A follow-up to my question from earlier today… one objection some people had to my point in that post is that many of the rules and regulations sites like EBay and Craigslist impose are forced on them by the government. Ditto for other markets, such as the NASDAQ and the NYSE.
But that is easily remedied. Presumably, there are many countries out there with less regulation than the US. It doesn’t even have to be a place like Somalia… I’m sure there are plenty of island nations that would happily allow an EBay to set up and be exempt from any US laws. (Gambling sites seem to accomplish as much by being based off-shore, but unlike gambling, its hard to see how the government would be able to show an interest in banning the use of the Tuvalo branch of EBay, if it existed, by American citizens.)
Similarly, an electronic stock exchange could be technically based in such a location, and would be equally immune from all the tiresome US laws and regulations, and just as equally immune from all the tiresome European and Japanese laws and regulations. (I assume some laws still hold. An American citizen can’t arrange for delivery of an illegal substance at their home, even if the arrangements were made abroad. But these are relative details.)
Put another way… it is relatively simple and inexpensive to set up whatever is the ideal conservative and/or libertarian marketplace, be it in goods, services, shares of stock, or whatever. Complete with buyer beware, no pesky government interference (either regulation or protection), and the like. And given the large number of believers, presumably there would be no lack of buyers and sellers to flock to those relatively regulation-less markets.
So where are these markets?
Correction. Left out the word “libertarian” from fourth sentence from the end in the original. Apologies.