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The Business Case of Free Private Cities
In: Was tun? Wie Freiheitsentrepreneure unser Zusammenleben revolutionieren (2025), pp. 157–174
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AbstractIn this paper, Alexander Voss outlines Free Private Cities (FPCs) as a contractual, market-based alternative to traditional state governance. In FPCs, residents voluntarily enter into binding agreements with a private operator who provides essential services – such as security and infrastructure – in exchange for a fixed fee, ensuring transparency, efficiency, and individual sovereignty. Drawing on historical and modern precedents (e. g., the Hanseatic League, Dubai, Hong Kong), Voss argues that FPCs are both politically liberating and economically viable. Their business model relies on land value appreciation, resident fees, and private investment, allowing for scalable development and long-term sustainability. With legal safeguards, decentralized funding mechanisms like quadratic finance, and a foundation in voluntary association, FPCs present a realistic and innovative path toward freer and more responsive governance in the 21st century.
Table of Contents
| Section Title | Page | Action | Price |
|---|---|---|---|
| Alexander Voss: The Business Case of Free Private Cities | 157 | ||
| I. Introduction | 157 | ||
| II. Defining Free Private Cities | 157 | ||
| 1. Governance as a Service: The Core of Free Private Cities | 158 | ||
| 2. A New Social Contract Based on Consent | 158 | ||
| 3. Key Features of Free Private Cities: Titus Gebel&TRapos;s Vision | 158 | ||
| III. Real-World Implementation of Libertarian Ideals | 160 | ||
| 1. Historical Examples: Venice, the Hanseatic League, and Free Imperial Cities | 160 | ||
| 2. Contemporary Examples: Dubai, Hong Kong, Singapore, and Monaco | 160 | ||
| 3. SEZs and SARs: Steppingstones Toward FPCs | 161 | ||
| 4. The Evolution of SEZs: Private Ownership and Broader Autonomy | 161 | ||
| 5. How Free Private Cities Build on this Trend | 162 | ||
| IV. Economic and Social Benefits of Free Private Cities | 162 | ||
| 1. For Residents and Businesses: Predictability, Personal Freedom, and Economic Opportunity | 162 | ||
| 2. For Host Governments: Economic Growth, FDI, Jobs and Global Integration | 163 | ||
| 3. Why Free Private Cities Succeed where Traditional Cities Struggle | 164 | ||
| V. The Business Model of Free Private Cities | 164 | ||
| 1. Investment Model | 165 | ||
| 2. Revenue Generation for Operators | 165 | ||
| 3. Risk Mitigation for Investors | 166 | ||
| VI. Legal and Institutional Structure of Free Private Cities | 166 | ||
| 1. Legal Autonomy within Host Nations | 166 | ||
| 2. Ensuring Legal and Investor Protections | 167 | ||
| VII. FPCs as a Scalable and Replicable Model | 168 | ||
| 1. Global Adaptability | 168 | ||
| 2. Portfolio Approach | 169 | ||
| VIII. Business Operation Concerns | 170 | ||
| 1. Political Challenges | 170 | ||
| 2. Economic Sustainability | 170 | ||
| 3. Financial Sustainability | 171 | ||
| 4. Overcoming Public Skepticism | 172 | ||
| IX. Conclusion | 172 |