Here's what a country governed by denis will look like.

1. No flat democracy. Flat democracy is when two wolves and a sheep get to vote on what's for dinner. It leads to dysfunctional populist policies and totalitarian states. Hitler was voted into power. So were Putin and Ahmadinejad.

People don't know what's best for everyone. They can be manipulated at will and they won't ever know any better unless there's an external correction.

Just look at how long the income tax has persisted. Look at how bureaucracy worldwide has ballooned. People can't get elected unless they're good at lying and manipulating. If any improvement is to be done, it can only get done by a skillful politician who can do it not because of, but despite the public.

This is no way to govern a state.

For their own sake, power is not for the masses.

But even more importantly, power is not for the crackpots: Kim Jong-il, Stalin, Ceausescu. So where shall the power reside?

2. An enlightened, constitutional absolutism, until a better model is found. The initial constitution shall be short and shall consist mainly of the essential human rights the state is obliged to respect, lest it forfeit its legitimacy. In most respects though, I shall be free to organize, reorganize and partition the state as I see fit, in order to find the best working model. Models I shall try will include SD-2 (Structured Deep Democracy) and WikiLaws. Preferrably, I would like to come up with a dynamic system that leads to a stable, free and self-improving state without the need for central leadership. If this fails, I will look for a way to select central leadership through a better process than the current major systems (flat democracy or hereditary monarchy) provide. (A system like the one through which a Dalai Lama is chosen comes to mind.)

3. No income tax. No tarriffs. No customs. The income tax imposes costs of compliance which seriously impede economic activity. Tarrifs unnecessarily impede trade. No one should have to concern themselves with taxation when making economic decisions. Revenue collection must be neutral, straightforward and fair. If necessary, something akin to FairTax can be enacted, but it will not be necessary, because:

4. The state owns all land. Land cannot be purchased, only rented, by companies and individuals. The state lends all land through auction, collecting the proceeds as its revenue. The revenue that the state collects is its own and the state may do with it as it pleases, provided only it does not violate the constitution. The state is thus interested in pursuing policies that encourage economic activity, which in turn increases the value of land. The state is encouraged to take responsibility for land development and planning and is motivated to always do the right thing, long term, with respect to the land. Thus the power to solve problems is placed with the entity most able to solve them, and the entity is motivated to solve them.

5. Anyone can immigrate as long as they can rent a place. The state and the economy always benefits from economic immigration, so there is no need to restrict this. The only condition is that everyone who immigrates is able to provide themselves with the basic necessities.

6. Everyone must provide for themselves. The state is to be founded on formerly barren land, so all or almost all initial citizens are immigrants. Those who cannot provide themselves with basic necessities, or refuse to do so through honest means, are sent back to their country of origin.

7. High-quality education. The long-term well-being of the state depends entirely on the abilities of its citizens, so these must be nurtured and developed to the highest extent. This starts with top-notch elementary schools followed all the way through to universities. Elementary schools are free and well-financed. Subsequent levels of education are accessible to everyone on an investment stipend principle: the state or other investor finances the student in exchange for a share of her future paycheck. The share (interest rate) is larger for riskier investments (student might not be capable for his chosen path), smaller for less risky ones (student appears very capable).

8. Failed persons have status of pets. People who are not able to provide themselves with basic necessities, yet cannot be deported because their country of origin will not accept them, or because they were born within the state, are understood to have the same status as pets. They are a burden to society which someone needs to bear. If someone (friends or relatives) is willing to take care of such a person, they are free to do so. If no one is willing to take care of you, you are sent to an institution that houses people who cannot provide for themselves. This institution may or may not provide limited access to the outside depending on whether you present a threat to society.

It is understood that, if you are unable to provide for yourself, there are two options: you either have potential or you do not. If you have potential, someone should be willing to invest in you to help you become what you can. If no one is willing to make that investment, your case must be considered terminal, hence you get placed into an institution suitable for humanely sustaining your life at a reasonable cost to the state.

This is intended to be a reasonably acceptable yet glum prospect, to avoid a situation where people are encouraged to mooch off the state.

9. Universal anti-infection testing. The state concerns itself with ailments that can be transmitted from one person to another and takes steps to minimize transmission of illness. All visitors and immigrants are routinely tested for a variety of transmitted diseases, including STDs. All citizens are tested in regular intervals or on return from trips abroad. The strategy for dealing with infections depends on person's status (citizen, foreigner), infection spreding mechanism (breathing, sexual, ...), etc.

Example: as long as HIV treatment is expensive and the infection non-curable, the state will not routinely pay for treatment (the person should be insured for the possibility or face consequences). However, the state will help prevent further infection by making it possible for potential sexual partners to easily and trustworthily share information about each other's recent HIV and STD test status before engaging in sexual activity.

10. The state will promote rationality. The state won't prohibit anyone from worshipping God, Allah or the Invisible Pink Unicorn. However, the state will ensure through its education system that children are well-informed about the existence of various religions, their various histories, policies and views, and why rational thinking is better suited to solving one's problems than mere belief.

11. Personal freedom. The state will not legislate on anyone's ability to do things that adversely affect no one else. Pornography, promiscuity, nudity, prostitution, gambling and drugs will all be permitted. What won't be permitted is violence and crime. People who resort to violence and crime because of their lifestyle choices will be considered for a possible investment deal to bring them back on a productive path, or else, internment in the humanitarian institution for housing people who cannot take care of themselves.

12. No revenge-based justice. The justice system shall focus in every case to find the solution that is best for everyone. People who have transgressed against the law and done things such as stealing, rape, murder, shall not be punished so as to exact revenge, but shall be prevented from repeating their offense in a way that will necessarily restrict their freedom, but attempting to preserve possibilities for them to still somehow make sense of their lives and do something good for themselves and society. A 21-year old woman who falls asleep behind the wheel and accidentally kills 6 teenagers doesn't need to go to prison for 48 years, regardless of what the parents of these children feel.

I have more ideas, but it's already 5:40 AM.

So, what do you think?

I only need 100.000 people who want to live in a state like this, to lend me an initial investment of about US$100.000 each. That's a pittance compared to the taxes your family and yourself will save over a lifetime. Then we can lobby the Australian people to sell us a bit of their land so we can start our country.

Sure, there's nothing there right now, but we don't need anything to begin with. Singapore sprouted in a matter of decades, and Israel started out as a desert. With the right economic system in place, a paradise can be made out of anything. All we need is a piece of land where no one will bother us, where we are reasonably safe, and where we have room to expand.

In 30 years, New York could be nothing compared to the metropolis we can build there.