If co-ops and mutuals are better, why are they so rare? Vanguard and the mutualist paradox.

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  1. If we want more mutuals and cooperatives, an easy idea would be to tax them differently. If switching to the mutual/cooperative structure allowed you to save a lot of money on taxes, perhaps corporations would make the switch.

    1. That would likely increase the number of co-ops and many countries do. However, more cost-effective might be to support formation of new co-ops rather than giving permanent tax benefits. Once a co-op is up and running, if they pay lower taxes than an otherwise comparable non-cooperative, that can be perceived as unfair.

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