Exactly! 100% in agreement. But not just state and local. We have to make all non-voluntary institutions devoid of actual power to influence an individual's daily life and voluntary interactions significantly.
Discussion
I'm actually onboard with some government, but you're right, less compulsion, more voluntary engagement. I'm happy to abide by building regs that save lives and I'm happy to pay some tax when it's clear who and what it's used for.
It'd be cool actually if all public works and government projects had to be crowd funded. Each project would get scrutiny and would live or die on it's own merits instead of being snuck in as a rider on page 874 of some completely unrelated 4000 page bill.
Isn't voting and taxation crowdfunding? Pure crowdfunding would never work for public works because the only projects that would get funded would be those that benefit those wealthy enough to fund them - poor neighborhoods would have dirt streets and the rich ones would be paved in marble while downtown commercial areas would get the asphalt that they all deserve.
How about total transparency from tax to project in an easy to understand and human digestible format, a better way to vote and total accountability of politicians and civil servants on use of public funds - maybe misuse of public funds should be considered treason. Switzerland has the most participatory democracy in the world, they are closer to this model. They have to vote all the time, so much that many of my Swiss friends complain about having to vote all the time.