| Episodes I-III show a rotting galactic republic. The republic is now an anarcho-tyranny. There were not enough Jedi to enforce law and order in the republic, and obviously the Trade Federation was the big powerhouse. In fact the republic, like the earth today, was an oligarchy (dictatorship by capital). Look at the richest men and corporations in the world. They pay no or little taxes. If the little guy were to copy this behavior, he would end up in prison for tax evasion. The middle class pays the most taxes while the filthy rich pay little or none.
Whenever there is anarchy, warlords arise. People are not equal as to how each person behaves. The more aggressive people in a town would take over and push the more passive pleasant people aside. It is obvious by the applause that Palpatine receives on announcing the new galactic empire, that the people of that galaxy felt oppressed and wanted a big enough government to protect them.
The question to ask here is which would you prefer? One dictator 3000 miles away or 3000 dictators one mile away? (from the movie "The Patriot" starring Mel Gibson). The one dictator 3000 miles away would be better in my opinion because laws would be clear. Desired behavior would be written down. There would be no sudden mine fields to fall in as you struggle to guess the mind of each petty warlord over you. Whether there is slavery or not would be in the open. Today in America we still have slavery. It is just underground, and people pretend it is not there. If you are under a warlord due to your poverty status or your banishment status, you are a slave because you have no control of your life. Your master makes all your decisions for you. All you can do is bow and scrape before your master and hope his or her whimsical attitude will allow your existence. This is real life under an anarcho-tyranny. Dictators, especially socialist ones, usually kill all the petty warlords since they are competitors to the new regime. So this sort of dictator would bring freedom to the oppressed silent masses.
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