According to Nozick’s Anarchy, State, and Utopia (ASU), certain things may not be done to individuals even if, by some standard, they are socially optimizing.
I pay 30% tax that is used by the government for building social-economic infrastructure. According to ASU, I can deny the payment of my tax, but to be more pragmatic, I at least deserve the right to determine the social and economic causes for which my tax money would be utilised. I also deserve to know what is happening to my tax money. So, let me choose where I want to put my money while also ensuring the accountability of the government.
I do see that biases and regionalism can creep in easily with such a model. But this can be mitigated by dividing the options between national and regional causes. There can be goal limits for each cause that will push individuals to also put their tax money more broadly.
Governments want individuals to be transparent about their money, while we do not get the same level of transparency from the government. This needs to be changed.