5.19 The NDP implies a free market
The NDP implies a free market, but not because it asserts free‑market ideology. It implies a free market because once the state is forbidden from treating people differently, almost every mechanism used to control, steer, or distort markets becomes unconstitutional. What remains is voluntary exchange under universal, non‑discretionary rules. That is the essence of a free market.
The NDP structurally produces a free market. There are no selective privileges or burdens. Markets become free when the state cannot subsidise some industries, impose special taxes on others, grant exclusive licences, create protected classes of firms, and negotiate exemptions or special deals. These are all forms of discrimination. Once removed, competition becomes open and contestable.
The NDP implies there are no barriers to entry based on identity or status. Most modern barriers to entry are discriminatory through occupational licensing, zoning approvals, residency requirements, “strategic industry” designations, and minimum capital requirements for some businesses. Under the NDP, the state may regulate actions (e.g., safety standards) but not people. This collapses protectionism and opens markets to anyone who can meet universal rules.
It prevents targeted regulation. Regulation must be universal, harm‑based, and non‑discretionary. It cannot apply only to certain industries, impose different rules on small vs large firms, treat gig workers differently from employees, or create special compliance regimes. When regulation becomes universal and mechanical, it stops being a tool of industrial policy and becomes a neutral framework for voluntary exchange.
The NDP doesn't allow discriminatory taxation. A free market requires neutral taxation. The NDP forbids progressive tax brackets, industry‑specific taxes, wealth taxes, payroll taxes that treat employment differently from contracting, and targeted tax incentives. Taxation becomes flat, uniform, or voluntary. This removes the state’s ability to shape economic behaviour through fiscal discrimination.
Selective enforcement is one of the most powerful tools for distorting markets. Under the NDP enforcement must be uniform, regulators cannot “focus on” particular firms, audits cannot target specific groups, and compliance cannot be used as a weapon. This eliminates the informal, political, and bureaucratic levers that create unfree markets.
Cronyism is discrimination disguised as policy. Without the ability to discriminate, the state cannot reward allies, punish competitors, grant special access or create insider advantages. A free market emerges because the state cannot tilt the playing field.
What remains is voluntary exchange under universal rules. Once all discriminatory mechanisms are removed, the only legitimate state functions are protecting property, enforcing contracts, preventing aggression, and maintaining universal safety standards. These are the classical foundations of a free market. The NDP does not advocate for a free market. It forces one by eliminating every alternative.
The NDP does not say “markets should be free.” It says “the state may not discriminate.” But because almost every form of economic control relies on discrimination, the result is a system where:
- prices are set by voluntary exchange
- entry is open
- competition is real
- regulation is universal
- taxation is neutral
- political influence cannot buy advantage
This is a free market in the strict, structural sense.