Abstract

The purpose of the present article is to reflect on the intellectual origin of the close relationship between Austrian economics and libertarian philosophy. It suggests that the relationship in question is grounded in the fact that personal liberty and individual initiative, in addition to being significant moral values, are also crucial reservoirs of organizational efficiency and developmental drive. This implies that libertarian values can be disseminated, promoted, and implemented particularly effectively as a result of utilizing theoretical insights of the Austrian school, which is singularly committed to explaining the efficiency-enhancing features of the unhampered market process and entrepreneurial rivalry. In this connection, special attention is devoted to the liberty-promoting potential of Austrian contributions to the fields of capital, entrepreneurship, and the firm.