Quote:
Originally Posted by u crank
What possible guarantee could you or Hoppe or these private insurance and military firms give that they would not be equally corrupt. And who keeps them in line?
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I also already adressed this in an earlier posting.
In an environment where they cannot become monopolists:
competition that they cannot avoid. If people are not satisfied with their services or fees, they move somewhere else or make contract with somebody else. Too bad service? The company looses customers. Same service like others, but too too expensive? They loose customers. It is in their very own interest to also contribute to an environment where the risk that they must pay out compensations or need to send their army, is getting reduced. They also have an interest to negotiate and establish standards with other companies for negotiating conflicts between customers having hired different, rivalling companies. As a matter of fact, you already have that in the insurance business today.
State governments do not have such interests, since their governments coinsit of plolticians who cannot own the public porperty, only can gain limited oppiortunity to use it for creating benefit for thmeselves. Therefore they do not really care for efficiency in their mneasures and discipline in the long run, but they care for maximising short term profit for themselves tzhat they can invest into boosting their unaffordable promises at the next elections. So, more taxes, more state income, more debts, more expenses, more bureaucracy, less efficiency in services. The carousel goes round and round on and on, and with every turn it moves faster.