Ludwig Von Mises and Ayn Rand were two of the Twentieth Centuries most important advocates of the free market. Mises’s treatise on economics, Human Action, has been, and is a source of inspiration for many economists. And as for Rand, there is even a saying, “It usually begins with Ayn Rand,” as most young libertarians start off reading Atlas Shrugged. The two did have a great respect for each other and agreed on many points–particularly on the role of the market, individualism, and liberty just to name a few.
There were, however, also some points of disagreement. Rand labeled her philosophy Objectivism. This stood in contrast to the radical subjectivism of Mises’ work within the Austrian tradition. For example, money (even the gold standard) for Mises derives its value from the subjective preferences of individual agents but for Rand gold is an objective value. This can be seen in many of the speeches made by characters in Atlas Shrugged. The character Fransico d’Anconia, in his famous speech on money in the chapter the Aristocracy of Pull says, “Gold was an objective value, an equivalent of wealth produced.” Another point of departure was on ethics. Mises was also a utilitarian, which Rand (whose philosophy was rights-based) despised, even referring to Mises “as that old fool.”
In this letter to National Review editor William F. Buckley Jr., Henry Hazlitt tells the very amusing tale of Mises and Rand’s first meeting. Given these disagreements from these two very passionate thinkers it is not completely surprising to hear that their first meeting did not go very smoothly. The story has gotten around Libertarian circles for a long time, but in this letter Hazlitt sets the story straight.
Download the Letter From Henry Hazlitt to William F. Buckley Jr.
