Methodological Individualism

The most useful thing about the Austrian school of economics is the insistence on the fundamental unit of human action being the individual.

This sounds silly or tautological, but nearly every other approach to social sciences sneakily ignores this truth. Collective entities and aggregates are analyzed and theorized about, as if they act and individuals simply float along with theses actions taken by undefined blobs.

If “the government” outlaws something, what does that mean? Can “the government” sign a piece of legislation, pass down an order, seize my raw milk, issue me a fine, or put a gun in my face or throw me in a cage until I acquiesce?

“The government” has never sent me a tax bill. Only individual humans who work at the IRS have.

Don’t get me wrong. Methodological individualism does not deny the existence of esprit de corps, the madness than can seize a mob, or even metaphysical energies or entities that form or are formed by the collective actions, words, or emotions of many individuals.

But when it comes to understanding what is happening on a human level, we must stick to observable decisions and actions, which are always and everywhere made and taken or not taken by individuals.

Individualism is more than a methodology for good social science. Ethical or moral individualism is also crucial. It’s the only way to ensure we do not let ourselves off the hook.

“The culture” deserves neither credit or blame, though it is colloquially useful to speak as if it does at times. Only individuals do.

St. Augustine gave a wonderful reminder of this:

“Bad times, hard times, this is what people keep saying; but let us live well, and times shall be good. We are the times: Such as we are, such are the times.”