I agree it seems farcicle but it will inevitably creep in regardless with any centralized system, simply as turnover of people's roles to younger overseers without the benefit of experience occurs. Self-limiting and enforcing limits is not unheard of though usually exceedingly rare.

There is such a thing as the rule of law, but as you mentioned when the powerful band together in collusive behavior anything is possible, and its usually for their benefit. The rule of law as we've come to know it generally speaking usually requires appropriate representation with regard to crafting/maintaining those laws but that is not always the case.

Also, without maintaining a market which limits currency sufficiently to allow rational price discovery, you run into the Economic Calculation problem which has no solution. A form of it is inflation/deflation curves based on lagging indicators where you whipsaw closer and closer to the margins until one or the other outcome spirals out. Very dynamical.

> What we are seeing. >> I don't buy this at all as a key factor

We'll have to disagree. Its pretty obvious that previous generations starting at the point of taking the dollar off the gold standard have consistently spent more than revenue (negative cashflow). They've spread the loss in value globally, but its still a loss and worse its in lagging inflation adjusted payouts.

The bill always comes due, and the consequences of policies put in place over that time will be paid by generations who had no say in its creation. Debt can be just as coercive when backed by law (austerity measures).

Incidentally, a very similar issue came up during the French Revolution (Bastille) at least according to Thomas Paine who wrote about it in passing in his Rights of Man (1770s). That and Common Sense are both very interesting reads if you can make the time.

In my opinion, power should be entrusted to the people's representation in a republic with important limitations enforced independently to preserve their responsiveness to the people they represent.

For example representatives who spend more than X% of their time on activities other than representation, time for which they are paid by the taxpayer. Or representing/concentrating more than 80,000 people's voting rights in a single person aren't really representing their constituents in any equitable way. Exceeding either of those limits causes their responsibility and duty to fall in furtherance of maintaining their profession.