Anarcho-capitalism.

I recently became interested in the concept of anarcho-capitalism, although I don't entirely understand it. My understanding of it is that the economy is based entirely in free trade, the State is abolished, and military/police forces are supplied by private defense agency. Is that a fair assesment of the idea, or am I entirely off? In an anarcho-capitalist society, wouldn't it be incredibly easy for the PDAs to become dictator-like figures? If there's no state, there's no taxes, right, so how would necessary PDAs be payed for?

It's akin to a set of self-dependant series of city states who trade with each other etc etc.
I think the swiss are kind-of half-there when it comes to some of this.
Dictatorship of a few minor barondoms would be better than one big king IMO thought
The current systems we have are unwieldy and cumbersome.

There's a lot of different ways to see it, but in its extreme form, it's no government, but full freedom of contract.

I just don't get who's going to protect your rights. In anarcho-capitalistic philosophy, a company you hire to be the police? I don't think that would work at all.