20 books must read

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TOP TWENTY BOOKS YOU MUST READ BEFORE YOU DIE

20 David FriedmanThe Machinery o Freedom: A Guideto Radical Capitalism (1973)David D. Friedman is the son o Mil-ton Freidman, and holds similar politicalviews, but in a more radical orm. Edu-cated as a physicist, he currently special-izes in an economic approach to legal is-

sues. He is also a passionate recreationalmedievalist (see his website:http://www.davidd riedman.com/). In his Machinery o Freedom, Friedman o ers a range o 48interesting and provocative short essayson libertarian themes. These range romde ences o private property and anarcho-capitalism, through the exploration o pri-vate law en orcement in medieval Iceland,to a discussion o vouchers and an en-gagement with William F. Buckleys viewsabout drugs (in Is William F. Buckley a

Contagious Disease?). Friedman is smart,and his book is ull o arresting ideas. Hemixes discussion o principles and idealcases with the advocacy o specifc re orms

which would bring our existing society closer to a libertarian one. Machinery o Freedomsets out to persuade you that alibertarian society would be both ree andattractive, that the institutions o privateproperty are the machinery o reedom,making it possible, in a complicated andinterdependent world, or each person topursue his own li e as he sees ftand it isan enjoyable and stimulating read even i you do not agree with him.

Jeremy Shearmur

19 John Stuart MillOn Liberty (1859)The elegant and lucid style o On Liberty

well repays the intellectual e ort expendedin comprehending Mills argument. As a

work o practical philosophy, the only kind worth reading, it sends us a clear messageacross the 150-year interval.

Mills thesis was that governmentshould only inter ere in individual liberty toprevent damage to others. He asserted thatOver himsel , over his own body and mind,the individual is sovereign. The price orgovernments outing this principle is loss o individual reedom, a cherished right. This,in turn, diminishes the diversity o thoughtand action that provides the vitality o any community.

It is not anci ul to suggest that the work o Mill and like-minded libertarian philoso-

phers secured Britain rom the later totali-tarian excesses o Nazism and Marxism. Butthe struggle or reedom is never done. Millobserved what the EU has orgotten: thetendency o Europe, even then, to ossi y likeRussia. Current religious violence gives his

words on tolerance an amplifed resonance. Australia can also learn. Our tri-level

bureaucracies are bloated. At one extreme,they prescribe the temperature o our dish-

water. At the other, with spy satellites andin ormers, they conduct Orwellian policeraids on armers. Some even think that na-tional identity cards and controls on eatingare excellent ideas.

Mill admits the di fculty o drawing aprecise boundary on government. Many o our politicians and sel -styled intellectualsno longer recognise that such a line exists.

Jim Hoggett

Top 20 books you must read

be ore you die*

*only the ree-market ones

The IPA Review ranks the books that deserve to be the most infuential.


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18 John Locke The Two Treatises o Government (c. 1680)

John Locke, one o the greatest Euro-pean philosophers o the seventeenthcentury, articulated one o the frstlogical justifcations or what we wouldnow call the liberal model o govern-ment. Having clearly articulated theempiricist approach to the gathering o knowledge in An Essay Concerning Hu-man Understanding in 1680, his TwoTreatises o Government built upon thatphilosophical ramework to considerpolitical economy.

His First Treatise is now un ortu-nately dismissed as peripheral to hisgroundbreaking Second, but it hasmuch contemporary relevance. Lockeviciously attacks the theories o thenow obscure Sir Robert Filmer, whoclaimed that men are not naturally reeand there ore that absolute monarchy isthe only legitimate government. Suchthinking has to our great discredit notentirely been vanquishedmodern pa-ternalistic government assumes that it

has an inherent right and responsibility to manage citizens or their own ben-eft.

But it is the Second Treatise or which Locke is most amous. In it, hepresents a systematic de ence o indi-vidual liberty. Drawing rom an analysiso the state o nature, Locke conceiveso natural rightsrights which existbe ore and in spite o the existence o government. Government, or Locke, isthe mani estation o a social contract,

whereby individuals agree to delegatesome o their rights to a government inorder that it protect and maintain otherrights.

The theories o social contract andnatural rights are not unique to Locke.But it was he that so rigorously articu-lated them and, in doing so, conceivedo a government subordinate and re-sponsible to individual citizens.

Chris Berg

17 Alexis De TocquevilleDemocracy in America (1835,1840)

Tocqueville had completed his Democ-racy in Americaby 1840. Considered by many as the best book ever written ondemocracy, it still contains remarkableinsights into the importance and ragility o present-day democratic systems.

A ter nearly 170 years, it still reachesout to warn us about political correct-ness and the tyranny o the majority,or those intellectual elites who want todestroy democracy rom within throughthe encroachment o state control in the

guise o equality.He clearly understood the delicatebalance between rights and reedoms,

just as those people today obsessively chattering about human rights wouldrather be equal in slavery than unequalin reedom. He had already spoken o the tendency to wel are dependencytoday the bane o all Western democra-ciesbecause politicians realise they canbribe the people with their own money.

Tocqueville argued that Islam, be-

cause it came with political maxims,civil and criminal laws, and theories o science as well as a body o religiousdoctrines, could potentialy be inimicalto democracy. He agged the dangers o growing individualism, materialism andprosperity that would lead to generalapathy.

In e ect, he raised questions, o tenunanswerable, which challenge us in the

world we live in today. Andrew McIntyre

16 Ayn Rand Atlas Shrugged (1957)The plot: sexy railroad executive tries val-iantly to keep her amily company a oatin the ace o government and other am-ily members. Eventually she discovers thesecret o what happened to all the businesspeople who have been disappearing.

Many people loathe this book; o tenthey have not fnished it. Atlas Shrugged isnot great literature, the baddies are bad inevery respect and the goodies are not only virtuous but good looking and smart.


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Similarly, government action is universally bad (although o ten well-intentioned) andprivate enterprise is universally good. De-spite these limitations, the book is well plot-ted and structuredits a good read.

What makes this book worthy o thislist is that it is a truly liberal novel, celebrat-ing enterprise and modern social structures,notably working women. The central char-acter o Atlas Shrugged , a single woman,runs a railroad. She is also glamorous, sexu-ally independent and capable o ormingemotional bonds. By contrast, non-working

wives are presented as baddies, spongers onthe wealth-creation o their husbands. Thisis chic-lit or eminist libertarians.

Louise Staley

15 Pope John Paul IICentesimus Annus (1991)Few would question that the late John PaulIIs pontifcate was one o the most intellec-tually orthright in centuries. No pope issuedso many encyclicals, ranging rom re ectionupon the nature o human work to the vexedquestion o the relationship between aithand reason. Even his detractors concede thatKarol Wojtyla possessed a ormidable mind,one that orced even the most hardened o

sceptics to re-examine their own presupposi-tions.

Pope John Paul was, however, not a raidto break new ground, as evidenced by his

amous 1991 encyclicalCentesimus Annus .Issued in the a termath o Communismsde eat, to which the pope contributed sodecisively, Centesimus Annus o ered theRoman Catholic Church a resh appreciationo private enterprise and the ree market insocieties equally committed to liberty andvirtue. It also spoke avourably o a vigorouscivil society and limited government, whilesimultaneously critiquing expansive wel arestates. The encyclical additionally warnedagainst the contemporary tendency to rootdemocratic systems in moral relativism.Though ample precedents exist or thesepositions in Catholic teaching, Centesimus

Annus synthesises these arguments throughgrounding them upon the Catholicunderstanding o man as a ree, responsible,social, and sin ul creature, capable o knowingthe truth through aith and reason.

Samuel Gregg

14 Henry HazlittEconomics in One Lesson (1946)Economics in One Lesson, written by the

American journalist and philosopher Henry Hazlitt, is widely regarded as perhaps the

fnest primer on economic principles yetpublished.Commencing with the proposition that

[t]he art o economics consists in lookingnot merely at the immediate but at the lon-ger e ects o any act or policy; it consistsin tracing the consequences o that policy not merely or one group but or all groups,Hazlitt illustrates how the ree-market sys-tem promotes economic e fciency. On theother hand, government interventions, in-cluding price controls, tari s, minimum

wage laws and industry subsidies, invariably ail to deliver on the outcomes promised by its supporters.

Hazlitts ability to express complexeconomic principles in a orm easily acces-sible to the layperson earned the praise o such classical liberal luminaries as FriedrichHayek and Milton Friedman. Economics inOne Lessonsold over a million copies and

was translated into eight di erent languages.This is even more striking considering thatHazlitt himsel was not ormally trained in

economics.In an era o creeping nanny state gov-

ernment intervention, Economics in One Lessonprovides the per ect antidote againstthe translation o bad economic ideas intomalignant public policies.

Julie Novak

13 Ludwig von MisesHuman Action (1940)Von Mises is o ten regarded as the oundero the Austrian School o economics. Thisaccords privately owned property and com-plete reedom to trade the primary role orensuring that goods are e fciently used and

or ensuring the right allocations to pro-duction and consumption. In an era whensocialism was rampant and Keynesian inter-ventionist economics was being ormulated,von Mises recognised that socialisation o decision-making seriously weakens incen-tives and brings about poor use o resources.He said, The dangerous act is that whilegovernment is hampered in endeavours tomake a commodity cheaper by interven-


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tion, it certainly has the power to make itmore expensive.

One notable contribution was his argu-ment that socialism must ail economically because o the economic calculation prob-

lemthe impossibility o a socialist gov-ernment being able to make the economiccalculations required to organise a complexeconomy. He said, back in the 1920s, thatE orts to realize Socialism lead only tothe destruction o society. Factories, mines,and railways will come to a standstill. Healso saw union privilege, in the orm o ag-gressive picketing, as inimical to individualrights that bring about the most productiveand ree society.

His strictures extended to planning.

He could have been discussing urban plan-ning when he argued that The planner isa potential dictator who wants to depriveall other people o the power to plan andact according to their own plans. He aimsat one thing only: the exclusive absolutepre-eminence o his own plan. The vestigeso central planning are seen with deleteri-ous e ects on urban development in planssuch as that those or Melbourne 2030. Un-der these plans, governments are speci ying

where houses should be built and shopping

precincts developed, thereby granting superprofts to avoured businessmen (some o

which flter back to the politicians them-selves).

Alan Moran

12 Adam SmithThe Wealth o Nations (1776)The Wealth o Nations is one o those

books that many people think they know something about. People know it containsa story about pin-making and that theressomething in it about an invisible hand.

Most o those who talk about The Wealth Nations probably havent read the

work they are talking aboutand giventhat its modern edition runs to over 1,100pages, this is hardly surprising. Whats more,i anyone actually starts trying to read Smithit is unlikely that they will persist or morethan ten pages. Long stretches o the book are incredibly tedious. At the other end o the ideological spectrum, The Communist

Mani estois evocative and interesting, andcompletely misguided. Against this, The

Wealth o Nations is o ten boring and repeti-tive, yet it is pro oundly true.

Among Smiths analyses o topicsthat are today are now outdated, such asthe labour theory o value, sits the insight

that has justifably gained him his reputa-tion. This is his idea that the ree exchangeo goods and services not only produces themost e fcient economic outcome, but theability to engage in such practice is an ex-pression o individual liberty. Smith regard-ed himsel frst and oremost as a moral phi-losopher. The reasonThe Wealth o Nations has endured is because, contrary to popularperception, it is not a book about econom-ics, it is a statement about human rights.

John Roskam

11 George Orwell Animal Farm (1945)George Orwell said that his novelNineteenEighty-Four was written to alter other peo-ples idea o the kind o society they shouldstrive a terto do what the IPA has triedto do since its inception in 1943. Surely he wrote his earlier and even greater work,

Animal Farm, with some o the same inten-tion.

Animal Farmis sheer genius. It uses

simple prose: They were gored, kicked,bitten and trampled on. The characters arestrong: I cant re-read it without a near tear

or poor old Boxer. It is in places unny: atleast Squealers explanations o tactics andthe bleating sheep amuse this one-time poli-tician. The irony is biting and has enteredpopular speech: All animals are equal butsome animals are more equal than others.It is, however, pathos evoking pity and sad-nessnot just or the less ortunate animalso the tale but or millions o poor, gullible,tyrannised people. Above all, to anyone whocares a damn about the kind o society or

which we should strive, it is instructive. Bearin mind that it was frst published in 1945,

when the Soviet Union was still our braveally and socialism was going to end poverty.

I the art o altering other peoplesminds is one o presenting argument clearly and memorably to those who have no wishto change their ideas, then Animal Farmisa work that any modern liberal think-tank might wish it had published, not only or itscommercial success. It holds my attention


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to a degree that the best o either Voltaireor Swi t cannot, i only because the ap-palling circumstances that they satirisedhad ceased be ore I was born.

John Hyde

10 Friedrich Hayek The Road to Ser dom (1944)The Road to Ser domis one o the mostremarkable books o the twentieth cen-tury. Hayek shows that ascism, com-munism and democratic socialism areall based upon the same collectivistutopian tendencies, and that individual

reedom in the personal and politicalspheres cannot be sustained in the ab-sence o economic reedom. Written in

the early 1940s, it is a 260-page warn-ing against the dangers o extending wartime central planning into the post- war era, and o the tyranny that inevita-bly ollows rom the nationalisation o the means o productioneven i this isachieved via democratic methods.

Despite being rejected by severalpublishers, it eventually sold over aquarter o a million copies and was seri-alised in Readers Digest . Its widespreadreadership now makes it a document o

great historical signifcance. Many o Hayeks contemporaries believed thatgovernment ownership o all means o production was the way orward, where-as no sane scholar or politician wouldtoday advocate such a policy agenda.The book deeply in uenced an entiregeneration o American and Britishconservative thinkers and practitioners,and later inspired a countless number o individuals in the ormer Soviet Union.It should be read by all serious studentso modern political a airs.

Alex Robson

9 Karl PopperThe Open Society And Its Enemies(1945)Sir Karl Popper stands alongside F.A.Hayek as one o the two great dissentingvoices rom the post-war collectivist con-sensus.The Open Society and Its Enemies ,his greatest work, was written in New Zealand during the wartime years. Pop-per ed his native Austria in 1937 to es-

cape the rise o Nazism. He had originally wanted to settle in Australia but, remark-ably, was overlooked by the University o Queensland when he sought appointmentas pro essor o philosophy. The University

o Christchurch did not make the samemistake. Published in Britain in 1945 andin the United States in 1950, The OpenSociety was not simply an attack on col-lectivism, but a comprehensive accounto the intellectual roots o the totalitarianstate in idealist philosophy.

Popper identifed the two most im-portant o the classical and modern ideal-ist philosophersPlato and Hegeland

ound in them the source o the totali-tarian ideal that the state is a per ectible

construct, to which individual humanbeings (indeed, large human populations)mayindeed on occasions mustbe sac-rifced. In Platos philosopher king, Pop-per ound the prototype o the twentieth-century dictator. In Hegels metaphysics,he ound the key to the dictators argu-ment: that human per ection is achievedby the arrangement o society accordingto a universal rule or will, perceptibleonly to the enlightened ew, whose des-tiny it is to impose it, at whatever cost,

on the rest o mankind. This is the philo-sophical idealists conceit, to which Pop-per opposed the notion o the open so-cietya phrase he coinedwhich valuesthe contestability o di erent views o thegood. Poppers anti-Hegelian approachdrew heavily upon Kant, and anticipatedthe liberal pluralism which Isaiah Berlinlater popularised.

The Open Society and Its Enemies isnowadays more admired than read. Thefrst great twentieth-century work to ex-pose the sources and explore the implica-tions o collectivism, it is an erudite land-mark in the battle o ideas.

George Brandis


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8 John Trenchard and ThomasGordonCatos Letters (1720-1723)Catos Letters frst made their appearancein the London Journal in 1720. Written

by John Trenchard and Thomas Gordon,they adopted the incisive pseudonym o Cato the Younger, a principled opponento Julius Caesars, to oppose tyranny andadvocate liberty and reedom o speech.Their timing was prescient. Appearingin the early a termath o the bursting o the South Sea Bubble, the two men werepartly motivated to rail against the bribery and excesses o the members o the corpo-ration and, most particularly, against theirconnections and support rom within

government and parliament. While the letters relevance to theircontemporaries was clear, the writers ar-gued the universal case or liberty in thatsharp, uncompromising manner o seven-teenth-century writers. For instance, they urge the reader that You are born to lib-erty, and it is in your interest and duty topreserve it your governors have every right to protect and de end you, none toinjure and oppress you.

But or Trenchard and Gordon, ap-

peals to liberty are not complete by them-selves. Catos Letters strongly advocatessecurity o private property as a key oun-dation o a liberal society: the security o property and the reedom o speech alwaysgo together where a man cannot callhis tongue his own, he can scarce call any-thing else his own. Individual liberty isinconceivable without economic liberty.

Chris Berg

7Edward Shann

Economic History o Australia (1930)

Economic history as an academicdiscipline is practically dead. It has beenkilled o by subjects such as marketingstudies and globalisation theory. But i our policy-makers all knew a little moreeconomic history, their policy-making

would be immeasurably improved. Aus-tralian economic history is about morethan just wheat, wool and gold. It isabout the decisions that governmentsmade as they rode the years o boom and

bust. In its broadest sense, economic his-tory is where economics meets politics tomake history.

Given the massive changes imposedon the national economy in recent de-

cades, it might seem strange to nominatea book published in 1930 as a must reador someone living in 2006. An Economic

History o Australiawas written be oreany o the Great Depression, the Second

World War, Keynesianism or the com-puter.

Shanns genius is to identi y thedominant tendency o economic policy-making in this country. And this is thetendency o politicians and the public tobelieve that the good times will continue

indefnitely. It is a tendency deeply-root-ed in the national psyche. Donald Horneis amous or making up the label thelucky country, but it was Shanns ideafrst. What Shann said about us three-quarters o a century ago holds true to-daywe are very good at eat[ing] up theeasy gains o a period o unusual plenty.

John Roskam

6Robert Nozick Anarchy State and Utopia

(1974)Robert Nozick was an American ana-lytical philosopher who wrote widely on a range o technical subjects, but isbest known or hisAnarchy, State, and Utopia. This is a philosophically sophis-ticated exploration o issues in the clas-sical liberal tradition, as interpreted by

American libertarians. Nozick took astrong rights-based approach. He didnot justi y this, but made gestures to-

wards John Locke, and there are alsosome resonances o the Kantian idea o treating people as ends in themselves.The interest o Nozicks approach is inthe ingenious application o these ideas,and in bringing to these views the toucho a brilliant analytical philosopher. Hisbook has three sections. First, he arguesthat, starting with individual rights, itis pace the views o individualist an-archistspossible that a minimal statecould be ormed legitimately. Second,he provides a whole range o argumentsagainst those who would wish to go


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beyond a minimal state, including aninteresting critical engagement with hiscolleague at Harvard, John Rawls. In thefnal short section, on utopia, Nozick explores some o the possibilities or so-

cial pluralismcentred around utopianexperiments based on specifc values andli estyle choiceswithin the compass o a minimal state.

Jeremy Shearmur

5 Frdric BastiatThe Law (1849)Frdric Bastiat orms part o the lais-sez- aire school o economists rom nine-teenth-century France. Not content to

keep his ideas on liberty confned to theo-ry, Bastiat was also a political activist dur-ing the revolutionary period o the 1840s.

With the vehicle o his French Free Trade Association, he was success ully elected tothe National Assembly in 1848.

The Law was published in the year o his death and gives his view o legal phi-losophy in a concise pamphlet. The textitsel is eminently readable, being in used

with the excitable language o his activistnature. At its heart, The Law puts orward

a theory o natural law where the properrole o law is confned to a collectivisedversion o the individual right to de enceo li e, liberty and property. Anything out-side o this ramework is to be consideredlegal plundera corrupting in uence thepresence o which will inevitably lead torevolution, regardless o the extent o theelectoral ranchise.The Law is a timely reminder o the destructive nature o eco-nomic rent-seeking in a legislature; it is

well worth reading. Julian Barendse

4 Edmund BurkeRefections on the Revolution inFrance (1790)Edmund Burkes Refections on the Revolu-tion in France was written in 1790 and is

widely reckoned to orm the basis o mod-ern philosophical conservatism. It was

written as a critique o the French Revo-lution, towards which Burke was deeply antagonistic, and made many startling ac-curate predictions o the horrors that were

later to occur.Burke understood the Revolution as

an attack on the traditional and establishedorder by orces motivated by abstract ideasand a spirit o rationalism in a utile and

impossible attempt to create a per ectsociety. This was a rationalism, however,that did not understand the allibilities o human nature and the extraordinary com-plexity and evolutionary nature o society.

As Burke correctly predicted, it led to di-saster and the Reign o Terror.

Burke was a de ender o tradition ando evolutionary change in the social order

which he believed should only take placein response to specifc promptings or oc-currences. In his amous words, he saw

society as a partnership not only betweenthose who are living but between those who are living, those who are dead andthose who are to be born.

It is a book that also remains highly relevant today, cautioning us against thesometimes unexpected consequences thatcan be unleashed when established tradi-tion is overturned.

Jason Briant

3Milton and Rose Friedman

Free to Choose: A Personal State-ment (1980)

You must turn the issues over in yourmind at leisure, consider the many argu-ments, let them simmer, and a ter a longtime turn your pre erences into convic-tions. These words, contained in the pre -ace to Milton and Rose FriedmansFree toChoos e, are the best advice or reading thisbook. Many o the ideas expressed may have been shocking in 1980, but are now considered mainstream, even old-hat. Thebook was an instant success, becoming abest-seller, and being translated into 17languages.

The central message resonates today:Big government is a big problem. Gov-ernment-sponsored education has notimproved. The wel are state, with its cra-dle-to-grave regulation, still compromiseshuman reedom. The Friedmans end thebook with a chapter entitled The tide isturning. Un ortunately, the tide has notturned enough. Big government continuesto control too much o our lives. Yet gov-


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ernment ailure is ubiquitous. The repeat-ed ailure o well-intentioned programs isnot an accident. The market best protectsthe interests o consumers, workers andstudents. While many o the books nuts

and bolts examples are dated, there still ismuch to learn rom reading this classic o human reedom, and then letting the ideassimmer.

Sinclair Davidson

2 W K Hancock Australia (1930) Australia was published in 1930 by theyoung Keith Hancock as a contributionto the Modern World series published by

Benn. Its major achievement was to pro-vide a defnitive critique o those policieso the early Australian Commonwealththat today go by the name o the Aus-tralian Settlement. Hancock built on the

work o Edward Shann and Frederic Egg-leston to demonstrate the illogicalities andinconsistencies o these policies and how they were threatening the oundations o

Australian prosperity.Hancock saw the cause o these prob-

lems as the exuberant democracy o Aus-

tralians and their belie that they could dis-pose o acts by parliamentary adjustment.In the pursuit o air and reasonable pricesand wages or themselves through politi-cal means, Australians had, in Hancocksassessment, ignored the laws that governthe real world in avour o ones createdby themselves. The consequence was thecreation o policies such as protection andindustrial arbitration that undermined thecapacity o the Australian economy to becompetitive. Hancock argued that thesepolicies had not made Australia rich buthad survived because Australia, with itssmall population, was rich and could a -

ord such mistakes. He looked orward to Australian democracy growing up and be-coming responsible.

Greg Melleuish

1 James M. Buchanan andGordon Tullock The Calculus o Consent: Logi-cal Foundations o Constitu-tional Democracy (1962)

With exquisite timing and clarity o ar-gument, James M. Buchanan and Gor-don Tullocks The Calculus o Consent gave rise to the public choice school o thought. In so doing, it helped trans-

orm the study o economics and politi-cal science, the practice and structure o government and politics and, impor-tantly, how individuals view the politicalprocess. It also laid the oundation or arevolt against Keynesianism and big gov-ernment. It is truly a classic.

The central genius o the book was toexamine the logic o collective actiongovernment action in particular romthe perspective o the individual.

The book was frst published in1962, when the Keynesian Revolution

was at its height and its ailings not yetapparent. The prevailing view at thetime was that government could fx eve-rythingmend the amily, manage theeconomy, regulate industry and imposethe per ect tax regime.

Buchanan and Tullock exploredmany o the systemic aws o big gov-ernment which subsequently becamereadily apparent. They warned againstthe growth o the rent-seeking society.

As government control over resourcesgrows, lobbying will become a dominant

ocus o human endeavour, or no pro-ductive end. They warned against thericochet e ect o government. Since thebenefts rom lobbying are concentratedin the hands o a ew and the costs dis-persed widely, the incentive structuresare skewed towards ever-increased lob-bying and ever larger government.

As a systematic attack on the power-ully harm ul e ects o big government,

The Calculus o Consent s in uence hasbeen immense and long lasting.

Mike Nahan

I P A

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