F.Hayek: The Road to Serfdom, Book Review Example

The Road to Serfdom by Friedrich Hayek is among the most crucial books concerning the philosophy of economics.  The thesis of the book which is quite provocative, yet conceptualizes the idea of capitalism, its flaws and predicts the future challenges. Hayek confronts the problems taking place in the West, particularly in the United States and United Kingdom and how liberals have, throughout time, abandoned the importance of individual liberty. This point is very much the road to planning, something that will deprive people of personal choice when it comes to spending. In addition, this book brings sheds a light into our contemporary civilization and warning us that if we continue to distant individualism from our lives then we will make an enormous mistake that will leave a permanent stain in the history of human civilization. This is where he connects his point with individualism: he says, ” Individualism has a bad name today and the term has to be connected with egoism and selfishness.” He adds, ” But the individualism of which we speak in contrast to socialism and all other forms of collectivism has no necessary connection with these and only gradually in the course of this book shall we be able to make clear the clear contrast between the two opposing principle (page 68).” He also makes a good commentary regarding the ways in which human beings can be helpful as a whole and that is to exercise their liberal laws as frequently as possible. In all, this book as a whole sheds a light on the issues of liberty and individuality that, if avoided, could lead to significant and irrevocable problems, and also the problem of laws and rights and how accepting planned economy could inevitably lead to bellicose regime by the government and coercion will be unfortunately  the ultimate solution to any economical problem.

The first fundamental concept that Hayek brings forth is the concept of ‘liberty’  and how people and governments perceive it. Hayek says, “The worst sufferer in this respect is the word ‘liberty’. It is a word used as freely in totalitarian states as elsewhere. Indeed, it could almost be said that wherever liberty as we know it has been destroyed, this has been done in the name of some new freedom promised to the people”(47) Hayek here emphasizes the usage and over-usage of the word liberty. Many individuals in this world, systems, and groups can claim that they are being, in utmost honest way possible, that they are libertarian. Many totalitarian and socialist government regimes come to believe that what they have is “collective freedom” which is perhaps the most problematic claim any government in the world can make.  The reason for it is that regimes like totalitarianism, socialism, dictatorship and such all exclude the fundamental meaning and usage of the term commonly known as “individualism” which ultimately leads to freedom of will, freedom of speech, and freedom of voice to speak up for any concerns. When one of these regimes are established and are in total power, they can actually be quite successful in silencing the voices of many individuals. The populace in that habitat fears for his/her life and does not voice concern. Then the minority is left. The latter in this condition, are the very few and fearless ones try to voice their concerns about any personal or general issues they have.  In this case they are silenced in order not to attempt to weaken the regime. This is where the main problem arises  about democracy. Here, too, these regimes claim that these two concepts can work together. Hayek says, “They don’t realize that  democratic socialism, the great utopia of  the last few generations, is not only unachievable , but that to strive for it produces something utterly different- the very destruction of freedom itself”(page 36). Hayek here dismisses the bogus idea of these dictatorial, socialist, and totalitarian regimes that those two paradoxical terms and have coexistence. A simple concept like competition, as Hayek puts it, is almost impossible to have in those regimes.  Hayek says, “The successful use of competition does not preclude some types of government interference”  (page 38). Competition, being one of the most fundamental principles in democracy is unable to sustain itself in regimes like that. It is quite limited and if there is any, it is not made possible with people but by the government’s interference. Individualism, here can be seen as the main component for competition since anyone and everyone can be involved and compete simultaneously without restrictions.Here’s where the concept of coercion comes about which Hayek speaks of a great deal.

In order to have a healthy government and a healthy democratic regime with ongoing competition one needs to have the power dispersed in a way that it is not monopolized and secluded for only a few people. Hayek says, “In the hands of private individuals, what is called economic power can be an instrument of coercion, but it is never control over the whole life of a person.” In addition to that, Hayek says, ” But when economic power is centralized as an instrument of political power it creates a degree of dependence scarcely distinguishable from slavery” (page 34). This is perhaps the most important concept that this book carries in itself. That is why the book is calledThe Road to Serfdom since concepts of this sort can actually lead to serfdom.  This quoted part talks about the serfdom and one of the main paths of getting there. It is important to remember that economic power, controlled by a few individuals only represents the point of view of those few individuals. The public does not get to say its share and if they do then the non-enjoyable solutions comes along- coercion. Now the coercion does not have to be strictly physical, but it can also be personal and/ or economical. Upon addressing these issues one can get locked up or can be indirectly hurt- with financial difficulties. The excuse for this can only be that this is a necessity and  it is for the betterment of the “collective.” Hayek says, ” Make this argument sound plausible, the word ‘freedom’ was subjected to a subtle change in meaning. The word had formerly meant freedom from coercion, from the arbitrary power of other men.” (page 39) Also, he adds that that freedom is another word for power and wealth. This concept is quite explanatory: it explains that by claiming freedom they limit the power of all. In sum, coercion can become a subject of tool for these regimes if needed.

In sum, Hayek brilliantly speaks of issues such as the liberty, individualism, and coercion. Liberty can be used in many cases and in many regimes but cannot coexist with regimes such as totalitarianism, dictatorship, or socialism. In addition, individualism cannot be existent in any of those regimes since their main propaganda is “collectivism.” Lastly, the concept of coercion can be used by those regimes if needed which will become a tool for solving economic and minority issues.