Free Private Cities are, apart from the relationship to the host state and to the outside world, non-political societies. Everyone knows his rights and obligations. It is known from the outset that it is not possible to impose one’s own values upon others. The legitimacy of this system is beyond question. After all, each individual citizen has concluded a contract with the operator, which finally describes the current order and the corresponding rules.
While voluntary initiatives and associations are easily possible, there is no forum to change the legal position of other contract citizens against their will for one’s own benefit or with regard to a self-defined common good. Political activists, lobbyists or free riders who, because of their proximity to power, seek subsidies or unproductive incomes, fail. Distributional struggles and the stirring-up of social groups against each other are a thing of the past: there are no spoils left to win. Rather, all citizens of a Free Private City can rely on the fact that their life, liberty and property are not subject to political uncertainties. They do not need to interfere in political disputes and do not suffer any disadvantages as a result. They do not have to devote their time and energy to fending off restrictions on freedom. Each individual has a far better opportunity to shape their lives according to their values. In conventional states, however, they are forced to purchase and finance a whole bundle of services that they may not even want. This prevents them from using free resources in a way that is better suited to their ideas and their situation in life.
The same applies to entrepreneurs who want to make their projects a reality. In a Free Private City they no longer have to “get involved” in preventing adverse measures, i.e. they no longer have to spend a large part of their time sitting in political meetings or committees or joining political parties or associations, writing letters to the editor or blog posts, commenting on legislative projects and so on. They do not need complicated and legally questionable tax-saving models; their payment obligations are small and fixed for the future. Free Private Cities are therefore likely to be economically superior to conventional systems after a short time. The entrepreneurs would concentrate on what they do best, namely serving the market.
The abstinence from politics also means the renunciation of currency and interest-rate manipulation. Asset accumulation, old-age provision and purchasing power gains for all are made possible by natural deflation due to productivity gains. Since in principle all innovations are permitted and are only limited by their effect on the rights of others, new discoveries by trial and error are far more likely than in conventional states. Over time, a high, innovative spirit leads to greater prosperity and a higher quality of life. This includes a clean environment.