Tyler Cowen coins the phrase “state capacity libertarianism” as an evolution of libertarianism that recognizes that a big, muscular, strong state is necessary to preserve and extend markets and individual freedom.

(1) This is just plain silly. The defining characteristic of libertarianism is that governments should be tiny, ideally only providing police, military and contract enforcement. To call yourself a “state capacity libertarian” is like being a “meat eating vegetarian.”

(2) I have always considered myself a liberal or progressive but I may in fact be a “state capacity libertarian.”

Fortunately, this is perfectly compatible with being a Democrat. The Democratic Party is the natural home in the US for every political philosophy other than moron racist kleptocrats.