“Calhoun’s insight,” Rothbard explained, was “that it was the intervention of the State that in itself created the classes and the conflict,” not the labor relations of the economy, as previous thinkers believed. Calhoun saw “that some people in the community must be net payers of tax funds, while others are net recipients.” (In today’s parlance, makers and takers.) By his theory, the net gainers of tax monies were “the ‘ruling class’ of the exploiters”; the net losers of tax funds were “the ‘ruled’ or the exploited.” In other words, Calhoun and Rothbard inverted how most people would construe
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