In article <[EMAIL PROTECTED]>, Bill Anderson
<[EMAIL PROTECTED]> writes
>
>I think we have a disconnect in the term "free market" fro what I've
>seen of the discussion (limited view I've seen of it. I've been quite
>busy remodelling my house of late). I, at least, consider a free market
>to be one without government regulation. Now it certainly can be argued
>that incorporation is indeed a violation of free market economics as it
>provides a protected class of businesses - those who incorporate vs.
>those who do not.
>
>To that argument, I would agree. The corporation is itself a violation
>of free market economics. It is not a natural market creation, but a
>government imposed one. In many ways the corporation is to the market
>what government regulated marriage is to the market of mates and
>"significant others".
>
>
>Cheers,
>Bill
>
>
>

Actually, this wasn't what I was referring to when I referred to US
medicine as "corporatised" - I meant "corporatism" in the broader sense
of state intervention in the interest of specific groups (in this case
the medical profession).

However, you are indeed correct. Limited liability is indeed an unjust
privilege and intervention in the market. It's introduction was opposed,
and its effects predicted, by free marketeers in the 19th century. The
brief bibliography below might be helpful to those interested in this
question:


THE CRITIQUE OF LIMITED LIABILITY: A SELECTED BIBLIOGRAPHY

By Dr. Chris R. Tame

This brief bibliography does not include the important contributions to
the subject by J. S. Mill, Leoni Levi, Robert Lowe [Viscount
Sherbrooke], Alfred Marshall, Thomas Tooke, and many
others, including the debate in Parliament.


Bryant, Arthur (1940), "Shooting Niagara", Idem, The English Saga
(1840-1940), Collins with Eyre & Spottiswoode, London, pp. 187-231 

Dabney, Robert L[ewis]. [1820-1898],  Discussions: Philosophical, Vol.
III, Presbyterian Committee of Publications, Richmond, Virginia, 1892,
p. 392 ff.; reprinted in Selected Discussions of Dr. R. L. Dabney:
Evangelical, Theological, Philsophical, Secular, 5 vols. in 4 vol set,
Sprinkle Publications, P. O. Box 1094, Harrisonburg, Virginia 22801,
1991 (NB: Note that a partial reprint of this work, edited by C. R.
Vaughan, and published by Ross House Books,  Harrisonburg, Virginia, in
1980, omits all of Dabneyâs important politico-economic writing, which
the cretinous editor feels is insignificant, in favour of absurd
theological writings). Dabney was not a libertarian, indeed he was an
defender of slavery, but his analysis (although not his proposed
alternative) was sound.

Dun, Frank van (March 2003), "Is the Corporation a Free Market
Instituition?", The Freeman (Foundation for Economic Education)
(Foundation for Economic Education), 53(4), pp. 29-33; at:
http://www.fee.org/~web/0303iolpdf/feat7.pdf

Barry, Norman (March 2003), "The Theory of the Corporation", The Freeman
(Foundation for Economic Education), 53(4), pp. 22-26; at:
http://www.fee.org/~web/0303iolpdf/feat5.pdf
A reply to Dun.
***


McCulloch, John Ramsay [1789-1864], (16 February 1825), "On Companies",
Scotsman, p. 110
(July 1836), "Joint-Stock Banks and Companies", Edinburgh Review, 63,
pp. 419-41
(1853-60), "Partnership, Limited and Unlimited Liability", Encyclopaedia
Britannica, Vol. 17, 8th edn, pp. 313-23; reprinted in Idem, The
Collected Works of J. R. McCulloch, Vol. 7, Routledge/Thoemmes Presss,
Bristol, 1995
Considerations on Partnerships with Limited Liability, Longman, Brown,
Green & Longmans, London, 1856. Partly a reprint of articles from the
Commercial Dictionary of 1856. 
Principles of Political Economy, .., 5th edn, p. 361
The Literature of Political Economy, â, 1845, pp. 11-2
A Dictionary of Commerce and Commercial Navigation, â, 1971 edn, pp.
402-6

North, Gary, An Introduction to Christian Economics, Craig Press,
Nutley, New Jersey, 1973, pp. 361-386

Rushdoony, Rousas J. (1970), "Limited Liability and Unlimited Money",
Idem, Idem, The Politics of Guilt and Pity, The Craig Press, Nutley, New
Jersey, pp. 254-62 


Sweet, George, Limited Liability: Observations on the Existing and the
Proposed Rules for Ascertaining the Debtor in Mercantile Dealings, H.
Sweet, London, 1855



SOME HISTORICAL WORKS ABOUT LIMITED LIABILITY

Amsler, Christine E, Bartlett, Robin L. & Bolton, Craig J. (Winter
1981), "Thoughts of Some British Economists on Early Limited Liability
and Corporate Legislation", History of Political Economy, 13(4), pp.
774-811

Hadden, Tom, Company Law and Capitalism, Weidenfeld & Nicolson, London,
1972; 2nd edn, 1977 

Orhnial Tony, ed., Limited Liability and the Corporation, Croom Helm,
London, 
1982 

Shannon, H. A.  (1931), "The Coming of General Limited Liability",
Economic History, II(6); reprinted in Carus-Wilson, E. M., ed., Essays
in Economic History, Edward Arnold, London, 1954, pp. 358-379 

ENDS

Dr. Chris R. Tame, Director
The Libertarian Alliance
Suite 35
2 Lansdowne Row
Mayfair
London
W1J 6HL

Tel: 0870 2421712
Email: [EMAIL PROTECTED]                       

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"The secret of Happiness is Freedom, and the secret of Freedom is Courage".
Pericles' Funeral Oration (431BC)     

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