The birth of panarchism: Voluntary non-territorial states in the works of Gustave De Molinari and Paul Émile De Puydt

Panarchism is a theory of political legitimacy proposing a global society of voluntary, non-territorial states established through explicit contracts between governments and prospective citizens. This article explores the foundational works and divergent legacies of two 19th-century Belgian panarchists – Gustave De Molinari and Paul Émile De Puydt – to clarify panarchism's core principles. In 1849, De Molinari introduced The Production of Security, advocating a free market for governance where non-territorial governments compete as alternatives to territorial states in safeguarding life and property. In 1860, De Puydt published his seminal article ‘Panarchy’, from which the theory derives its name, endorsing voluntary, non-contiguous governments as a means of maximising individual freedom. While De Molinari is often seen as a precursor to right-wing anarcho-capitalism and De Puydt's ideas resonate more with left-libertarians, this article argues that these differences are rhetorical rather than substantive. By showing that a commitment to individual autonomy underpins both thinkers' work, the article explains how their divergent receptions are shaped more by external factors than theoretical discrepancies. Recognising this clarifies panarchism's theoretical coherence and offers contemporary political theorists a unified understanding of the panarchist view.