[tremon]

[an] example in all of human history of a free market without a state

The Hanseatic League. This was basically its own trade association across North Europe, based on maritime trade. It had considerable market/economic power, but no legislative power; most participants were city-states so they were self-reliant to a degree, but none of them had jurisdiction or power over the entire group.

[mjburgess]

I can't speak to the example other than skimming wikipedia, but:

> Hanseatic Cities gradually developed common trade regulations.

> That year, the merchants of the Hansa in Cologne convinced King Henry II of England to exempt them from all tolls in London[26] and to grant protection to merchants and goods throughout England.[27]: 14–17

> etc.

> By the mid-16th century, these weak connections left the Hanseatic League vulnerable, and it gradually unraveled as members became consolidated into other realms or departed, ultimately disintegrating in 1669.

So it looks like the league was parasitic on the relevant states involved being able to implement regulations, so, basically exactly the point i'm making.

And secondarily, insofar as the legague itself lacked a mechanism to enforce transnational agreeement, it was weak and collpased.

So QED: insofar as participating states had viable regulating mechanisms the system work; insofar as challenges arose which requrired transnational mechanisms, it fell apart.