The Theory of Market Failure explores how markets respond, both in theory and in practice, to public‐goods and externality problems. Most of the articles in this anthology find that markets often meet the demand for public goods in a variety of cases where existing theory would lead one to expect market failure. Moreover, upon reflection, existing theory reveals itself to be in need of supplementation by a more realistic picture of how flexible markets (and evolving systems of property rights) respond (...) to the demand for public goods and for the means of internalizing externalities. (shrink)

Bioethics, Volume 36, Issue 9, Page 1001-1002, November 2022.

The provision of public goods is generally assumed to require compulsion by the state. Individuals may want them, but they have no incentive to contribute voluntarily to their production. David Schmidtz proposes ?assurance contracts? as a way around the problem of ?wasted? contributions. However, such contracts do not eliminate the incentive to free ride on public goods. Empirical evidence suggests that enforced contributions may be a more effective way of combatting this problem than assurance contracts. More generally, we (...) need to investigate different kinds of moral motivation to see how they may elicit voluntary contributions of public goods. (shrink)

The “ultimate objective” of this book, says David Schmidtz, “is to examine the degree to which being moral is co-extensive with being rational”. For Schmidtz, an “end” gives us a reason for action provided that its pursuit is not undercut by some other end. Morality has a two-part structure. A person’s goal is “moral” if “pursuing it helps [her] to develop in a reflectively rational way,” provided its pursuit does not violate “interpersonal moral constraints”. Interpersonal constraints are (...) imposed by “collectively rational” social institutions, institutions that “make people in general better off by nonexploitative means”. Schmidtz’s view is a form of “actualism.” Our reasons are given by our actual goals, subject to the qualification mentioned above, and moral constraints are given by actually existing collectively rational institutions. Schmidtz concedes that this framework cannot guarantee that it is rational for every agent to be moral, and he concedes that his moral theory might be incomplete. Nevertheless, he argues, “morality and rationality make room for each other in a variety of ways”. (shrink)

In ‘Choosing Ends’, Schmidtz defines a new kind of end to join the familiar categories of final, instrumental and constitutive ends: namely, maieutic ends. A maieutic end is an end which ‘gives birth to’ another end. For example, Kate wants to have a goal in life, in particular a career; so having a career is a maieutic end which ‘gives birth to’ her career in medicine. ….

What is justice? Questions of justice are questions about what people are due. However, what that means in practice depends on the context in which the question is raised. Depending on context, the formal question of what people are due is answered by principles of desert, reciprocity, equality, or need. Justice, therefore, is a constellation of elements that exhibit a degree of integration and unity. Nonetheless, the integrity of justice is limited, in a way that is akin to the integrity (...) of a neighborhood rather than that of a building. A theory of justice offers individuals a map of that neighborhood, within which they can explore just what elements amount to justice. (shrink)

Species egalitarianism is the view that all species have equal moral standing. To have moral standing is, at a minimum, to command respect, to be something more than a mere thing. Is there any reason to believe that all species have moral standing in even this most minimal sense? If so — that is, if all species command respect — is there any reason to believe they all command equal respect. The article summarises critical responses to Paul Taylor’s argument for (...) species egalitarianism, then explains why other species command our respect but also why they do not command equal respect. The intuition that we should have respect for nature is part of what motivates people to embrace species egalitarianism, but one need not be a species egalitarian to have respect for nature. The article closes by questioning whether species egalitarianism is even compatible with respect for nature. (shrink)

In his absorbing book Art as Performance, David Davies argues that artworks should be identified, not with artistic products such as paintings or novels, but instead with the artistic actions or processes that produced such items. Such a view had an earlier incarnation in Currie’s widely criticized “action type hypothesis”, but Davies argues that it is instead action tokens rather than types with which artworks should be identified. This rich and complex work repays the closest study in spite of (...) some basic objections to be raised concerning Davies’s central concept of an action token. (shrink)

Our modern observation-based approaches to the study of the human condition were shaped by the Scottish Enlightenment. Political Economy emerged as a discipline of its own in the nineteenth century, then fragmented further around the dawn of the twentieth century. Today, we see Political Economy’s pieces being reassembled and reunited with their philosophical roots. This issue pauses to reflect on the history of this new but also old field of study.

When we’re trying to articulate principles of justice that we have reason to take seriously in a world like ours, one way to start is with an understanding of what our world is like, and of which institutional frameworks promote our thriving in communities and which do not. If we start this way, we can sort out alleged principles of justice by asking which ones license mutual expectations that promote our thriving and which ones do otherwise. This is an essay (...) in the how and why of nonideal theory: in particular, how and why principles of property come first and principles of justice second. Ownership conventions, and property law as it develops under the pressures of case by case dispute resolution, tend to become touchstones for conflict mediation down through generations. They may be imperfect, retaining vestiges of adaptations to ancient problems that no longer exist, yet still they work, coordinating expectations so as to make it easier for people to live well together. A priori reasons for endorsing principles of justice generally are not good enough. A good enough reason would be something like this: to endorse this way of applying this principle in this kind of circumstance is to support institutional frameworks that position us to play positive sum games. (shrink)

I remember being a child, wondering where I would be—wondering who I would be—when the year 2000 arrived. I hoped I would live that long. I hoped I would be in reasonable health. I would not have guessed I would have a white collar job, or that I would live in the United States. I would have laughed if you had told me the new millennium would find me giving a public lecture on the meaning of life. But that is (...) life, unfolding as it does, meaning whatever it means. I am grateful to be here. I also am simply amazed. I am forty-four. Not old, but old enough that friends and family are beginning to provide more occasions for funerals than for weddings. Old enough to love life for what it is. Old enough to see that it has meaning, even while seeing that it has less than I might wish. I am an analytic philosopher. Analytic philosophers are trained to spot weaknesses in arguments. Unfortunately, that sort of training does not prepare us for questions about life’s meaning. A perfect argument, Robert Nozick suggests in jest, would leave readers with no choice but to agree with the conclusion.1 When we think about life’s meaning, though, we are not trying to win a debate. Success in grappling with the question is less like articulating and defending a position and more like growing up.2 Perhaps that is why academics have written so little on the meaning of life, despite it being arguably the central topic of philosophy.3 Speaking to analytic philosophers about life’s meaning would be like stepping into a boxing ring in search of a dance partner. Or so we fear. Perhaps there is no excuse for venturing into an area where we cannot meet our usual standards. More likely, one way of respecting philosophical standards is by not trying to apply them when they are not apt, thus refusing to let them become a straitjacket—a caricature of intellectual rigor. So, I do not here seek the kind of argumentative closure that we normally think of as the hallmark of success in analytic philosophy.. (shrink)

This essay introduces basic issues that make up the topic of freedom of thought, including newly emerging issues raised by the current proliferation of Internet search algorithms.

This volume collects thirteen of David Schmidtz's essays on the question of what it takes to live a good life, given that we live in a social and natural world. Part One defends a non-maximizing conception of rational choice, explains how even ultimate goals can be rationally chosen, defends the rationality of concern and regard for others (even to the point of being willing to die for a cause), and explains why decision theory is necessarily incomplete as a (...) tool for addressing such issues. Part Two uses the tools of analytic philosophy to explain what we can do to be deserving, what is wrong with the idea that we ought to do as much good as we can, why mutual aid is good, but why the welfare state does not work as a way of institutionalizing mutual aid, and why transferring wealth from those who need it less to those who need it more can be a bad idea even from a utilitarian perspective. Most ambitiously, Part Two offers an overarching, pluralistic moral theory that defines the nature and limits of our obligations to each other and to our individual selves. Part Three discusses the history and economic logic of alternative property institutions, both private and communal, and explains why economic logic is an indispensable tool in the field of environmental conflict resolution. In the final essay, Schmidtz brings the volume full circle by considering the nature and limits of our obligations to nonhuman species, and how the status of nonhuman species ought to enter into our deliberations about what sort of life is worth living. (shrink)

This chapter contains sections titled: From Metaphysics to Psychology Shackled by Social Pressure Shackled by Self‐Deception Shackled by Discontent Solutions Shackled by the Dearth of Shackles Discussion Acknowledgments.

We have taken the “why be moral?” question so seriously for so long. It suggests that we lack faith in the rationality of morality. The relative infrequency with which we ask “why be prudent?” suggests that we have no corresponding lack of faith in the rationality of prudence. Indeed, we have so much faith in the rationality of prudence that to question it by asking “why be prudent?” sounds like a joke. Nevertheless, our reasons and motives to be prudent are (...) every bit as contingent as our reasons and motives to be moral–or so I argue in Sections II and III.A second theme of this essay is thatconflictbetween morality and self-interest is contingent as well. The moral perspective, as characterized in Section IV, does not require a universal regard for others, whereas the kind of self-interested perspective characterized in Section III does not require a wholesale disregard for others. Both perspectives make room for a deep although not universal other-regard–or so I argue in Section V. (shrink)

It is widely held that the proper role of criminal punishment is to ensure in a cost-efficient manner that criminal laws will be obeyed. As James Buchanan puts it,the reason we have courts is not that we want people to be convicted of crimes but that we want people not to commit them. The whole procedure of the law is one, essentially, of threatening people with unpleasant consequences if they do things which are regarded as objectionable.According to the deterrence theory (...) of punishment, which I will here accept without argument in order to tease out some of its implications, legislators must be aware of opportunities to maximize the threat value of criminal prohibitions. By maximizing deterrence, we minimize the cost of crime. On the other hand, creating these threats, and carrying them out, is also costly. So we also wish to minimize the cost of avoiding crime. An efficient deterrent, therefore, will be one which minimizes the sum of the costs of crime and crime avoidance, where ‘cost’ is to be broadly construed. (shrink)

According to conservationism, scarce and precious resources should be conserved and used wisely. According to preservation ethics, we should not think of wilderness as merely a resource. Wilderness commands reverence in a way mere resources do not. Each philosophy, I argue, can fail by its own lights, because trying to put the principles of conservationism or preservationism into institutional practice can have results that are the opposite of what the respective philosophies tell us we ought to be trying to achieve. (...) For example, if the wisest use of South American rainforests is no use at all, then in that case conservationism by its own lights defers to preservationism. Analogously, if, when deprived of the option of preserving elephants as a resource, Africans respond by not preserving elephants at all, then in that case preservationism by its own lights defers to conservationism. (shrink)

Which social arrangements have a history of fostering progress and prosperity? One quick answer, falsely attributed to Adam Smith, holds that we are guided as if by an invisible hand to do what builds the wealth of nations. A more sober answer, closer to what Smith said and believed, is thatifthe right framework of rules—plus decent officiating—steers us away from buying and selling monopoly privilege and steers us toward being valuable to the people around us, we indeed will be part (...) of the engine that drives human progress and the wealth of nations. (shrink)

Our days are a vast, intricate, evolving dance of mutual understandings. We stop at a traffic light, offer a plastic card as payment for a meal, leave our weapons at home, or enter a voting booth. We live and work in close proximity, at high speed, with few collisions: on our roads and in our neighborhoods, places of worship, and places of business. Somehow, having all those people around is more liberating than stifling. The secret is that we know roughly (...) what to expect from each other. Knowing what to expect enables us to adapt to each other. Not being obliged to conform to expectations—being free to test the previously untested— is likewise a great benefit. The two benefits seem mutually exclusive, yet property rights, combined with freedom of contract, enable us to reap both at once. We can rely on being able to go to market and find someone selling cauliflower at an affordable price. We can also rely on being able to go to market and find someone rendering obsolete what a few years ago had been cutting-edge technology. We make progress by testing what has not previously been tested. We experiment. One problem with experiments is: many of them don’t work.1 Or, the ideas being tested turn out to be bad ideas. Thus a successful society encourages people not only to experiment, but also to shut down experiments whose inspiration proves unsound. What kind of framework encourages experimentation without at the same time perpetuating bad ideas? Here is one hypothesis: in societies that sustain progress over long periods, people are free to experiment at their own expense and free from having to pay for other people’s bad ideas. This is the true test of a system of property. It is natural to assume instead that the true test of a system of property is a question of whether the system is just. That is, philosophers should theorize about justice first, and only then begin to theorize about what can legitimately become a person’s property. I have become skeptical about this. (shrink)

A philosopher might presume that principles of justice somehow are more fundamental than principles of conflict resolution. But moral philosophy done well is neither as autonomous as that, nor as naïve. Moral philosophy done well tracks truth about the human condition, which means it tracks truth about what it actually takes in the real world for people to live in peace. Accordingly, the relationship between justice and conflict resolution is an evolving process of mutual specification, anchored to facts about what (...) helps people get along and make progress. If we want to understand what people have reason to expect from each other and to regard as their due, we would do well to start by learning how people avoid and resolve conflict. (shrink)

Poverty can be an ephemeral life stage of a young person whose skill sets will become more valuable with training and experience, a personal setback such as losing a job, or a systemic affliction that puts a whole community in danger of widespread famine. A common theme of this volume’s essays is that we cannot understand poverty and famine unless we acknowledge that poor people are not mouths to be fed but agents. Amartya Sen got this right, crediting Adam Smith (...) for the seeds of his insight. What has been enabling people by the billions since Smith’s time to work their way out of poverty? (shrink)