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As an economist I assure you that if I noted a correlation between head clubbing and capital accumulation I would take offensive and defensive steps to protect my head.

With what? You're an economist, not an MMA fighter.

In fact most would, leading to a nice little equilibrium where head clubbing is not a worthwhile strategy. They may even form a protection racket, and call it "Police".

Right, so the nerds get together and beat down the MMA fighters and create laws against "murder" and "theft" and pretty soon you've got government. We're living in your nice little equilibrium.

With what? You're an economist, not an MMA fighter.

A) you don't know that, B) everyone else would be an MMA fighter?

Right, so the nerds get together and beat down the MMA fighters and create laws against "murder" and "theft"...

Premise construction

...and pretty soon you've got government.

Magic

We're living in your nice little equilibrium.

Conclusion

I can't even accuse you basing your argument on a logical fallacy, because there isn't an argument present.

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