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Formal ethical theories of libertarianism have developed over time and basically they describe the assortment of several beliefs that advocate for maximization of the ability of an individual in terms of his or her ability to think and act (Duncan & Machan, 2005). This is to act with a few restrictions or restraints from the large social structures with the example of a government. Following this point, it is important to bring into the context one of the theory of libertarianism that will be applied in the questions of discussions to be explored. As such there are several such like theories that have been developed.

For one, there is the theory of social contract by John Locke’s along with Kant’s theory of autonomy. In this case, the former will not be relied on so much but rather the latter will be used in this case. As a matter of fact, Kant’s theory of autonomy is one of those theories that were developed incorporating the ideas of libertarianism (Hill, 1991). As such, the theory asserts that humans as rational beings have an interest in being autonomous in the sense of being self governing. In line with this, they take the role of law as to be rooted in the fact that it is meant to protect these spheres of autonomy through which individuals can act without interference with others. In connection to this, export capital for production abroad is meant to produce cheaply abroad as compared with the production at home. In connection to this, resources are exported in terms of capital for production.

While in face to face with this issue, it is important to bring out the fact that no any constraint ought to be placed on the freedom of a business exporting capital for production abroad as it interferes with the human interest to act and think independently without interference by the social structures such as government (Mytelka, 1991). Another point to note is that, no constraint ought to be placed on the freedom of a business to export commodities which have been banned from sale in the United States. This is because this is an interference with the Person’s self governance to do so. However, if this act will interfere with others, selling of the commodity will be unethical as well as immoral as people do not become self governed to harm others.

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Again in this context, there is the issue to do with downsize in the face of economic difficulty and break of union contracts in the face of economic difficulty. The former is a case that is carried out during economic difficulties in the sense that is helps to reduce workforce in order to have an economically manageable business that would result in making of high profits. Remarkably, the downsizing is done in most cases with good motives to avoid making great losses (LaFollette, 2000).

In this case, no constraint ought to be placed on the freedom of a business to downsize in times of difficult economy as they are allowed based on Kant’s theory of autonomy to exercise their autonomy as well as think and act without interference but rather be protected by law as the law is meat to protect the liberty of the members. From another point of view, contracts can be broken in times of uncertain economy as well as times of economic difficulties. In this sense, no constraint ought to be placed on the freedom of a business to break such contracts in economic crisis (Tran, 2002).

Why should a business be restraint or restricted by social cultures like government from ending contracts when in actuality this is the only way out. This is unethical and therefore according to Kant’s theory of autonomy, businesses should be given full autonomy to act and think in a self governing way of which the government should instead seek to protect such spheres of autonomy in order that there would be no interference from others. From the above analysis that has been provided along with the exploration of theories but with the particular formal ethical theory which is termed as Kant’s theory of autonomy, one can come to a conclusion that no constraint ought to be placed on the freedom of a business to carry out its activities as it is required by Kant’s theory to rather enjoy full autonomy.

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