Business models for privatized government functions under anarcho capitalism.

I’d like to discuss some ideas on how public functions can be done privately just as an exercise. I’ll be posting some of the ways I think that can be run and would like to see more suggestions.

Roads.

This one is easy. Roads could be contracted out by local businesses to increase traffic. Roads can also be profitable with the use of parking meters wherever there is roadside parking. As for highways you can have free lanes that are supported by advertisement on mile marker signs and exit signs. Local businesses can pay for advertisements on exit signs (like x business on exit 23) directing people to their business. You can also have express lanes that are paid through electronic tolls or subscription and would have more lanes than the free roads.

Postal Service.

This one can be run on postage just like the government and mail pickups would be on a needed basis or through drop boxes. There are already private companies that do a better job then the Postal Service so this is already covered for the most part.

Firefighting/ emergency services.

I would have a hybrid insurance/emergency service plan. That way the business can prevent as much loss as possible and keep damage cost down just out of sheer self interest. The more you save out of a burning house the less you have to pay out.. You can call on these services if you are not insured with them but it will cost more and you will only get the service part not the insurance.

Police

This one is pretty much covered with already running private security forces.

Education

There is already a precedent for this.

Law/criminal/dispute/legislation

This one is the toughest one. There are private civil courts already and you can treat criminal activity like civil courts where rewards and punishment are determined on how your rights were violated by group of judges. The problem is the business model. How can you make money settling these things. Who would pay for the jails. The courts could probably be funded by both parties involved or turned into a tv show but I don’t know if either party would even bother going to court and just settling things themselves. Jails can be made into manufacturing plants but that would get kind of sketchy unless you agree that if you are tried by the court of your choosing you would serve your sentence through labor if convicted of a crime.

Military

This can be handled by private security forces and maybe even using the same businesses in the “police” security forces. The only problem is that they only have the equipment to fight in the form of infantry with small arms since there would normally be no need for Anti aircraft weapons, war jets, tanks, bombs or any other aerial or terrestrial machines of war. There is no business sense in having them just in the case of foreign invaders and it would take time to develop them on the spot if suddenly invaded. The only solutions I see is a mercenary army that would normally be hired by other countries to fight wars for them or have war weapon/vehicles manufacturers sell weapons to other countries but that would be kind of sketchy.

Any ideas or thoughts.

Who says you can’t have private roads?

Did you read my post? This is an excercise on how they can be privatized. Nowhere did I say they can’t be. I even layed out a way to do it.

This doesn’t address the core problem of privatization, which is to determine who will have the right to exclude people and behavior from the road.

ahem. rhetorical question.

Firefighters around here are still voluntary firefighters. They do gun raffles, cook-outs, and/or ask for donations in other ways (standing at street corners with a boot). They hold other jobs and fighting fires is in their heart.

It would probably be like any other private business. Some businesses don’t allow people who are drunk or high to wonder into their stores or come in without a shirt and shoes. Under normal circumstances anyone is allowed into the store because it is in the best interest of that business. If you start excluding people off of private roads you would end up going bankrupt and your assets would be bought up by a competitor as long as there are no coercive monopolies. In the end self interest will rule over irrational policies of exclusion. The business with the most inclusionary and rational rules will win out in the end.

As I see it putting stop checkpoints on your roads to prevent non paying customers from entering would lead to ineffciencies and more traffic which would be bad for paying customers. Thats why I have a road for everyone supported by advertisement and larger lane roads for paying customers. It a win-win and a lose-lose for those who stop everyone to check or to chase down those who don’t check in. You would need a good amount of money to maintain and expand roads anyway so you have to maximize profitability.