The individual is without doubt the most important entity in society. Only the individual think, reason and act. Only it know how to satisfy its wants. [...] A group of individuals are nothing but equal potential to spontaneous order and imminent chaos - depending on the formalization of the structure. There is nothing special about it - not even when it comes to an outcome of a democratic process.
This was said in the context of economic theory, where it is not unreasonable, but it inspired me to write a few paragraphs about a wider point that I have thought long and hard about. As I perceive it, statements of this type are often made as a kind of libertarian dogma, being applied far beyond the realm of economics. I am not accusing Robert of this, only thanking him for stimulating me to think and write.
In any case, the status of the individual is a core issue for libertarianism and I think many libertarians need to think more carefully about it. Here is what I wrote about it in a comment:
Individuals are almost completely defined by the groups they come from. Just think of language, religion, all kinds of values and other customs. These things play a much bigger part in defining who you are, than your individual personality traits or even your individual actions. For example, if you had grown up in the country-side in Afghanistan, you would almost certainly be a hard-core muslim. Your individual capacity to reason about such things and come to your own conclusions amounts to almost nothing if the comparison is between cultures, rather than between individuals within a single culture.
Human beings are flock animals, like chimpanzees. Not solitary animals, like orangutans. We are biologically hard-wired to live in symbiosis with with a small group. To say that there is "nothing special" about such groups is profoundly unrealistic. So speaking from biological facts, rather than romantic ideals, the flock/tribe/village/community is the most important entity in society. Individuals are secondary, since they are basically extensions of these groups. I also think it more realistic to consider the community to be the proper level of autonomy, rather than the individual, since communities are the only entities that are actually capable of long-term self-determination.
(Incidentally, this solves a number of common problems associated with libertarianism. For example, what about the individual rights of children? That question is based on a false premise - the much more important issue is the autonomy of the groups children grow up in.)
In my view, the root of almost all societal problems, not least things like over-sized governments, is the destruction of organic communities. The reason people are dependent on the state is that they do not have local communities to support them, which was the way things worked for tens of thousands of years until the process of civilization gradually shifted the dependency from organic communities to governments. Conversely, the only way to decrease dependence on government is to recreate local communities. It is simply not an alternative for everyone to create their own lives according to their individual preferences, because again, if you are even able to reason about such things, e.g. if you can use a language, you are already created in the image of some group.
Libertarians open themselves up for ridicule when they focus too much on the individual, because everyone else is very aware of the degree to which everyone is dependent on social factors. Instead, we should focus on changing which kinds of groups are considered important. Instead of identifying with nations, we should try to form natural-sized communities (30-100 individuals perhaps) which function so well that the government becomes redundant. Without such communities, removing the state from the equation might even be very dangerous, which is why I have stopped arguing for abolishing the government, to instead focus on building a good community around myself.
In answer to this comment, I got the question whether or not individuals are to be considered as insignificant, due to their biological hard-wiring, and the objection that the human mind is adaptive and can break out of specific influences. This is an additional comment I made with regard to this:
That the individual is not the most important entity in society does not mean that individuals are not important, and indeed, most great leaps forward seem to spring from the minds of individual people. But note that progress can only happen if the ideas of a great individual takes root in a well-functioning group, i.e. when a community starts pursuing the ideas together.