Michael Strong talks about special economic zones as a way of creating competition in governance. The idea seems similar to Paul Romer's concept of charter cities. Strong is optimistic that the state will "wither away" (as Marx would put it) if this sort of competition is created.
The idea of reducing the monopoly power of government is an idea that I push in Unchecked and Unbalanced. However, my proposals for change differ from those of Strong and Romer.