This is a followup to another thread (Free Markets are for Sissies).
The question I want to pose here is whether or not there can be honor among thieves and, conversely, whether it can be said that those who have honor are thieves.
By “honor” I mean trustworthiness, the ability to cooperate toward shared goals without backstabbing.
If the answer is “no”, then theives are at a perpetual disadvantage to the honorable and there are practical benefits to being trustworthy and discerning correctly who to trust. In this case, those who act honorably with one another can undertake ventures that require trust and cooperation whether that be marriage or a corporation or a country.
But there is another possibility: that honor is factional. In this case, it might be perfectly feasible to steal from “others” while retaining trust among “ourselves”. The classic examples here is the tribe and nation-state which conquers its neighbors but provides for its own. More interestingly, you have the situation of governments that prey on one class of citizens on behalf of another.
Regarding the second question, it is often said, and I have heard it argued in these forums, that there is no moral or practical difference between taxation and extortion. But there is one practical difference: you know the tax rates at any given time. There is no such assurance that any payment to an extortionist will satisfy his demands.
To pose the question in a most practical way: are there advantages to doing business or otherwise relating to fellow Objectivists beyond that available to a group of socialists? Or are there prehaps organizational advantages available to socialists that Objectivists eschew (e.g. the willingness to bond by force)?