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Mobility matters
But how would we get to limited government?
a) The leaders will wake up one day and decide to give it to us.
b) Lots of people will one day wake up and demand it.
c) Competition for strong central government will emerge.
I vote for (c). Even though the Free State Project looks like a long shot, and Seasteading looks like an even longer shot, they are interesting.
...
This suggests that the real technological fix for libertarians would be enhanced mobility. By the way, I once heard Robert Metcalfe say that the ultimate killer application for the Internet would be teleporting, so that your physical location is not a constraint. If that were possible, would government rents go way down?
This is exactly right. As evidence, note that capital is more mobile than labor, and gets lower tax rates. If we can increase the mobility of labor, we will decrease tax rates on labor. So while seasteading is a long shot, at least it's pointed in the right direction.
Also, its main obstacles are technological - and humans are damn good at solving engineering problems. I predict that if it doesn't work out, it will be for social or political reasons, not engineering ones.
And that is why I keep
And that is why I keep saying the PT movement is the avant-garde of libertarianism ;)
You forgot one possibility, though, and that is:
d) government becomes incapable of sustaining such a big size
Developping a distributed (non-centralized) easy to use micropayment system would make this possible. Ripple would be a good contender, IMO.
The public good of liberty
Here's a brief analysis on the topic I posted to Usenet in 2001.
Adding some detail:
And:
The Commanding Heights
Nice post. This is why governments begin first with the "commanding heights" of the economy; most relevant to your post: banks.
This is why they print money instead of depending solely on taxes. If they have a central bank, they don't need to just tax your business, according to the contract you made; they can simply print money and lend it to where they want to direct production (and nobody will refuse the funds), create inflation and devalue your assets; increase your costs and decrease your bottom line. They have just taxed you without your consent.
In addition, their monopoly on force (if they run the police and courts) allows them to steal in other ways; and their control over the other "commanding heights" means they can manage your other inputs, and sneak in other controls.
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