Professor Hoppe has suggested that perhaps the best route to a free society founded on the natural order is secession. In one article I remember reading (can’t find the cite right now, sorry), he even went so far as to suggest that San Francisco might be the sort of place in which secession could be a real possibility. It has the advantage of being a coastal port city with a strong culture of anti-establishment mores.
I have been thinking about this idea of micro-secession for some time. Since government is publicly-funded plunder, the essence of government is avarice, envy. A good example is the European Commission’s bizarre and arbitrary multi-billion Euro fine levied against Intel for “anti-competitive behavior”. In reality, the EC is simply plundering Intel in exchange for the opportunity to sell things within the boundaries of its influence. “If you want to sell here, you better pay for the privilege.”
Now, let’s switch over to the city of North Oaks, Minnesota. This is a former gated community which is 100% privately owned, including the city streets. To my knowledge, all the “public” services, such as street maintenance, utilities, and so on, are handled contractually, rather than through the ad hoc “government” process followed in ordinary municipalities. The homeowner’s association is, in my opinion, the closest thing to a “natural order society” that I can think of. North Oaks, MN takes this to the scale of a small city.
Let’s say, for the sake of argument, that SF did secede and followed the model of North Oaks with full privatization of all services within its boundaries. Most importantly, law and security would be privatized. I think most people on this forum would agree with Hoppe that the prosperity of such a society would be so overwhelming that a primary problem facing its inhabitants would be the problem of deciding who may or may not come within its boundaries, that is, the immigration problem.
But another problem, just as large or larger than the problem of immigration, would be the problem of plunder by the surrounding social states. The political entity which had formerly claimed SF as part of “its territory” would seek to again reassert its “claims” and would work tirelessly to create a pretext for this (the possibilities are endless… just claim that money laundering, tax evasion, drugs, prostitution, human trafficking etc. are being produced in the free zone). It would likely amass its troops and naval vessels around the seceded territory in preparation for assault to convince the inhabitants of the territory to “voluntarily rejoin” the larger political union so they can be taxed and regulated like everyone else.
If the free zone is to continue existing in the face of this aggression, it must organize some way to control ingress and egress from the territory and it must organize some way to defend its borders from military aggression. Lastly, while law would be privatized within the borders of the seceded free zone, individuals and entities within the free zone would still be faced with the problem of legal issues with outsiders whose sovereign law systems largely do not cognize free market arbitration arrangements.
So, we have at least three features of traditional governments which need to be replaced, so to speak: border control, regional defense and “international” dispute resolution. In Hoppe’s view, private insurers would take the role of funding defense measures in a natural order society. But the outcome of a seceded free zone is so certain that who would be foolish enough to insure any assets within it? So, an-cap defense, as Hoppe envisions it, is out the door. And who owns “the border”? The “SF Landowner’s Association” might be a fully-contractual analogue of the North Oaks HOA that manages, as part of its charter, border security. But if some private organization was contracted to defend the border, it would acquire the capacity to determine who may enter and leave and, thereby, garner all the powers of traditional government to monopolize through exclusion (for example, it could charge Intel billions for the “privilege” of shipping products across the border, maybe disguised as some BS “anti-competition” finding against Intel). Maybe the SF LOA (Landowner’s Association) would retain some other security company as a “praetorian guard” to protect the governing body against such aggressive actions on the part of whatever security company it contracts to protect the border. In any case, the potential for crossover into territorial monopolization of law and security (public, socialized government) seems to me to be very large.
Anyway, I just wanted to spark a discussion to see how people envision various possibilities unfolding. It’s all purely speculative, we won’t likely see any such developments in our lifetimes, but it’s still fun.
Clayton -