Neoclassical liberalism

Short description: American libertarian philosophy

Not to be confused with New liberalism (ideology) or Neoliberalism.

Part of a series on

Liberalism

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Schools of thought

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Organizations

* Africa Liberal Network
* Alliance of Liberals
and Democrats for Europe
* Alliance of Liberals
and Democrats for Europe Party
* Arab Liberal Federation
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* European Democratic Party
* European Liberal Youth
* European Party for Individual Liberty
* International Alliance of Libertarian Parties
* International Federation of Liberal Youth
* Liberal International
* Liberal Network for Latin America
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Regional variants

* Europe
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* Peru
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* Senegal
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* United Kingdom
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* Classical
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* Uruguay
* Venezuela
* Zimbabwe

Related topics

* Bias in academia
* Bias in the media

*   *

* v
* t
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Neoclassical liberalism (alternatively spelled neo-classical liberalism[lower-alpha 1] or known as new classical liberalism[lower-alpha 2]) is a tradition of the liberal thought that, with the premises of John Locke's classical liberalism applied to industrialized societies, stands in opposition to the welfare state and social liberalism.[1]: 124–125 [2]: 596

In the United States, the Arizona School of liberalism, also referred to as "bleeding-heart libertarianism", adopted the term neoclassical liberal to advance certain ideas of Chicago School economist Milton Friedman within the American libertarian movement, including the school voucher system and the negative income tax.[3][4]: 571–572

## Contents

* 1 History
* 1.1 19th century neoclassical liberalism (c. 1840 – c. 1900)
* 1.2 Mid-20th century right-libertarianism (1943–1980s)
* 1.3 21st-century neoclassical liberals
* 1.3.1 Bleeding-heart libertarians
* 2 See also
* 3 Notes
* 4 Citations
* 5 References
* 6 Further reading
* 7 External links

## History

Herbert Spencer (left) and William Graham Sumner (right), who have greatly influenced the development of neoclassical liberalism.

### 19th century neoclassical liberalism (c. 1840 – c. 1900)

In the late 19th century, the rise of social liberalism, championed by Thomas Hill Green, sparked a division within the liberal movement. On one side were the social liberals (also known as welfare liberals[lower-alpha 3]), who advocated for a more interventionist state and social justice based approach. On the other side, a faction of liberals remained committed to laissez-faire economics. Even in the face of industrialization[lower-alpha 4], neoclassical liberals contended that their understanding of liberalism, as outlined by the British philosopher John Locke in his Second Treatise of Government of 1690, remained the most effective approach for addressing social and economic concerns.[2]: 596–597

British sociologist Herbert Spencer introduced the concept of "survival of the fittest". In his publication titled The Proper Sphere of Government, Spencer contended that individuals possess only two natural rights: the right to life and the right to property. Similar to the views of American William Graham Sumner, Spencer held the belief that governmental involvement in economic matters (referred to as officialism) would result in social parasitism to the detriment of the working population. Consequently, he was against trade regulations, public schooling, state-sponsored religions, social welfare, and state-owned transportation systems.[2]: 597

American social scientist William G. Sumner contended that the proper role of government was the protection of "the property of men and the honor of women", government was to be a rationalistic response of individuals to defend property rights and the purpose was to be merely "contractualistic".[2]: 600

### Mid-20th century right-libertarianism (1943–1980s)

Austrian-British economist F. A. Hayek (1899–1992)

Neoclassical liberalism re-emerged mainly in the post-World War II era, when modern liberalism was the main form of liberalism and Keynesianism and social democracy were the dominant ideologies in the Western world.[5]: 43 After Franklin Delano Roosevelt's New Deal (1933–1944), which contributed to the expansion of the welfare state in the United States, economists such as Friedrich von Hayek (1899–1992) and Milton Friedman (1912–2006) began to reintroduce neoclassical liberal policies as alternatives to Roosevelt's social liberalism.[6]: 556

The U.S. libertarian movement of the late 20th century is seen as a successor to neoclassical liberalism.[2]: 603 According to Ellen Grigsby, arguments of contemporary neoclassical liberal thought are present in the philosophy of Robert Nozick and in the party platform of the American Libertarian Party.[2]: 603

### 21st-century neoclassical liberals

Contemporary neoclassical liberals have tried to expunge the social Darwinistic implications of neoclassical liberal theory, the legacy of Spencer and Sumner, although they continue to advocate on behalf of the benefits of minimal state intervention and liberty for self-interested individuals.[2]: 603

#### Bleeding-heart libertarians

Logo used by the official Bleeding-Heart Libertarians blog.

Neoclassical liberalism, as understood by the "Arizona School liberalism"[7][8][9] or "bleeding-heart libertarians",[10] is a libertarian political philosophy[9] that focuses on the compatibility of support for civil liberties and free markets on the one hand and a concern for social justice and the well-being of the worst-off on the other. Adherents of neoclassical liberalism broadly hold that an agenda focused upon individual liberty will be of most benefit to the economically weak and socially disadvantaged.[11][12]

The first known use of the term "Arizona School" was by Andrew Sabl, introducing David Schmidtz at a UCLA Department Colloquium in 2012.[citation needed] Upon being pressed to define "Arizona School" Sabl said the school is broadly libertarian but that its most distinguishing characteristic is that it produces political philosophy that aims to be observation-based and empirically accountable. The first recorded use of the term bleeding-heart libertarian seems to have been in a 1996 essay by Roderick T. Long.[13] It was subsequently used in a blog post by Stefan Sharkansky[14] and later picked up and elaborated on by Arnold Kling in an article for TCS Daily.[15] Since then, the term has been used sporadically by a number of libertarian writers including Anthony Gregory[16] and Bryan Caplan.[17]

In March 2011, a group of academic philosophers, political theorists and economists created the Bleeding Heart Libertarians blog.[10] Regular contributors to the blog included Fernando Tesón, Gary Chartier, Jason Brennan, Matt Zwolinski, Roderick T. Long, and Steven Horwitz.

Economist David D. Friedman has been critical of the movement, stating that bleeding-heart libertarians "...insist that social justice ought to be part of libertarianism but are unwilling to tell us what it means."[18]

On 1 June 2020, co-founder Matt Zwolinski announced in a post titled "The End" that the Bleeding Heart Libertarians website would cease publishing new material. Zwolinski wrote that the blog’s "initial mission of publicizing the connection between free markets and social justice has been largely accomplished," adding that the archive would remain online so researchers and readers could continue to consult past entries, but that no further posts would appear.[19] Reason magazine reported that "one of the most influential libertarian blogs on the internet has come to an end," while noting that most of the site’s contributors planned to keep writing for other outlets.[20]

Zwolinski later argued that, contrary to the blog’s early hopes, discourse around the nexus of free markets and social justice had actually regressed, as alt-right rhetoric increasingly crowded out libertarian perspectives. Describing this trend as a "deterioration," he relaunched the project in 2023 on the Substack platform as a solo newsletter under the same banner, The Bleeding Heart Libertarian.[21]

## See also

* Classical liberalism
* Gary Chartier
* Compassionate conservatism
* Distributive justice
* Fred Foldvary
* Free Market Fairness
* Geolibertarianism
* Left-libertarianism
* Libertarian paternalism
* Lockean proviso
* Market anarchism
* Michael Munger
* Neo-libertarianism
* Ordoliberalism
* Michael Otsuka
* Poverty reduction
* Radical centrism
* Radicalism (historical)
* David Schmidtz
* Hillel Steiner

## Notes

1. ↑ British researcher Alan James Mayne use the spelling with hyphenation.
2. ↑ Political scientist Ellen Grigsby also uses "new classical liberals" to refer to the grouping.
3. ↑ At the time, social liberals were called "new liberals" in the U.K.
4. ↑ British philosopher John Locke wrote his ideas prior to the First Industrial Revolution (c. 1760 – c. 1840)

## Citations

1. ↑ Mayne, Alan James (1999). From Politics Past to Politics Future: An Integrated Analysis of Current and Emergent Paradigms. Westport, Connecticut: Praeger Publisher. ISBN 0-275-96151-6. https://archive.org/details/frompoliticspast0000mayn/page/124/mode/2up?q=124.
2. ↑ 2.0 2.1 2.2 2.3 2.4 2.5 2.6 Grigsby, Ellen (2011). "Neoclassical Liberals". in Ishiyama, John T.. 21st Century Political Science A Reference Handbook. Sage Publications. ISBN 978-1483305462.
3. ↑ Kling, Arnold (29 September 2003). "Bleeding-Heart Libertarianism". http://www.ideasinactiontv.com/tcs_daily/2003/09/bleeding-heart-libertarianism.html.
4. ↑ Maloberti, Nicolás (2015). "Rawls and Bleeding Heart Libertarianism: How Well Do They Mix?". The Independent Review (Independent Institute) 19 (4). https://www.independent.org/pdf/tir/tir_19_04_07_maloberti.pdf. Retrieved 2023-09-01.
5. ↑ Richardson, James L. (2001). Contending liberalisms in world politics: ideology and power. Rienner Publishers. ISBN 978-1555879396.
6. ↑ Ball, Terence; Dagger, Richard; O'Neill, Daniel I. (2019). Ideals and Ideologies: A Reader. Taylor & Francis. ISBN 978-1000011906.
7. ↑ Matt Zwolinski and John Tomasi, "A Bleeding Heart History of Libertarianism" , April 2, 2012, Cato Unbound.
8. ↑ Brennan, Jason (2012). Libertarianism: What Everyone Needs to Know. Oxford University Press. p. 188. ISBN 978-0199933914. https://books.google.com/books?id=7QuzSDXsKQQC&q=arizona+school+libertarianism&pg=PA188. Retrieved 2020-11-01.
9. ↑ 9.0 9.1 Neoclassical liberal philosophers such as David Schmidtz, Jerry Gaus, John Tomasi, Kevin Vallier, Matt Zwolinski and Jason Brennan all have a connection to the University of Arizona (cf. "On the ethics of voting" , 3:AM Magazine, January 14, 2013).
10. ↑ 10.0 10.1 Zwolinski, Matt (2011-03-03). "Bleeding-Heart Libertarianism". Bleeding Heart Libertarians blog. http://bleedingheartlibertarians.com/2011/03/bleeding-heart-libertarianism/.
11. ↑ "About Us". Bleeding Heart Libertarians. 16 May 2011. http://bleedingheartlibertarians.com/about-us/.
12. ↑ Kabaservice, Geoff (17 April 2025). "The old, weird history of libertarianism, with Matt Zwolinski". https://www.niskanencenter.org/the-old-weird-history-of-libertarianism-with-matt-zwolinski/.
13. ↑ Long, Roderick (1996). "Beyond the Boss". http://www.freenation.org/a/f41l2.html.
14. ↑ Sharkansky, Stefan (2002-06-01). "My Blog and Welcome to It". http://www.usefulwork.com/shark/archives/000001.html.
15. ↑ Kling, Arnold (2003-09-29). "Bleeding-Heart Libertarianism". http://www.ideasinactiontv.com/tcs_daily/2003/09/bleeding-heart-libertarianism.html.
16. ↑ Gregory, Anthony. "Don't Privatize Plunder". LewRockwell.com. http://archive.lewrockwell.com/gregory/gregory32.html.
17. ↑ Caplan, Bryan. "Who's More Irresponsible?". EconLog.
18. ↑ Henderson, David (2012-04-28). "David Friedman on Bleeding-Heart Libertarianism". EconLog.
19. ↑ Zwolinski, Matt (June 1, 2020). "The End". https://bleedingheartlibertarians.com/2020/06/the-end/.
20. ↑ Somin, Ilya (June 1, 2020). "Farewell to the "Bleeding Heart Libertarians" Blog". https://reason.com/volokh/2020/06/01/farewell-to-the-bleeding-heart-libertarians-blog/.
21. ↑ Zwolinski, Matt (April 20, 2023). "For a New Liberalism". https://bleedingheartlibertarian.substack.com/p/for-a-new-liberalism.

## References

* Jeffrey Edward Green (2016), The Shadow of Unfairness: A Plebeian Theory of Liberal Democracy, Oxford University Press. ISBN 9780190600679
* Jason Brennan, Bas van der Vossen, David Schmidtz, eds. (2017), The Routledge Handbook of Libertarianism, Routledge: "Libertarianism and the Welfare State" by Matt Zwolinski. ISBN 9780367870591

## Further reading

* Jeppe von Platz, "Absolute freedom of contract: Grotian Lessons for Libertarians", Critical Review 25(1), 2013, 107–119.
* Rob Reich, "Gift Giving and Philanthropy in Market Democracy", Critical Review 26(3–4), 2014, 408–422.
* Nicolás Maloberti, "Rawls and Bleeding Heart Libertarianism: How Well Do They Mix?", The Independent Review 19(4), 2015, 563–582.
* Otto Lehto, "The Limited Welfare State as Utopia: The Case for a Libertarian Basic Income", Presentation for the BIEN World Congress (Seoul, Korea, 2016).

## External links

* Bleeding Heart Libertarians – The official blog
* Matt Zwolinski discusses Bleeding Heart Libertarianism with Reason TV
* Bleeding Heart Libertarian – Substack
* New Libertarians: New Promoters of a Welfare State – A historical look at the development of (and ultimately a criticism of) Bleeding Heart Libertarianism by John P. McCaskey
* Instituto Mercado Popular – BHL Brazilian research institute (in Portuguese)

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Liberalism

Development|

* Contributions to liberal theory
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Ideas|

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Schools|

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Key figures|

* Acton
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* Madison
* Martineau
* Masani
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* Mill (father)
* Mill (son)
* Milton
* Mises
* Molteno
* Mommsen
* Money
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* Montesquieu
* Mora
* Mouffe
* Naoroji
* Naumann
* Nozick
* Nussbaum
* Ohlin
* Ortega
* Paine
* Paton
* Popper
* Price
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* Rathenau
* Rawls
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* Rorthy
* Rosmini
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* Rousseau
* Ruggiero
* Sarmiento
* Say
* Sen
* Earl of Shaftesbury
* Shklar
* Sidney
* Sieyès
* Şinasi
* Sismondi
* Smith
* Soto Polar
* Spencer
* Spinoza
* Staël
* Sumner
* Tahtawi
* Tao
* Thierry
* Thorbecke
* Thoreau
* Tocqueville
* Tracy
* Troeltsch
* Turgot
* Villemain
* Voltaire
* Ward
* Weber
* Wollstonecraft
* Zambrano

Regional variants|

* Africa
* Egypt
* Nigeria
* Senegal
* South Africa
* Tunisia
* Zimbabwe
* Asia
* China
* Hong Kong
* India
* Iran
* Israel
* Japan
* South Korea
* Philippines
* Taiwan
* Thailand
* Turkey
* Europe
* Albania
* Armenia
* Austria
* Belgium
* Bulgaria
* Croatia
* Cyprus
* Czech lands
* Denmark
* Estonia
* Finland
* France
* Germany
* Greece
* Hungary
* Iceland
* Italy
* Latvia
* Lithuania
* Luxembourg
* Macedonia
* Moldova
* Montenegro
* Netherlands
* Norway
* Poland
* Portugal
* Romania
* Russia
* Serbia
* Slovakia
* Slovenia
* Spain
* Sweden
* Switzerland
* Ukraine
* United Kingdom
* Latin America and the Caribbean
* Bolivia
* Brazil
* Chile
* Colombia
* Cuba
* Ecuador
* Honduras
* Mexico
* Nicaragua
* Panama
* Paraguay
* Peru
* Uruguay
* North America
* Canada
* United States
* Classical
* Modern
* Oceania
* Australia
* New Zealand

Organisations|

* Africa Liberal Network
* Alliance of Liberals and Democrats for Europe
* Alliance of Liberals and Democrats for Europe Party
* Arab Liberal Federation
* Council of Asian Liberals and Democrats
* European Democratic Party
* European Liberal Youth
* European Party for Individual Liberty
* International Alliance of Libertarian Parties
* International Federation of Liberal Youth
* Liberal International
* Liberal Network for Latin America
* Liberal parties
* Liberal South East European Network

See also|

* Bias in academia
* Bias in the media

* Liberalism portal

* v
* t
* e

Libertarianism

Origins|

* Age of Enlightenment
* Anarchism
* Aristotelianism
* Liberalism
* Radicalism

Schools of thought|

| Libertarian socialism
(Left-libertarianism)|

* Anarchism
* Collectivist
* Free-market
* Agorism
* Left-wing laissez-faire
* Left-wing market
* Green
* Individualist
* Insurrectionary
* Libertarian communism
* Mutualism
* Panarchism
* Social
* Autonomism
* Bleeding-heart libertarianism
* Communalism
* Geolibertarianism
* Georgism
* Green libertarianism
* Guild socialism
* Libertarian Marxism
* Participism
* Revolutionary syndicalism

|

Libertarian capitalism
(Right-libertarianism)|

* Anarcho-capitalism
* Autarchism
* Christian libertarianism
* Conservative libertarianism
* Consequentialist libertarianism
* Fusionism
* Libertarian transhumanism
* Minarchism
* Natural-rights libertarianism
* Paleolibertarianism
* Propertarianism
* Voluntaryism

Concepts|

* Anti-authoritarianism
* Anti-capitalism
* Antimilitarism
* Anti-statism
* Argumentation ethics
* Class struggle
* Communes
* Counter-economics
* Crypto-anarchism
* Decentralization
* Direct action
* Economic democracy
* Economic freedom
* Egalitarianism
* Expropriative anarchism
* Federalism (anarchist)
* Free association (Marxism and anarchism)
* Free love
* Free market
* Free-market environmentalism
* Free migration
* Free society
* Free trade
* Freedom of association
* Freedom of contract
* Global Justice Movement
* Gift economy
* Homestead principle
* Illegalism
* Individualism
* Individual reclamation
* Liberty
* Localism
* Natural and legal rights
* Night-watchman state
* Non-aggression principle
* Non-voting
* Participatory economics
* Polycentric law
* Private defense agency
* Propaganda of the deed
* Property is theft
* Really Really Free Market
* Refusal of work
* Restorative justice
* Self-governance
* Self-ownership
* Single tax
* Social ecology
* Spontaneous order
* Squatting
* Stateless society
* Tax resistance
* Title-transfer theory of contract
* Voluntary society
* Workers' councils
* Workers' self-management

People|

* Stephen Pearl Andrews
* Mikhail Bakunin
* Frédéric Bastiat
* Walter Block
* Murray Bookchin
* Jason Brennan
* Bryan Caplan
* Kevin Carson
* Frank Chodorov
* Noam Chomsky
* Grover Cleveland
* Calvin Coolidge
* Voltairine de Cleyre
* Joseph Déjacque
* Ralph Waldo Emerson
* David D. Friedman
* Milton Friedman
* Mahatma Gandhi
* Henry George
* William Godwin
* Emma Goldman
* Barry Goldwater
* David Graeber
* William Batchelder Greene
* Daniel Hannan
* Friedrich Hayek
* Auberon Herbert
* Karl Hess
* Thomas Hodgskin
* Hans-Hermann Hoppe
* Michael Huemer
* Penn Jillette
* Gary Johnson
* Samuel Edward Konkin III
* Janusz Korwin-Mikke
* Étienne de La Boétie
* Rose Wilder Lane
* David Leyonhjelm
* Roderick T. Long
* Lord Acton
* Tibor Machan
* Wendy McElroy
* Ludwig von Mises
* Gustave de Molinari
* Albert Jay Nock
* Robert Nozick
* Isabel Paterson
* Ron Paul
* Pierre-Joseph Proudhon
* Ralph Raico
* Ayn Rand
* Leonard Read
* Murray Rothbard
* Joseph Schumpeter
* Julian Simon
* Herbert Spencer
* Lysander Spooner
* Max Stirner
* John Stossel
* Thomas Szasz
* Henry David Thoreau
* Leo Tolstoy
* Benjamin Tucker
* Josiah Warren

Issues|

* Anarcho-capitalism and minarchism
* Criticism
* Intellectual property
* Internal debates
* LGBT rights
* Objectivism
* Political parties
* Theories of law

Books|

* Anarchy, State, and Utopia
* Atlas Shrugged
* For a New Liberty: The Libertarian Manifesto
* Free to Choose
* Law, Legislation and Liberty
* The Market for Liberty

Related|

* Anti-collectivism
* Anti-communism
* Anti-fascism
* Anti-socialism
* Austro-libertarianism
* Center for Libertarian Studies
* Civil libertarianism
* Constitutionalism
* Economic liberalism
* Fusionism
* Green libertarianism
* Libertarian conservatism
* Libertarian socialism
* Libertarian Democrat
* Libertarian Republican
* Libertarian science fiction
* Libertarianism in South Africa
* Libertarianism in the United Kingdom
* Libertarianism in the United States
* Objectivism
* Public choice theory
* Small government
* Technolibertarianism

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