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The libertarian who is happily engaged expounding his political philosophy in the full glory of his convictions is almost sure to be brought short by one unfailing gambit of the statist. As the libertarian is denouncing public education or the Post Office, or refers to taxation as legalized robbery, the statist invariably challenges. “Well, then are you an anarchist?” The libertarian is reduced to sputtering “No, no, of course I’m not an anarchist.” “Well, then, what governmental measures do you favor? What type of taxes do you wish to impose?” The statist has irretrievably gained the offensive, and, having no answer to the first question, the libertarian finds himself surrendering his case.

Thus, the libertarian will usually reply: “Well, I believe in a limited government, the government being limited to the defense of the person or property or the individual against invasion by force or fraud.” I have tried to show in my article, “The Real Aggressor” in the April 1954 Faith and Freedom that this leaves the conservative helpless before the argument “necessary for defense,” when it is used for gigantic measures of statism and bloodshed. There are other consequences equally or more grave. The statist can pursue the matter further: “If you grant that it is legitimate for people to band together and allow the State to coerce individuals to pay taxes for a certain service—”defense”—why is it not equally moral and legitimate for people to join in a similar way and allow the State the right to provide other services—such as post offices, “welfare,” steel, power, etc.? If a State supported by a majority can morally do one, why not morally do the others?” I confess that I see no answer to this question. If it is proper and legitimate to coerce an unwilling Henry Thoreau into paying taxes for his own “protection” to a coercive state monopoly, I see no reason why it should not be equally proper to force him to pay the State for any other services, whether they be groceries, charity, newspapers, or steel. We are left to conclude that the pure libertarian must advocate a society where an individual may voluntarily support none or any police or judicial agency that he deems to be efficient and worthy of his custom.

I do not here intend to engage in a detailed exposition of this system, but only to answer the question, is this anarchism? This seemingly simple question is actually a very difficult one to answer in a sentence, or in a brief yes-or-no reply. In the first place, there is no accepted meaning to the word “anarchism” itself. The average person may think he knows what it means, especially that it is bad, but actually he does not. In that sense, the word has become something like the lamented word “liberal,” except that the latter has “good” connotations in the emotions of the average man. The almost insuperable distortions and confusions have come both from the opponents and the adherents of anarchism. The former have completely distorted anarchist tenets and made various fallacious charges, while the latter have been split into numerous warring camps with political philosophies that are literally as far apart as communism and individualism. The situation is further confused by the fact that, often, the various anarchist groups themselves did not recognize the enormous ideological conflict between them.

One very popular charge against anarchism is that it “means chaos.” Whether a specific type of anarchism would lead to “chaos” is a matter for analysis; no anarchist, however, ever deliberately wanted to bring about chaos. Whatever else he or she may have been, no anarchist has ever deliberately willed chaos or world destruction. Indeed, anarchists have always believed that the establishment of their system would eliminate the chaotic elements now troubling the world. One amusing incident, illuminating this misconception, occurred after the end of the war when a young enthusiast for world government wrote a book entitled One World or Anarchy, and Canada’s leading anarchist shot back with a work entitled Anarchy or Chaos.

The major difficulty in any analysis of anarchism is that the term covers extremely conflicting doctrines. The root of the word comes from the term anarche, meaning opposition to authority or commands. This is broad enough to cover a host of different political doctrines. Generally these doctrines have been lumped together as “anarchist” because of their common hostility to the existence of the State, the coercive monopolist of force and authority. Anarchism arose in the 19th century, and since then the most active and dominant anarchist doctrine has been that of “anarchist communism.” This is an apt tern for a doctrine which has also been called “collectivist anarchism,” “anarcho-syndicalism,” and “libertarian communism.” We may term this set of related doctrines “left-wing anarchism.” Anarchist communism is primarily of Russian origin, forged by Prince Peter Kropotkin and Michael Bakunin, and it is this form that has connoted “anarchism” throughout the continent of Europe.

The principal feature of anarchist communism is that it attacks private property just as vigorously as it attacks the State. Capitalism is considered as much of a tyranny, “in the economic realm,” as the State in the political realm. The left-wing anarchist hates capitalism and private property with perhaps even more fervor than does the socialist or Communist. Like the Marxists, the left-wing anarchist is convinced that the capitalists exploit and dominate the workers, and also that the landlords invariably are exploiting peasants. The economic views of the anarchists present them with a crucial dilemma, the pons asinorum of left-wing anarchy: how can capitalism and private property be abolished, while the State is abolished at the same time? The socialists proclaim the glory of the State, and the use of the State to abolish private property—for them the dilemma does not exist. The orthodox Marxist Communist, who pays lip service to the ideal of left-wing anarchy, resolves the dilemma by use of the Hegelian dialectic: that mysterious process by which something is converted into its opposite. The Marxists would enlarge the State to the maximum and abolish capitalism, and then sit back confidently to wait upon the State’s “withering away.”

The spurious logic of the dialectic is not open to the left-wing anarchists, who wish to abolish the State and capitalism simultaneously. The nearest those anarchists have come to resolving the problem has been to uphold syndicalism as the ideal. In syndicalism, each group of workers and peasants is supposed to own its means of production in common, and plan for itself, while cooperating with other collectives and communes. Logical analysis of these schemes would readily show that the whole program is nonsense. Either of two things would occur: one central agency would plan for and direct the various subgroups, or the collectives themselves would be really autonomous. But the crucial question is whether these agencies would be empowered to use force to put their decisions into effect. All of the left-wing anarchists have agreed that force is necessary against recalcitrants. But then the first possibility means nothing more nor less than Communism, while the second leads to a real chaos of diverse and clashing Communisms, that would probably lead finally to some central Communism after a period of social war. Thus, left-wing anarchism must in practice signify either regular Communism or a true chaos of communistic syndics. In both cases, the actual result must be that the State is reestablished under another name. It is the tragic irony of left-wing anarchism that, despite the hopes of its supporters, it is not really anarchism at all. It is either Communism or chaos.

It is no wonder therefore that the term “anarchism” has received a bad press. The leading anarchists, particularly in Europe, have always been of the left-wing variety, and today the anarchists are exclusively in the left-wing camp. Add to that the tradition of revolutionary violence stemming from European conditions, and it is little wonder that anarchism is discredited. Anarchism was politically very powerful in Spain, and during the Spanish Civil War, anarchists established communes and collectives wielding coercive authority. One of their first steps was to abolish the use of money on the pain of a death penalty. It is obvious that the supposed anarchist hatred of coercion had gone very much awry. The reason was the insoluble contradiction between the antistate and the antiproperty tenets of left-wing anarchy.

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From Mises.org, here.