cross-posted from: https://lemm.ee/post/37346628
This theory starts off with Capitalism as a base with strong government regulations, basically unlimited over-reach and no nominal taxation up front. In terms of politics, perfect democracy or lottocracy to taste.
Companies are allowed to amass wealth as usual, with freedom to innovate.
The kicker: a universal government competitor (UGC) for every novel company. Instead of acquiring nominal monetary taxation, the government takes half of all of the company’s physical labor and resources, additionally sharing any patent rights the company owns.
The universal government competitor operates entirely on the back of the existing company, until that company fails, then it will be funded through its own profits, until it fails. Any additional profit gained is used to fund public services and government duties. The UGC is free to set whatever prices it deems appropriate without risk of getting undercut.
I think a key benefit is “no taxes”: normal citizens will only pay taxes in terms of paying for products from the UGC while directly receiving a good or service for it in return. Companies will also always be forced to innovate and keep products safe. It will make billionaires difficult to create.
This, like any other economic theory would be difficult to implement. However, I think it might be simple enough that most people could understand it, and attractive as a challenge for thirsty innovators that the masses might find it palatable.
but idk, i just thought it up in the bath
Two things - why make a real physical thing instead of say, government buys 10 percent shares in company every year after 5 years of its existence. Company profits are flatly redistributed across all people (so sweden plan). Companies can optimize for profits all they like, they fuck workers too much - ubi backstops them. They innovate new company - they receive big ass payout during government buyout.
No taxes is a big unknown as well, non working population is between 50-60 percent, it’s not exactly clear that profits will pay both their existence and all medical care and all services. Moreover if the profit rate falls everything breaks at once. Flatly separated taxes are fine as well, you pay for medical care some percentage, you elect head honcho of medicine for a term
Aye, that’s valid, it’s just a different theory at that point