Ethically, we have in the State, as defined above, a contradiction in terms. For if the State is the means by which private property is supposed to be ultimately defended, and yet the State declares, independent of the will of the property owner, what the property owner must pay him or be recipient of violent expropriation, then the private property itself, rather than being defended, is threatened. As Hoppe notes: “However, a tax-funded life-and-property protection agency is a contradiction in terms: an expropriating property protector.”
Moreover, if the State claims unto itself the right to act as the sole provider of its services and actively seeks the elimination of any competitors, then in driving other competitors out of business, here too it contradicts its very intended role. Any State that allows its citizens to choose another criminal punishment corporation if they desire, that is, any State that does not consider itself as the sole provider of its “services,” cannot last as a State any longer than the citizens allow it. And thus, being essentially a voluntary organization, it loses its status as a State; for States are force, not cooperation. Therefore, a State must, to retain its label, actively seek the eradication of all jurisdictional competitors; and in doing so, it contradicts its role of defender of private property. For it must violate the private property of its competitor in order to eliminate it.
The private-law society is one in which all individuals are bound by the same law and there is none who is legally allowed to exempt himself. There is no “public property,” and every owner of property is the ultimate decision maker over the use and restrictions of his property. There are no public officials who can for “the public interest,” expropriate wealth from the property owner, restrict by force the entrepreneurial activity of the owner in the form of regulations, or create tax-funded bureaucracies, for whatever purpose he has in mind. No one is allowed to acquire property except by way of original appropriation or voluntary trade; neither is anyone allowed to “prohibit anyone else from using his property in order to enter any line of production he wishes and compete against whomever he pleases.” (Hoppe).