"Last night, someone told me “In California, there isn’t a conflict between being a Capitalist, and a Liberal”, with a wry grin on his face." Of course there isn't. Liberalism in its purest form (as espoused by Hayek, say) is, in effect, free market capitalism with a light but universally applicable (no "special cases", as those lead to totalitarianism) set of regulations to prevent bad actors (e.g. hey, let's put he…
"More doubtfully compatible with the liberal conception of equality is another measure which also gained wide support in liberal circles, namely the use of progressive taxation as a means to effect a redistribution of income in favour of the poorer classes. Since no criterion can be found by which such progression can be made to correspond to a rule which may be said to be the same for all, or which would limit the degree of extra burden on the more wealthy, it would seem that a generally progressive taxation is in conflict with the principle of equality before the law and it was in general so regarded by liberals in the nineteenth century."
- Liberalism, F. A. Hayek