Anarchy

DEFINITION of 'Anarchy'

The condition of a society with no government. Some people think an anarchist society would result in lawlessness and chaos. Others, such as anarcho-capitalists, believe that private businesses would fill the void of government and provide the services that people need - including those traditionally thought of as essential government functions, like building roads and providing police and fire protection.

BREAKING DOWN 'Anarchy'

There is widespread disagreement among anarchists about what an anarchist society would look like. For example, some see it as a completely individualist society; others view it as a completely collectivist society. An overarching characteristic of anarchy, however, is that the people govern (or fail to govern) themselves. There is no political group in charge of making decisions for the masses. A potential problem with anarchy is that legal protection is not provided for patents, personal businesses or even corporations.

RELATED TERMS
  1. Building Society

    A type of financial institution that provides banking and other ...
  2. Rate Of Adoption

    The number of members of a society who start using a new technology ...
  3. Diffusion Of Innovations Theory

    A hypothesis outlining how new technological and other advancements ...
  4. Plutonomy

    Economic growth that is powered and consumed by the wealthiest ...
  5. Affirmative Action

    A policy in which an individual's color, race, sex, religion ...
  6. Limited Government

    A political system in which legalized force is restricted through ...
Related Articles
  1. Economics

    What If There Were No Government?

    What would the United States look like in the absence of a federal government?
  2. Investing Basics

    What are Government Securities?

    Government securities are debt instruments that governments issue to raise capital.
  3. Economics

    Crowding Out Effect

    Crowding out effect is an economic term referring to government spending driving down private sector spending, and can have several more specific meanings.
  4. Investing News

    How Is the Bank of Japan Monetizing Government Debt?

    With its massive QE program and more recent adoption of negative interest rates, it looks like the BOJ is monetizing the Japanese government's debt.
  5. Insurance

    The Government And Risk: A Love-Hate Relationship

    Though the U.S. government can help its citizens by subsidizing risky loans, the costs always come back to the taxpayers.
  6. Economics

    What is the Private Sector?

    The private sector encompasses all for-profit businesses that are not owned or operated by the government.
  7. Entrepreneurship

    Government Regulations: Do They Help Businesses?

    These rules are in place to protect consumers and help businesses thrive at the same time.
  8. Options & Futures

    Governance Pays

    Learn about how the way a company keeps its management in check can affect the bottom line.
  9. Economics

    Macroeconomics: Government - Expenditures, Taxes and Debt

    By Stephen Simpson ExternalitiesIn a market economy there are important differences between public and private goods. Private goods are considered "rival and excludable" - one person consuming ...
  10. Personal Finance

    What The U.S. Needs To Do To Avoid Austerity Measures

    Here's a look at some of the methods the federal government is using to help economic recovery in the U.S.
RELATED FAQS
  1. In what types of societies does limited government work best?

    See what a society needs to function with a limited government, and how social cooperation can be achieved through voluntary ... Read Answer >>
  2. What is the Mont Pelerin Society?

    The Mont Pelerin Society was formed in 1947 when economist Friedrich von Hayek invited 39 people to meet at Mont Pelerin ... Read Answer >>
  3. Why do most economists favor capitalism?

    Learn more about how capitalism works and why it is a popular system among economists throughout the world. Read Answer >>
  4. What are the different groups involved in corporate governance?

    Learn about the challenges inherent to defining and executing corporate governance, and understand why different groups work ... Read Answer >>
  5. What are the advantages of a limited government in connection with a capitalist economy?

    Read about the advantages of limited government, why free markets are more efficient and how social cooperation grows where ... Read Answer >>
  6. What are some of the drawbacks of industrialization?

    Learn about the major drawbacks of industrialization, such as environmental damage, income inequality, overcrowding of cities, ... Read Answer >>
Hot Definitions
  1. MACD Technical Indicator

    Moving Average Convergence Divergence (or MACD) is a trend-following momentum indicator that shows the relationship between ...
  2. Over-The-Counter - OTC

    Over-The-Counter (or OTC) is a security traded in some context other than on a formal exchange such as the NYSE, TSX, AMEX, ...
  3. Quarter - Q1, Q2, Q3, Q4

    A three-month period on a financial calendar that acts as a basis for the reporting of earnings and the paying of dividends.
  4. Weighted Average Cost Of Capital - WACC

    Weighted average cost of capital (WACC) is a calculation of a firm's cost of capital in which each category of capital is ...
  5. Basis Point (BPS)

    A unit that is equal to 1/100th of 1%, and is used to denote the change in a financial instrument. The basis point is commonly ...
  6. Sharing Economy

    An economic model in which individuals are able to borrow or rent assets owned by someone else.
Trading Center