How are federal governments equiped to tax alternative incentive systems, such as virtual reality with direct brain stimulation?
Instead of exchanging money for goods and services, we may be exchanging digitized sensations. Furthermore, the exchange may be completely wireless. In this case, how would a government extract wealth from the process of one brain exchanging digitized experience with another brain?
In this type of economy, how does an artist or teacher pay federal property taxes or income taxes, when the exchanges are exclusively experiential and private in the most sensually intimate sense? When this type of technology arrives for the general puplic, the government will have to switch from the role of zookeeper/prison guard to the role of agent facilitating the dismantling of the old agencies.
How do you visualize this process actually occuring without there being a stage of general amnesty from government prosecution?