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Strategies compared: 
Agorism vs Parallel Systems
Strategies for Liberty
  • Absence of legitimate initiatory violence
  • No coercion
  • Property is absolute (all parties of transaction agree)
Make initiatory violence illegal for EVERYONE !
Violence only legitimate in direct, immediate and
attributed self-defense.
"No man may be forced to partake in anything 
that he perceives as evil."
Liberty is no assurance of
  • cooperation & agreement
  • trade
  • prosperity
  • lifestyle support

Theoretic & empiric support:
Economically free societies outcompete economically
unfree societies economically.

Getting there: Agorism proper
Counter-economics as political strategy:
  • Ideological education of existing "black market" actors
  • Black market entrepreneurship
  • High black market prices finance black market defense
  • Black market defense outdoes criminals in low-stakes conflicts.
  • Black market defense outdoes STATE in high-stakes conflicts.
Agorism assumptions:

  1. Defense against criminals is comparable to defense against state
  2. Black market profits are significantly higher than white market
  3. Defense against state can rely on self-defense
  4. Black market defense out-competes both state offense and defense 
    (for decisive victory)
Black market profit reality
Profits attributable to:
  • Lack of supply during high demand: war zones, communism
  • Violent competition: drug trade, arms
  • Violent redistribution: corruption, parasitic use,
    exploitation (drug distribution, labor), theft
  • Reuse of tax-financed services
  • Untaxed supply chain
Black market profits, Agorism's problems

  • Increases supply & peaceful competition
  • Decrease violent competition
  • Taxed supply chain (except for simple products)
    => Pays the enemy
  • Tax advantage is reduced to main actor's income tax rate
What about the risk bonus?
Risk is a cost, not profit.
Competition in risk mitigation is limited to the black market.
Profit = Price - Cost  ...   Cost = OtherCost + Risk + Mitigation
Risk = SUM( Probability of damage event X Damage amount )

Black market risks:
  • No iteration (death, prison)
  • Destruction of productive capital
  • Destruction of savings
  • Extortion

Black market risks are operational+personal not just
production and unit.  Irrational actors win price competition.

Black market final words:
  • GREAT for increased supply
  • GREAT startup strategy (come clean, Mafia)
  • GREAT for deregulative pressure (but not absolute)
    => Prostitution, Drugs
  • Good if jurisdictional arbitrage exists

Non-violent black market activity is necessary, laudable,
but not sufficient.
Also very profitable if:
  • State support
  • Corruption
  • Exploitation (unlicensed taxation)
  • Offensive violence
Outcompeting state security services: Germany, Switzerland

  • Highly competitive (many actors, high iteration, some incentives)
  • Personal and information bound
  • Relies on citizen support, legal limits
  • Can rely on market (private security, private investigators)

  • Special rights & corruption
  • Not effective on transnational, petty and group crime
  • International cooperation (in progress)
  • Remove special rights & increase citizen support (unlikely)
  • Less delegation: Everyone a peace officer (unlikely)
Significant increase in effectiveness by black market unlikely,
efficiency hard to predict (not high).  Special cases exist (totalitarian).
Competition of Violence:
State/non-liberty is ahead:
  • Existing high investment over long time
  • Bigger capital base (population)
  • Less restrictive ethics (collateral damage, attack)
  • Element of surprise (attack capability)
  • Static command: Concentration of force capability
  • Large controlled territory: Maneuver capability
  • Network of enforcement: Interdiction capability
  • Attrition advantage
  • Highly competitive: Police, mercenaries, private security,
    terrorists, outsourcing
States are the historic winners of violent competition.
All-stake conflict between unrestrained state and restrained
black market will lead to defeat.

  1. Defense against criminals is comparable to defense against state.
    False => Many uncoordinated actors vs a lot of coordinated actors
  2. Black market profits are significantly higher than white market.
    False => Sum total is small compared to white market. Tax advantage is
    small. Higher efficiency limited by size of operations
  3. Defense against state can rely on self-defense.
    False => Attrition problem
  4. Black market defense out-competes both state offense and defense.
    False => State can learn from black market and has ethics "advantage"
Agorism conclusion
That's not going to work...
Lessons learned:
  • Black markets are not economically free:
    State imposed "risk mitigation tax" that can approach infinity
  • Efficiency matters because of scarcity:
    Taxes are relatively less scarce
  • The state is highly effective and competitive in IT'S market:
    => Violence & Control (see: nuclear weapons)
  • Efficiency and effectiveness are not the same
  • Competitive advantage must accumulate to become decisive:
    => Must escape attrition, gain "organizational immortality"
  • (Do not confuse liberty with getting rich)
Parallel Systems
Vertical Secession
The Second Realm
An alternative strategy?
Network theory of Enforcement
Society & Market are networks

  • Identify hubs (nodes that mediate between nodes)
    banks, insurance, welfare, power distribution, transportation
  • Strengthen society's reliance on hubs
  • Regulate hubs to support indirect regulation (enforcement):
    AML, KYC, product definitions
  • Incentivize hubs: Protection, tax breaks, status, access
  • Punish and disconnect disobedient hubs (licenses, liability)
  • Throw in some nudging, education, media and propaganda
  • Rely on outright stupidity of counter-propaganda actors
  • Reap peer pressure profits!
The modern state's method.
Jackboots are sooo 1900s.
Parallel systems: Milestones*
  • Do not rely on the state: Money, communication, power, food
  • Do not use the state: Security, insurance, welfare
  • Ignore the state: Protect against low-stakes, low intensity
    state attacks
  • Prefer non-state over state-connected products
Independence & Moral High Ground unlocked. Power boost!
  • Do not contribute to the state
    => Prevent knowledge/tech/capital from leaking to the state
  • Disengage & invite: Products, culture, ideas, future, friends!
* development in parallel, completion in order
Parallel systems: Implementation principles
  • Peace: Do not engage in high-stakes conflict
  • Prevent loot/pay-off if conflict cannot be escaped
  • Voluntary entry only, no parasitism
  • Resilient, independent infrastructure
  • Independent supply chain
  • Mutual security with specialists (important)
  • Competition with state in "consent goods" market
    => Aid, law, security, welfare
  • Inherently defensive systems (important)
Inherently defensive systems
  • High cost of attack
  • Low payout / loot
  • Resilient: Hard to destroy completely
  • No accumulating risks
  • No "no retry" risks
  • Ideal: Secondary costs for attacker: Collateral damage
"Imperfect" examples:
  • Untraceable, anonymous cash (digital or not)
  • Tor / I2P
  • Bitcoin
  • Brainwallets

Parallel systems: Design patterns
  • Operational Security (OpSec)
  • Tribes: Mutual defense, support, challenge, enforcement
  • TAZ: Temporary autonomous zones
  • Resilience skillz
  • Distributed "cottage" industry
  • Intelligence & Analysis
    => Help seeing and learning
    => Organizational immortality
Explained: Temporary Autonomous Zones
  • It's territory: Inside, Outside, borders
    => better defense
  • Supports non-attribution of evidence
  • Accumulation and cooperation
  • Social anchor
  • Social "laboratory"

Must haves:
  • Access control / defense
  • Tamper evidence
  • Easy to move / copy
  • Containment: No spillover to neighbors
Explained: Temporary Autonomous Zones
  • Secret TAZ
    => Extreme social enforcement
    => No public relations
    => "rural"
  • Digital TAZ
    => That's cryptoanarchy
  • Frontier TAZ
    => Market access
    => Mobility to escape
    => Public Relations
    => Create collateral damage for attacker
    => Anonymity & Non-attribution required
    => Urban
Drone based mix networks
for goods delivery
  • Less fatal risks
  • No high-stakes conflict
  • No blood spilled
  • Realistic success
  • Incremental
  • Everyone can participate
  • Liberty !!!
It's already happening anyways....
Last words....
join the exodus,

mass emmigration from the system of violence

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