On the other hand, we must defend ourselves against the vested interests or at the very least lower their oppression as much as possible. If we eschew reformist activity as counter-productive, how will we achieve that?
One way is o bring more and more people into the counter-economy and lower the plunder available to the State. But evasion isn’t enough; how do we protect ourselves and even counter-attack?
Slowly but steadily we will move to the free society turning more counter- economists onto libertarianism and more libertarians onto counter-economics, finally integrating theory and practice. The counter-economy will grow and spread to the next step we saw in our trip backward, with an ever=-larger agorist sub-society embedded in the statist society. Some agorists may even condense into discernible districts and ghettos and predominate in islands or space colonies. At this point, the question of protection and defense will become important
Using our agorist model (Chapter 2), we can see how the protection industry must evolve. Firstly, why do people engage in counter-economics with no protection? the pay-off for the risk they take is greater than their expected loss. This statement is true, of course, for all economic activity, but for counter-economics it requires special emphasis:
The fundamental principle of counter-economics is to trade risk for profit. [9]
The higher the expected profit, the greater the risk taken. Note that if risk is lowered, a lot more would be attempted and accomplished - surely an indicator that a free society is wealthier than an unfree one.
Risk may be lowered by increasing care, precautions, security (locks and stashes), and by trusting fewer persons of higher trustworthiness. The last indicates a high preference for dealing with fellow agorist and a strong economic incentive binding an agorist sub-society and an incentive to recruit or support recruitment.
Counter-economic entrepreneurs have an incentive to provide better security devices, places of concealment, instructions to help evasion and screen potential customers and suppliers for other counter-economic entrepreneurs. And thus is the counter-economic protection industry born.
As it grows, it may begin insuring against “bursts,” lowering counter-economic risks further and accelerating counter-economic growth. Then it may provide lookouts and guarded areas of safekeeping with alarm systems and highly technological concealment mechanisms. Guards may be provided against real criminals (other than the State). Already many residential, business and even minority districts have private patrols, having given up on the State’s alleged protection of property.
Along the way the risk of contract-violation between counter-economic traders will be lowered by arbitration. Then the protection agencies will start providing contract enforcement between agorists, although the greatest “enforcer” in the early stages will be the State to which each can turn the other cone into. Yet that act would quickly result in one’s expulsion from the sub-society; so an internal enforcement mechanism will be valued.
In the final stages counter-economist transactions with statists will be enforceable by the protection agencies and the agorists protected against the criminality of the State. [10]
At this point we have reached the final step before the achievement of a libertarian society. Society is divided between large agorist areas inviolate and statist sectors. And we stand on the brink of Revolution.