Competition and open markets are the battle-songs of the EU. While they gave birth to the four economic freedoms, political competition has been neglected. Thus, a future European constitution should strengthen political competition by guaranteeing a fifth freedom: Citizens and communities are allowed to found Functional, Over-lapping and Competing Jurisdictions. These FOCJ build on Modern Political Economics. However, similar institutions have existed in European history, and are successful today in the form of U.S. special districts and Swiss functional, democratic and overlapping communities. FOCJ prove to be welfare-increasing, and the counter-arguments not to be valid.
© 1996 by Lucius & Lucius, Stuttgart