Cellular democracy
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As developed by geolibertarian political economist Fred E. Foldvary, cellular democracy is a model of democracy based on multi-level bottom-up structures in either small neighborhood governmental districts or contractual communities.
In cellular democracy, a jurisdiction such as a county or city is divided into neighborhood districts, each with a population of about 500 people and about 100 to 200 households. The voters in the district would elect a council. The small size of districts would allow for more informed voters at a smaller cost. Representatives, plus one alternate, would be elected to the council. This would be a "level-1 council." Neighborhood districts would then vote for a "level-2 council." Each level-1 council elects a regular representative and an alternate to the level-2 council from its own regular membership.
A further region containing several level-2 councils would comprise a level-3 council, each level-2 council again electing a regular and an alternate representative to level 3. The level-2 representative sent up to the level-3 council would be replaced by their alternative.
The hierarchy would continue indefinitely, depending on the size of the state, or even expanding worldwide.
Secession
Councils could 'secede', creating a new branch of councils that would be incorporated back into the system.