REPORT TO THE GENERAL ASSEMBLY OF THE LANDES IN 1849 PERTAINING TO THE QUESTION OF COLLECTIVE PROPERTY

It is dangerous to believe that this right should be removed in the face of the legislator’s wishes.

Frédéric Bastiat
Complete Works, Volume 7, pages 263 to 270 (in French)
1849

The right in question in today’s quote are the property rights. This report to the Conseil Général of the Landes pertains to the issue of local government real estate. It sums up and analyses a debate taking place between those who would like to see a privatisation of local government property and those who would like to prohibit it, or even revert it by alienating private properties. Frédéric Bastiat shows us that this debate is occuring by ignoring property rights. Why should the legislator take side in favour of one or the other solution? If a local government needs some property for the common good, let it purchase it. If a local government owns some real estate that would be put to better use by private actors, let it sell or lease it out. The legislation is not legitimate to decide on one or the other side, owners (public or private) are. Interestingly, Frédéric Bastiat suggests a simple solution of temporary veto right granted to the General Assembly to avoid that public property be squandered by an ill-advised local government.

Beyond the recognition of property rights that are here discussed, today’s quote is of a more universal reach and pertain to the risk of falling into the trap of dictatorship of the majority. Indeed, if the legislator passes a law while ignoring well established rights, that law will not be legitimate. This is the theme that will be developed later by Friedrich Hayek or the Public Choice school aiming at establishing a liberal constitution that would circumscribe the attributions of the legislator to its competence rather than to the majority of the day.

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