: International (1996-present) Retrieved Sept. 13, 2009 from:
http://www.infoshop.org/faq/secI4.html#seci45

39. “To indicate the relative changes in scarcity of a given good it will be necessary to calculate a "scarcity index." This would inform potential users of this good whether its demand is outstripping its supply so that they may effectively adjust their decisions in light of the decisions of others. This index could be, for example, a percentage figure which indicates the relation of orders placed for a commodity to the amount actually produced.

For example, a good which has a demand higher than its supply would have an index value of 101% or higher. This value would inform potential users to start looking for substitutes for it or to economise on its use.

Such a scarcity figure would exist for each collective as well as (possibly) a generalised figure for the industry as a whole on a regional, "national," etc. level.” Mackay, Iain; Elkin, Gary; Neal, Dave; Boraas, Ed., An Anarchist FAQ. Section I.4.5 ‘What about "supply and demand"?
?’ An Anarchist FAQ Collective: International (1996-present) Retrieved Sept. 13, 2009 from:
http://www.infoshop.org/faq/secI4.html#seci45

40. For libertarianism (aka. Anarchism) and direct democracy in general please see: Op. Cite. McKay An Anarchist FAQ. pp 40 Available for free on-line at:
http://www.infoshop.org/faq/secA2.html#seca211

41. Ibid. McKay pp 40 available for free on-line at: http://www.infoshop.org/faq/secA2.html#seca211 and Eltzbacher, Paul (editor) The Great Anarchists Ideas and Teachings of Seven Major Thinkers. Mineola, New York: Dover Publications Inc., 2004 pp 167

42. “Society cannot forcibly prevent any man or woman so devoid of personal dignity as to place him- or herself in voluntary servitude to another individual…” Dolgoff, Sam (editor) Bakunin On Anarchy. New York: Vintage Books., 1972 pp 81

“You are free to accept or refuse.” to live in a Libertarian Mutualist society. Proudhon, Pierre-Joseph General Idea of the Revolution in the Nineteenth Century. New York: Cosmo Classics., 2007 pp 295

“This is not to say that after a revolution … capitalist communities would not exist. Far from it. If a group of people wanted to form such a system then they could, just as we would expect a community which supported state socialism or theocracy to live under that regime.

Such enclaves of hierarchy would exist simply because it is unlikely that everyone on the planet, or even in a given geographical area, will become anarchists all at the same time. The key thing to remember is that no such system would be anarchist…”
McKay, Iain. An Anarchist FAQ: Volume 1 AK Press: Oakland. 2008 pp 77 Available for free on-line at: http://www.infoshop.org/faq/secA3.html#seca38

Nicholas Evans prefers peaceful and/or gradual change