Seonglae ChoFutarchy is a system that combines democracy and market prediction where citizens first vote on goals (e.g., welfare, economic growth), then bet money in prediction markets to forecast which policies will best achieve those goals → policies are adopted based on these results.
In other words, it proposes using conditional stock markets to make policy decisions, but the problem is that such markets don't reveal causal effects, making them ineffective.
Futarchy's fundamental flaw — LessWrong
Say you’re Robyn Denholm, chair of Tesla’s board. And say you’re thinking about firing Elon Musk. One way to make up your mind would be to have peopl…
https://www.lesswrong.com/posts/vqzarZEczxiFdLE39/futarchy-s-fundamental-flaw
