So by definition of free market it should provide an alternative solution to the state that would outcompete it. The system described in this thread might be one of the alternatives that would emerge on the free market as long as there is a need for it (as long as there is a state).
Indeed, creating an alternate system to the State and subsequently out-competing it is the goal of
Agorism. That system is
Anarcho-capitalism. You're simply re-inventing the wheel, with the same
flimsy spokes.... It won't take long for the wheels to come right off.
Thanks for the links, but I prefer to be practical and focus on how things work rather than how things are called and what labels are being put on them.
Well, that's nice and all, but if you don't read the information provided, you won't know how things work, regardless of the names put on the systems.
The concepts you linked to were invented before the advent of Bitcoin and related technologies, so going back into the past in an attempt to understand how things could have worked back then and why they failed might not be quite relevant today.
"Those who cannot learn from history are doomed to repeat it." - Santayana
Adding computers to a system based on a logical fallacy won't make the fallacy right. It will only make the wheels fall off faster. Here, a Sci-fi example of what might happen in your system:
http://www.johnjosephadams.com/seeds-of-change/?page_id=66By proposing the system that relies on new technology that never existed before (cryptographically provable voting) we will have much less chance of repeating the history compared to attempting to defend the system which could work before but failed. Please understand that consensus-based system is not anti-free-market in any meaningful way. You are free to join/leave any consensus-group or stay alone. Your disliking of it won't prevent others from forming voluntary consensus groups, so by not creating this system we would have achieved nothing.
And no, sound money isn't enough. We've already had gold as a sound money and that didn't prevent the society from derailing itself into a fiscal abyss.
In my view, we have always had a free market and it is our ability to compete on it is what changed over time. From the looks of it free market didn't prevent concentration of power and formation of states. Therefore you cannot blame states for the lack of free market because free market is what created states in the first place.
False. States are successful protection rackets, nothing more. Paying a fixed fee to one group of bandits who have decided to settle down is preferable to losing large chunks of your economy to whichever roving band comes along. Think of it as the "criminal agricultural revolution."
It doesn't matter what you call them. It's the most competitive way to survive that people have figured out given the technologies they had. I'm not saying it will stay that way, though. You see, in the beginning there were just people and they were free to discover whatever ways are best for their survival. So you can say we already had a free market in the beginning and it led to the creation of states.
No, we had a market preyed upon by criminal gangs, some of whom decided it would be safer to farm their plunder than to hunt it down.
So the model of free market you are so vigorously defending is vulnerable to the attack by criminal gangs?
No surprise it never actually manifested. There is no point in attempting to do the same thing the same way again and again expecting different results. That would be repeating the history. Why not leverage the new technology instead and see what happens? Maybe this time it will actually work.
1) What would prevent building literally dozen of bridges in the same area provided that all the competitors start at roughly the same time and firmly believe that they will accomplish the job first.
The problem is that only one or two bridges are really necessary and the rest will be unused and go bankrupt wasting resources and hurting the environment.
Well, putting aside the fact that it's highly unlikely that a dozen road companies would try to build bridges at the same time, for any given stretch of river, there are only a few spots where building a bridge would be economical. The narrower, and thus easier to traverse, sections of river would be claimed first, finished first, and more profitable one completed, because of lower maintenance costs. Furthermore, road companies know this, it's their business to. Additional bridges would only be built if demand required them enough to make them profitable.
Consensus-based solution: large enough consensus group would be able to determine the actual number of bridges that is necessary before doing the actual job.
https://en.wikipedia.org/wiki/Argumentum_ad_populumYour argument isn't much stronger. It might or it might not work. Road companies might discover that demand for bridges isn't that high, but we still might end up with dozen of bridges if it would mean going out of business for those who don't succeed.
Mine is at least an argument, rather than a fallacy. Do you not think that road companies
know that building extra, unprofitable bridges would spell their doom?
Yes, so you still have a problem of solving "doom" scenario in your model of free-market.
What if you find yourself in that situation, what would you do?
What if the company you worked for that went bankrupt was the last of the two competitors in this area of expertise and the one that remains in this business already managed to buy enough land and a few media companies slowly turning into a state? Would you join them?
Would you please elaborate on how my argument is fallacy?
2) In your arbitration example you say that production company would give arbitration company an authority over itself. What would prevent the formation of literally dozens of small arbitration companies all coming to the same or different factories and charging them damages for some alleged complaints from some people somewhere. It would seem like a very profitable business to me.
What prevents lawyers from knocking on your door and presenting you with alleged complaints from some people somewhere now? Oh yeah, no clients. Seriously, look into how arbitration works. You're clearly arguing from ignorance, and it's hurting your case.
Because in our attempt to compete with the state on the free market we failed and we had a choice to either die from starvation, go rogue or trade whatever we have left (our freedom) on whatever terms the successful competitor would be willing to accept us. This is how free market works. Is this really what you like to promote? i guess what you have in mind is a free ethical market, but you would need some sort of consensus system to determine what the word "ethical" means in the environment you find yourself in.
In the arbitration example above, the consensus group would at least be able to present cryptographically provable evidence of the achieved consensus of a large group of people to the factory prior to taking any actions violent or otherwise. This proof might have more weight for the factory than claims of some self-proclaimed arbitration company.
Again with the ad populum, now mixed in with your ignorance of how arbitration works. Please, before you reply, at least read the wiki article:
https://en.wikipedia.org/wiki/ArbitrationIf reading through that article didn't empower you to answer my question in a meaningful way, why would you suggest me reading it?
Consensus-based solution: large enough consensus-group would be able to present the factory with the following alternatives: a) join the group and comply with consensus, b) pay the damages and think again if it's still profitable to continue pollution, c) face violent response from consensus group provided that the group is large enough to prevent factory from hurting the environment, d) small consensus group incapable of influencing the factory might seek to merge with other small groups or leave the area peacefully.
I see, so we're back to "might makes right," eh? There are more of us, so we can force you to do what we want? Your system shows it's true colors at last.
So you prefer to not have might and bow down to those who have?
Isn't that what you're doing right now in relation to state? I thought you didn't like it.
No, I prefer to reject might-makes-right, rather than simply being on the larger side of that equation.
Your reply doesn't provide any constructive solution to the problem in question.
The consensus-based system doesn't force you to be with the larger group and it doesn't imply that the larger group would always achieve consensus for a violent resolution with regards to smaller groups.
In contrary it is a way for peaceful people in that group to have more influence in the decision making and serve as a counter-balance to those people who strive for power and tend to be more aggressive to attempt to maintain power and extend it by any means (violence not excluded).
So you're likely to have less violence with consensus-based system rather than with centrally-managed pyramid-structured profit-driven corporations very afraid to not be successful and therefore being aggressive or they would otherwise face the "doom" scenario, that you still haven't come up with a solution for.
Consensus-based system is the way to distribute might but still have it, rather than give it away and bow down.
You mean the way to force the smaller group bow down to the larger, whether or not the larger is "right."
If majority of members in the larger group which might consist of family members with children and their elders would vote for a violent resolution with regards to a smaller group, yes that would be a result.
You cannot change people's morals with the technology, but the technology will allow those with higher morals to be heard and listened to, so that violent resolution of any conflict would have less chance manifesting.
Think of the following case: private defense company is having hard time to find customers because the area has become peaceful and nobody needs protection anymore. If they are profit-driven they might consider creating diversions or false flag attacks so that their services are still needed.
Indeed, this might be a problem. Of course, it would be in the best interest of those harmed by the attack to discover who did it, so they can collect damages. When the trail leads back to the protection company, suddenly all those profits they were making evaporate.
It all boils down to what happens when a company doesn't succeed on the free market. What is the choice?
Just die? Gather into street gangs to get their way through violence (very viable alternative for a private defense company)? Go to your competitor and ask for help? And what if your competitor is the state and it asks for your freedom?
You do know that companies go out of business now, right? And don't riot in the streets? The employees go their separate ways, usually finding employment with their former competitors.
So we will find ourselves in a situation with fewer and fewer competitors which become more and more self-sufficient and gradually turning themselves into a state?
You see, you continue to defend the system which leads to the situation that you don't prefer.
Contrary to the profit-driven corporations on the market, consensus-based groups would tend to become self-sufficient thus they won't suffer too much from the market conditions. They might still engage in a free trade with other groups or individuals if it's more efficient for them to buy stuff on the market than to do it in-house, but generally they don't have to. By being self-sufficient and no longer profit-driven consensus-based groups would concentrate on improving their quality of life, developing new technologies advancing science and entertainment.
Those two bolded statements contradict. Please correct. Either they would no longer be profit-driven, or no longer care about their quality of life.
Those statements only contradict if you outsource things that you depend on to other participants on the market. If you have a family garden and a farm which is capable of producing enough food throughout the year, you will have a lot of free time during winter to engage in many other activities that would benefit your performance next year. For example think how to improve the machinery that you use to work more efficiently, so that you could spend less time working on the farm and more time entertaining yourself.
Don't get me wrong, profit and competition isn't a bad thing, but it's the experience that you get throughout your life that matters most and too much concentration on profit would lead to greed and that in turn would lead to fear of loosing what you have so that you become obsessed with power and control.
I agree with myrkul. Calling a taxed population "a free market" is a mistake. Saying that the outrageous accumulation of power and influence caused by favoritism in the laws is "the fault of the free market" is a mistake. These conclusions are not supported by observable reality and, as such, I do not accept them, nor should you.
As I've already mentioned, I'm not very interested in how things are called, but rather how things work.
If you can provide a good explanation of how the system that you are defending would work, I would be willing to engage in a meaningful discussion.
Did you read
any of the articles I linked? They explain how those systems work. Here, the link again:
https://en.wikipedia.org/wiki/Anarcho-capitalismIf reading those articles didn't empower you to produce any variant of a meaningful answer to the questions being discussed or at least a simple approximation of an answer, then what makes you think that me reading those articles would produce a different result?
I'm not against backing up your claims with other sources, but I'm not very comfortable with just sources and no claims.