Large scale capital controls have an incredibly short history of use, prior to WWI, the use of commodity money made that almost impossible. The most significan

Large scale capital controls have an incredibly short history of use, prior to WWI, the use of commodity money made that almost impossible. The most significant example is Bretton Woods, which couldn’t last 30 years without completely collapsing. Other than that you have China, the USSR (and immediate post-Soviet Russia) and a collection of failed states or borderline failed states that have implemented them temporarily and lifted them as soon as capital inflows resumed. If a country like the US decided to remove the concept of an LLC, presumably they could prevent some level of capital outflow (which would be equivalent to nationalising all foreign owned capital). But inflows would never resume. The US (and every other advanced economy to a lesser extent) attracts capital investment from all over the world. The US government presumably has the power to transform its own population into serfs, but you’ll never convince a foreign investor to buy shares in a company that could expose them to unlimited liability (especially so if you wanted to extend that to include criminal liability), so long as there are alternative markets for them to invest in. Furthermore, without the free flow of capital, it’s impossible to balance your payments. Meaning basically nobody is going to trade with you. I know you big government types think you can regulate anything if you really wanted to, but removing limited liability is the most fundamentally insane, economy killing idea I’ve ever heard from this camp. It’s even more absurd than full blown central planning, because there’s at least some model by which you can theoretically operate a centrally planned economy (no matter how badly that might be).