The Austrian (praxeological) method involves deductive reasoning, thought experiments, methodological individualism. The only way to refute a logical argument is with better logic. In trade, party A trades with B. Both do so because they benefit. More accurately, because they expect to benefit. Both expect to get more through the trade than they give up. This doesn't mean in a week or a year neither will have regrets, but they do so because they expect to benefit.
Now party C comes along and wants to interfere. There are several problems:
1. Knowledge - Does party C know something that A and B do not?
2. Objectivity and altruism - Is party C above self-interest?
3. Motive - By interfering, is party C benefiting at the expense of A and B?
4. Morality - What right does party C have to interfere?
Compounding this problem is that the state (a territorial monopolist on the use of force) acts as agent for party C. It uses violence to interfere. The state itself is not above self-interest; it has its own motives. It benefits by being a broker in political favors. Finally, there is the cost of maintaining the state, which is paid through violence (taxation).
It's crystal clear who benefits from free trade (the people) and who benefits from attacking it (the state and special interests seeking protection and privileges). This is where the intellectuals come in: They are needed in order to blind people to being fleeced.
~ Kevin Duffy
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