The "taxation is theft" thing is totally discredited. It is a universal expectation, in every major country on the planet, that people will pay taxes. it is not theft to expect all of us to pay some share of the costs of upkeep on infrastructure, the administration of government, public education and on what our Constitution calls "the general welfare". There is no serious, organized society anywhere that does not have taxation in some for, and most recognize that progressive taxation is simply a natural manifestation the adage "to whom much is given, much is expected".
Also, our economic system never worked, even in times of no taxation or the near absence of taxation- btw, if you're going to argue that "taxation is theft", then toll roads and fees for hunting or fishing licences, or for admission to national or state parks, or renewing your driver's license should also have to be considered theft, since all of those services and agencies or places were constructed or purchased with public funds to start with- the way you think it did. We have the establishment of massive, economy-choking, competition-thwarting and quite frankly "job killing" trusts in the 19th Century, when government was minimal and taxation virtually non-existent.