I have been thinking about this question since the time I posted “An Anarchic Possibility for the Modern World” in which I offered possible market solutions to most if not all government functions. I wish I had dealt with this question of who will pass the laws in the referenced post. I will take a crack at it now.
Perhaps I am oversimplifying this, but it seems to me that all “law” will be found in the contracts – explicit or implicit – behind either insurance or homeowners associations (in some cases, either could be used or both in conjunction).
For example, customers will demand insurance against theft, assault, etc. – safety and security of person and property. Will enough customers demand insurance against everyone else in the world smoking pot? It is difficult to imagine that many people would want to pay the premium for this rider.
Speed limits, jaywalking, property appearance and zoning, access? The HOA would be ideally suited to decide “laws” (more like covenants) on such issues.
This concept has similarities to law in the Middle Ages; much of law was personal, individual. It was based on sacred oaths – while not exactly a contract, close enough.
In any case, I welcome thoughts on this – am I oversimplifying? What are some examples of NAP-respecting laws that might not find solutions via the methods described in the short paragraphs above?