Free-market capitalism is the most successful economic system in history, as it has brought unprecedented prosperity and powered vast improvements in all aspects of human well-being. However, in spite of capitalism’s success, the application of economic ideas to politics is limited—which is very unfortunate, for many of the challenges characterizing contemporary politics could be solved if we apply the principles underlying free markets, such as free competition and dispersal of power. Making politics more like free markets would improve the quality of governance by making people’s lives...