Peter Leeson
Encyclopedia
Peter T. Leeson is BB&T
Professor
for the Study of Capitalism
at the Mercatus Center
, George Mason University
He authored The Invisible Hook: The Hidden Economics of Pirates, a book in which he uses rational choice theory
to examine the economic conditions and incentives that influenced pirate behavior and resulted in their being pioneers of democracy
.
in 2001, Leeson entered the Ph.D. program in economics at George Mason University
. After time as Visiting Fellow in Political Economy at Harvard University
in 2004, he earned his doctoral degree from George Mason in 2005. Leeson completed a post-doctoral fellowship as an F.A. Hayek fellow at the London School of Economics
.
, where he remained for two years. In 2007, he left WVU to accept a position as BB&T Professor for the Study of Capitalism at George Mason University. He is also a Senior Scholar at GMU's Mercatus Center
.
Besides his teaching and research positions at George Mason, Leeson is a Distinguished Scholar at the Center for the Study of Political Economy at Hampden-Sydney College
, a Research Fellow of the Independent Institute
, and serves on the Executive Committee of the Society for the Development of Austrian Economics. He is also a member of the Board of Scholars of the Virginia Institute for Public Policy, Associate Editor of the Review of Austrian Economics, and an Adjunct Scholar at the Mackinac Center for Public Policy
.
Much of Leeson's research examines self-enforcing exchange and private social structures. Leeson has posed consequentialist
arguments for anarcho-capitalism
, asserting that,
The Fund for the Study of Spontaneous Orders, which is administered by the Atlas Economic Research Foundation
, awarded Leeson its Hayek Prize in 2006, noting of his scholarship that,
, Leeson's book and numerous articles on the topic of piracy
have drawn substantial media attention. In an article published by National Public Radio, he said that "early 18th century pirates, men like Blackbeard
, "Black Bart" Roberts
, and "Calico" Jack Rackam
, were not only thieves. They were also early experimenters with some of the modern world's most cherished values, such as liberty, democracy, and equality."
Although Leeson is careful to note that he does not praise the criminal actions of pirates, he argues that their self-organization is a useful illustration of how even criminal conduct is based on rational self-interest. In an interview published by The New York Times, Leeson summarized his thesis:
BB&T
BB&T Corporation is an American bank with assets of $157 billion , offering full-service commercial and retail banking services along with other financial services like insurance, investments, retail brokerage, mortgage, corporate finance, consumer finance, payment services, international...
Professor
Professor
A professor is a scholarly teacher; the precise meaning of the term varies by country. Literally, professor derives from Latin as a "person who professes" being usually an expert in arts or sciences; a teacher of high rank...
for the Study of Capitalism
Capitalism
Capitalism is an economic system that became dominant in the Western world following the demise of feudalism. There is no consensus on the precise definition nor on how the term should be used as a historical category...
at the Mercatus Center
Mercatus Center
The Mercatus Center at George Mason University in the United States is a non-profit market-oriented research, education, and outreach think tank affiliated with the Koch family. It works with policy experts, lobbyists, and government officials to connect academic learning and real-world practice...
, George Mason University
George Mason University
George Mason University is a public university based in unincorporated Fairfax County, Virginia, United States, south of and adjacent to the city of Fairfax. Additional campuses are located nearby in Arlington County, Prince William County, and Loudoun County...
He authored The Invisible Hook: The Hidden Economics of Pirates, a book in which he uses rational choice theory
Rational choice theory
Rational choice theory, also known as choice theory or rational action theory, is a framework for understanding and often formally modeling social and economic behavior. It is the main theoretical paradigm in the currently-dominant school of microeconomics...
to examine the economic conditions and incentives that influenced pirate behavior and resulted in their being pioneers of democracy
Democracy
Democracy is generally defined as a form of government in which all adult citizens have an equal say in the decisions that affect their lives. Ideally, this includes equal participation in the proposal, development and passage of legislation into law...
.
Education
After earning a B.A. at Hillsdale CollegeHillsdale College
Hillsdale College in Hillsdale, Michigan, United States, is a co-educational liberal arts college known for being the first American college to prohibit in its charter all discrimination based on race, religion, or sex; its refusal of government funding; and its monthly publication, Imprimis...
in 2001, Leeson entered the Ph.D. program in economics at George Mason University
George Mason University
George Mason University is a public university based in unincorporated Fairfax County, Virginia, United States, south of and adjacent to the city of Fairfax. Additional campuses are located nearby in Arlington County, Prince William County, and Loudoun County...
. After time as Visiting Fellow in Political Economy at Harvard University
Harvard University
Harvard University is a private Ivy League university located in Cambridge, Massachusetts, United States, established in 1636 by the Massachusetts legislature. Harvard is the oldest institution of higher learning in the United States and the first corporation chartered in the country...
in 2004, he earned his doctoral degree from George Mason in 2005. Leeson completed a post-doctoral fellowship as an F.A. Hayek fellow at the London School of Economics
London School of Economics
The London School of Economics and Political Science is a public research university specialised in the social sciences located in London, United Kingdom, and a constituent college of the federal University of London...
.
Career in economics
After returning from London in 2005, Leeson accepted a position as an Assistant Professor of Economics at West Virginia UniversityWest Virginia University
West Virginia University is a public research university in Morgantown, West Virginia, USA. Other campuses include: West Virginia University at Parkersburg in Parkersburg; West Virginia University Institute of Technology in Montgomery; Potomac State College of West Virginia University in Keyser;...
, where he remained for two years. In 2007, he left WVU to accept a position as BB&T Professor for the Study of Capitalism at George Mason University. He is also a Senior Scholar at GMU's Mercatus Center
Mercatus Center
The Mercatus Center at George Mason University in the United States is a non-profit market-oriented research, education, and outreach think tank affiliated with the Koch family. It works with policy experts, lobbyists, and government officials to connect academic learning and real-world practice...
.
Besides his teaching and research positions at George Mason, Leeson is a Distinguished Scholar at the Center for the Study of Political Economy at Hampden-Sydney College
Hampden-Sydney College
Hampden–Sydney College is a liberal arts college for men located in Hampden Sydney, Virginia, United States. Founded in 1775, Hampden–Sydney is the oldest private charter college in the Southern U.S., the last college founded before the American Revolution, and one of only three four-year,...
, a Research Fellow of the Independent Institute
Independent Institute
The Independent Institute is a libertarian think tank based in Oakland, California. Founded in 1986 byDavid J. Theroux , the Institute sponsors studies of major political, social, economic, legal, environmental and foreign policy issues. It has more than 140 research fellows. The Institute was...
, and serves on the Executive Committee of the Society for the Development of Austrian Economics. He is also a member of the Board of Scholars of the Virginia Institute for Public Policy, Associate Editor of the Review of Austrian Economics, and an Adjunct Scholar at the Mackinac Center for Public Policy
Mackinac Center for Public Policy
The Mackinac Center for Public Policy is a free market think tank headquartered in Midland, Michigan. It is the USA’s largest state-based free market think tank...
.
Much of Leeson's research examines self-enforcing exchange and private social structures. Leeson has posed consequentialist
Consequentialism
Consequentialism is the class of normative ethical theories holding that the consequences of one's conduct are the ultimate basis for any judgment about the rightness of that conduct...
arguments for anarcho-capitalism
Anarcho-capitalism
Anarcho-capitalism is a libertarian and individualist anarchist political philosophy that advocates the elimination of the state in favour of individual sovereignty in a free market...
, asserting that,
"the case for anarchy derives its strength from empirical evidence, not theory.... Despite... significant arenas of anarchy we do not observe perpetual world war in the absence of global government, shriveling international commerce in the absence of supranational commercial law, or even deteriorating standards of living in Somalia. On the contrary, peace overwhelmingly prevails between the world’s countries, international trade is flourishing, and Somali development has improved under statelessness."
The Fund for the Study of Spontaneous Orders, which is administered by the Atlas Economic Research Foundation
Atlas Economic Research Foundation
The Atlas Economic Research Foundation, also known as the Atlas Network, is a non-profit organization based in the United States which organizes and convenes workshops, offers training, runs prize programs, and provides advisory services in order to continue growing and strengthening an informal...
, awarded Leeson its Hayek Prize in 2006, noting of his scholarship that,
"Leeson has concentrated on the study of the problem of order where no formal law exists, showing how in such diverse situations as trade among strangers, banditry in colonial West Central Africa and modern SomaliaSomaliaSomalia , officially the Somali Republic and formerly known as the Somali Democratic Republic under Socialist rule, is a country located in the Horn of Africa. Since the outbreak of the Somali Civil War in 1991 there has been no central government control over most of the country's territory...
, and life in pirate societies over the ages often informal rules emerge that allow order to be preserved without heavy handed government control."
Economics of piracy
In the wake of the Maersk Alabama hijackingMaersk Alabama hijacking
The Maersk Alabama hijacking was a series of events involving piracy that began with four Somali pirates seizing the cargo ship southeast of the Somali port city of Eyl. This event ended with the action of 12 April 2009. It was the first successful pirate seizure of a ship registered under the...
, Leeson's book and numerous articles on the topic of piracy
Piracy
Piracy is an act of robbery or criminal violence at sea. The term can include acts committed on land, in the air, or in other major bodies of water or on a shore. It does not normally include crimes committed against persons traveling on the same vessel as the perpetrator...
have drawn substantial media attention. In an article published by National Public Radio, he said that "early 18th century pirates, men like Blackbeard
Blackbeard
Edward Teach , better known as Blackbeard, was a notorious English pirate who operated around the West Indies and the eastern coast of the American colonies....
, "Black Bart" Roberts
Bartholomew Roberts
Bartholomew Roberts , born John Roberts, was a Welsh pirate who raided ships off America and West Africa between 1719 and 1722. He was the most successful pirate of the Golden Age of Piracy. He is estimated to have captured over 470 vessels...
, and "Calico" Jack Rackam
Calico Jack
John Rackham , commonly known as Calico Jack, was an English pirate captain operating in the Bahamas during the early 18th century...
, were not only thieves. They were also early experimenters with some of the modern world's most cherished values, such as liberty, democracy, and equality."
Although Leeson is careful to note that he does not praise the criminal actions of pirates, he argues that their self-organization is a useful illustration of how even criminal conduct is based on rational self-interest. In an interview published by The New York Times, Leeson summarized his thesis:
"The idea of the invisible hook is that pirates, though they’re criminals, are still driven by their self-interest. So they were driven to build systems of government and social structures that allowed them to better pursue their criminal ends.... The reason that the criminality is driving these structures is because they can’t rely on the state to provide those structures for them. So pirates, more than anyone else, needed to figure out some system of law and order to make it possible for them to remain together long enough to be successful at stealing."
Books
- The Invisible Hook: The Hidden Economics of Pirates. Princeton: Princeton University Press, 2009. ISBN 978-0691137476
- Media, Institutional Change, and Economic Development (with C. Coyne). Cheltenham: Edward Elgar, 2009.
- The Economic Role of the State (ed. with P. BoettkePeter BoettkePeter J. Boettke is an American economist of the Austrian School.-Early life and education:Boettke was born in Rahway, New Jersey to Fred and Elinor Boettke and remained there until he moved to Pennsylvania to attend Thiel College in Greenville and later Grove City College. He became interested in...
). Cheltenham: Edward Elgar, under contract. - The Legacy of Ludwig von Mises: Theory and History (ed. with P. Boettke). 2 vols. Aldershot: Edward Elgar, 2006. ISBN 978-1840644029