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There are way too many decisions that have to be made in order for things to run smoothly and efficiently. It's not just law enforcement and defence, but resource management, environmental protection, infrastructure, heath care, power supply, communications, food supplies, etc. People do not have the time to learn about all these things to the extent that is required in order to make informed decisions about them. Therefore, the only way to have these things managed efficiently is to have a council made up of experts in those fields that have the knowledge to make the best decisions possible.
The first thing that people need to understand is that all of the jobs need to be filled. Everything from the guy who has to run the country down to the person who has to scrape up road kill from the street. Additionally, in order for society to continue without a massive contraction in population (resulting in the inability to fill all the required jobs), people need to be able to support a family without having to resort to unethical means to provide the necessities.
Therefore, people, regardless of what job they do, have to be able to support themselves and their family. This means that the people on the top need to be paying the peons enough for them to be able to have transportation, sustinance, shelter, health services, education, and a reasonable amount of entertainment. The only way for this to happen is for the people at the top to not be so damn greedy and insist that they deserve to make 20,000 times what the people on the bottom make.
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