Governments are businesses.
This is not a subjective viewpoint that I'm using to model global interactions. In the sense that they get paid (taxes) to provide services, governments really are businesses.
Moreover, to some degree, they compete. This is not very comprehensive competition (it's mostly confined to business and tourism at the moment), but comprehensive competition isn't necessary for governments to feel pressure to improve, and it could easily become more expansive with some changes to our mindset.
Most people have the capacity to move to another country. Maybe not one on the other side of the planet, but at the very least, one that lies adjacent to their current country. For example, I could easily move to Mexico.
The fact that I don't is a tacit endorsement of the country in which I reside. By remaining here, I endorse the actions of my government with tax money, including the Iraq war, Guantanamo Bay, etc.
I find this preferable to supporting the inept, corrupt government of Mexico.
In effect, I choose my government, however limited my choice may be.
Because I have a choice to accept or decline (by relocating) my government's policies, everyday politics are completely amoral. They are not forced upon me, I have chosen them.
So why is our government, on the whole, so un-business-like?
Because it has been socialized. That is, democracy is socialism applied to governing businesses. Socialists assert that businesses should be run democratically, and this is in large part how our government is run.
Capitalist libertarians, to be internally consistent, should be opposed to democracy, and instead advocate letting market forces mold governments. In fact, this is very possibly the most sensible stance.
I'm a theory-oriented person, and, because most political issues seem to be approachable only from a pragmatic view, discussing politics holds about as much interest for me as discussing the best way to mass produce toaster ovens (which actually seems moderately interesting, now that I think about it). Try as I might, I cannot make myself curious about something as trifling as loads of obscure statistics and competing ideologies, none of which can sufficiently explain the workings of our societies. Now that I have demonstrated the amoral nature of politics, I don't feel so badly about that. Actually, I'm a bit apprehensive, because I'm worried that I created all of this merely to justify my apathy.
No major, successful businesses work on the socialist model (where the workers democratically control the "means of production"), so it only makes sense to get rid of the socialism in our government, right?
Since many people take issue with this, I will go into more detail.
How much power do we wield in our republic, anyway?
Public opinion has been solidly against the Iraqi war for many months now, yet it looks like, instead of pulling out, more troops will be sent to the region.
Despite the popularity of the theory, Intelligent Design has been effectively blocked from public schools' curriculums by the Supreme Court.
No one wants to pay higher taxes, and yet they seem to inexorably increase year after year.
In fact, our government system was explicitly designed to frustrate what the authors viewed as the capricious inconstancy of public opinion.
Imagine if one out of every eight people decided the Iraqi war was morally wrong and as a result relocated to a more peaceful country. I imagine the war wouldn't last long. The only reason this doesn't happen is because you and I have been raised believing that democracy (which is not even technically what we have in the U.S.) is the end-all, be-all, infallible form of government, and the thought doesn't cross anyone's mind, as they're too focused on changing their government from the inside.
Also, the amount of information necessary to make informed decisions in a democratic government is immense, far more than the average person is able/willing to keep up with. Thus people often base their views on the views of more informed people (like political commentators), creating a privileged elite which practically controls most issues. [1]
As abdicating control of a government to a business would lead to far less information needed for keeping track of it (compare keeping up with politics to buying a toaster oven, which would require a ton of technical knowledge if gone about democratically), this trend of a few being largely in control would become negligible.
The best way to gain more power over one's government is, not to pass laws further restricting politicians, but to abolish them altogether. Let go of the democratic stranglehold, and governments will be free to flourish.
Intra-State Business
There are two primary assumptions in laissez faire capitalism theory which are clearly inaccurate.
1) Every individual knows what is in his self-interest.
This is the theoretical basis for not allowing any outside forces from interfering with consensual relationships, business or personal.
For this to be absolutely true, a person would have to know everything.
An example: It may be in a person's self-interest to boycott a particular product because of the hideously large amounts of pollution the production of that product creates, but, being unaware of that fact, he/she buys it because it is the cheapest available choice.
2) Every individual has an infinite lifespan.
Long-range ("enlightened") self-interest is an integral aspect of pure capitalism. With an impending death, many things commonly rooted out by simple competition - cheating, extortion, false advertising, etc. - lose their negative consequences, because those consequences only come into play after one's life.
It is often argued that these inaccuracies are so slight as to be negligible, but I have come across enough examples of destructive business practices to realize the speciousness of that stance. (For a good - albeit somewhat skewed - start on that, watch The Corporation.)
Therefore I endorse mild government intervention in the business sphere, as I can deduce from the above that these policies are in my best interests.
Investing
Governments, as the most powerful business in their respective regions (duh!), are in a unique position to invest huge amounts of money into social enterprises, such as universal health coverage, fire stations, police, etc., all of which are public goods, because disease, conflagration, and crime, respectively, can potentially harm anyone in the surrounding area. These are difficult areas for traditional businesses to enter, so their provision by governments is logical.
It makes sense, from a business perspective, to provide vouchers for these services in case a private company has found a way to provide the services more efficiently. A government that smothers innovation in these important areas will be rendered obsolete by more adaptable competition.
Another area for investing, especially for states that gather their revenue through taxes, is in the poor. A relatively small investment in job training or education could reap huge profits for the government later on. This is another case where the voucher reasoning applies.
Taking this idea even further, a government could offer to import customers from less efficient (that's a euphemism for "third world") countries, offering them decent homes in exchange for unskilled labor (because the native poor have largely been promoted to better jobs, leaving a labor vacuum - this is becoming the case in Sweden now [2]). Then the process continues until poverty is no longer a serious problem.
All that is needed is to tie governments' interests to the people's, which democracy only partially accomplishes.
Science
Politics has been notoriously bereft of controlled experiments. An un-democratic government is in a much better position for setting up areas where new laws can be tested, ideas tried, and all sorts of academic research done, leading to bounds forward in government efficiency. For example, the heavy investment in business infrastructure in hereditary monarch-ruled Dubai, member of the UAE, where "the huge government spending, furthermore, in every dimension of the economy has made the people absolutely satisfied and managed to divert their attention to other areas than politics, given their free access to education and health services, as well as the subsidized primary commodities, which all led to the overall economic wellbeing." [3]
Verification
I was planning on doing some in-depth research to see how well this thesis matched reality, but that is proving very difficult (I sympathize with economists now), so I can only give a few general examples.
Many northern European (Sweden, Norway, Finland, etc.) countries have heavy economic regulation and are very successful. Norway, for instance, has the second highest GDP per capita worldwide.
Looking at monarchies/emirates in the middle east for examples of what a business-run government could look like, Dubai, Oman, and Qatar are progressing well, Saudi Arabia (with its government based largely on the Quran) is so-so, and Sudan is malevolent enough that in some parts (Darfur) people are leaving in hoards. The fact that people are leaving conforms to my theory, and the government's lack of response can either be interpreted as an unseen flaw in my theory, or as a drastic aberration from business-like methods.
Ethics
As a business, would a government be entitled to incarcerate someone?
What about capital punishment?
Sure. By living inside the boundaries of its authority, an individual tacitly agrees to the laws in place.
However, the death penalty in most places is unpopular, and so likely would be rare.
Also, a private government would probably take measures to make sure inmates are profitable, instead of becoming a large tax burden, as they often are today.
Inter-State Business
How can I justify pure capitalism between states while endorsing economic regulation inside of them?
The majority of cases where government regulation is desired involve externalities (in the economist's sense - pollution and similar destructive by-products of businesses). Governments, as primarily service providers, are practically immune to this problem.
If they do, for some reason, become large polluters, citizens can partly base their choice of governments on that detail. To do this, they'd have to care enough to fund a third party to objectively measure the pollution. (Also, if they applied this strategy to other companies, much government regulation would be rendered unnecessary.
Laissez faire capitalism at the government level could also lead to international treaties (say, obligating governments to lend a hand to the citizens of a nation that obstructs their freedom to relocate), which would slightly socialize their interactions.
Implementation
This political philosophy would be relatively easy to implement. In a democratic government, a party could be formed (personally, I would call them "Abdicationists") to advocate it. In a dictatorship or a monarchy, the leader could be convinced that he'll be better off going about things in this manner.
It's not even necessary to abandon democracy altogether to get some results - for example, the successful NPR (National Performance Review / National Partnership for Reinventing Government) initiative led by Al Gore in the Clinton administration saved American taxpayers $136 billion, in the name of the "customer". [4]
One note on completely transferring power to a business: there's a possibility that it would be best to wait until medical technology has made major advances in extending the human life-spans. This would minimize the longevity problem discussed earlier (which would also alleviate the ignorance problem). At the very least, treating governments as democratically controlled businesses would definitely lead to improvements now.
Future Trends
As non-government businesses find ways to provide services offered only by governments now, governments will slowly be necessary for fewer and fewer services, until eventually all services currently provided by governments are offered by independent businesses, creating a state of anarcho-capitalism.
Feedback
Before running naked through the streets shouting "eureka", I thought I'd ask for criticism, thus the publicity blitzkreig. I'd appreciate any you have.
Also, if you have something to add onto my "Verification" section, I'd really appreciate help there, too.
A list of where I advertised this blog (mostly to help myself keep track):
MySpace:
The Intelligentsia
True Patriotism Isn't Blind
Libertarian Party
Anarcho-Capitalism
Socialism
MySpace Democrats
MySpace Left Versus Right
[Update: the U.S. government, among others, is a huge polluter (nuclear weapons), so that pollution-measuring company will be indispensable.
Since the consent given to governments is indirect (as opposed to a signed contract, which would be direct), all of its policies are of dubitable morality. However, the question of whether government policies are all immoral or all amoral does not affect the fact that very large gains could be made by subjecting governments to competition as businesses. At this time, that could be most easily accomplished by accepting indirect consent as sufficient. The transition to requiring direct consent would be simpler from this point.]
Sources
[1] TCS Daily - Two Strategies for Avoiding Truth (thanks to Ryan for that)
[2] I read this somewhere, but I'm having a hard time tracking down the source. I'll put it here when I find it.
[3] Wikipedia - United Arab Emirates
[4] NPR (thanks to Eddie for that)