Indeed, "That government is best which governs not at all." Unlike my so-called "anarcho-capitalist" (I prefer nonarchist, for
these reasons) comrade Eaol, I do not think that a society based on "money decides" is fair at all, irrespective of the empty rhetoric declaring freedom and voluntary exchange.
We want freedom, not oppression. We want people to control their own lives.
Direct democracy over the state is an undesirable system, yes. But direct democracy over one's direct environment is not. At present, 90% of the decisions made in legislative institutions (parliament usually) is trying to solve the problems caused by capitalism. Solving unemployment, solving poverty, welfare, the crisis, distribution of wealth, ensuring access to healthcare, and so forth.
But direct democracy over decisions such as infrastructure is rather different. Moreover, when you have direct democracy over the state minorities are at risk (as you say). But that's because the state is a repressive organ. Giving the people direct control over such an organ is indeed a bad idea.
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