Georgist Economics and the Sublime Society

The principles of Georgist economics, named after the political economist Henry George, lie at the foundation of the Sublime Society.

Georgism advocates for a single tax on land and the unrestricted private ownership of the fruits of labor and capital. It is seen as a means to address social and economic inequalities by ensuring that individuals reap the benefits of their labor and capital, while the collective wealth generated by land and common resources is shared among the society.

In Sublime Society, these principles are reimagined and applied in the context of a decentralized digital society. Here, ‘land’ is seen as the shared digital space — the blockchain, and the ‘labor’ and ‘capital’ refer to the digital assets and services individuals bring to the community. The value created by the shared digital space is equitably distributed among all members, and individuals retain the complete value of their contributions.

Blockchain Technology and Sublime Society

Blockchain technology, characterized by its decentralized nature, transparency, and immutability, plays a pivotal role in the Sublime Society. It acts as the underpinning technology, providing a reliable and secure framework for interactions and transactions.

In this society, individual identities and interactions are governed by blockchain. This allows for a transparent, immutable record of actions and transactions, ensuring trust, accountability, and reducing the potential for misuse or fraud. By leveraging smart contracts, the society can automate the distribution of resources based on pre-determined rules, further reducing the need for a central authority.

Benefits of a Georgist Digital Society

Embracing a Georgist economic approach within a digital society yields significant benefits. These include, but are not limited to, economic equality, incentivized contribution, and minimized exploitation.

Economic Equality
The Georgist principle of a single land tax, translated into a digital context, ensures an equitable distribution of the collective wealth generated by the shared digital space. This encourages economic equality among all members, mitigating wealth disparity often observed in traditional economic systems.

Incentivized Contribution
Allowing individuals to retain the value of their labor and capital fosters a system that incentivizes contribution. As members of the society stand to gain directly from their contributions, they are motivated to add value to the community, fueling growth and innovation.

Minimized Exploitation
By adopting a model that collectively shares the value generated from shared digital resources, while allowing individuals to retain the fruits of their labor and capital, the potential for exploitation is minimized.

The Sublime Society: A Practical Example

Let’s consider a practical scenario in which the Sublime Society is implemented: A blockchain-based game.

In this game, the shared digital space — the ‘land’ — comprises the game world and its associated resources. Players generate value through their participation and the creation of in-game assets — their ‘labor’ and ‘capital’.
Using smart contracts, a ‘tax’ can be applied to the game world’s resources and assets. This tax is then equitably distributed among all players, ensuring economic equality. Meanwhile, players retain the full value of any in-game assets they create or services they provide, incentivizing continuous contribution and engagement.

Challenges in Implementation

Despite the promising advantages offered by a Georgist digital society, there are several challenges that must be addressed during implementation.

Technological Barriers
While blockchain technology provides the foundation for implementing a Georgist digital society, there are still significant technical barriers to overcome. These include scalability issues, energy consumption concerns, and the complexities of developing and integrating smart contracts into digital platforms.

Legal and Regulatory Challenges
The legal and regulatory landscape for digital currencies and blockchain technology remains in flux, particularly as it relates to taxation. Policymakers need to develop clear and consistent guidelines for implementing a Georgist tax within a digital context.

Societal Acceptance
Any radical change to existing economic systems will invariably face resistance. Convincing individuals and communities to embrace a new economic model will require comprehensive education and awareness campaigns.

Conclusion

The Georgist digital society presents an innovative approach to fostering economic equality and promoting individual contributions within digital spaces. Through the application of blockchain technology and smart contracts, it offers a practical framework for implementing a Georgist economic model in the digital realm.

However, significant challenges need to be overcome for its successful implementation. From addressing technological barriers to navigating complex legal and regulatory environments and garnering societal acceptance, the road to a Georgist digital society is paved with obstacles. However, the potential benefits and transformative power of this concept offer a compelling reason to explore and pursue its realization.

References

• George, Henry. 1879. Progress and Poverty. Robert Schalkenbach Foundation.
• Ethereum Foundation. 2021. Ethereum White Paper: A Next-Generation Smart Contract and Decentralized Application Platform. Ethereum Foundation.
• Land Value Taxation: Theory, Evidence, and Practice. Edited by Richard F. Dye and Richard W. England. 2009. Cambridge, MA: Lincoln Institute of Land Policy.