Caribbean pirates made money by being a parasite, a negative externality, an external risk for shipping and merchant sailors. They made their living through stealing from a highly profitable industry (in this case, shipping).
We don't see many pirates anymore, because nature innovated centralized nation-states with far greater military capabilities. The gross value created from a strong government military far exceeded the gross revenue of Blackbeard's whole industry.
Modern welfare-states make money by being a parasite, a negative externality, an external risk for every individual, company, or venture. They subsist on taxation on their own shackled economies.
We may not see many governments in the future, because nature will innovate structures and decentralized solutions that avoid taxation and regulation. The gross value created with total permissionless economic freedom will far exceed the gross tax revenue of the pirate state.
"Maybe the big failure of the 21st century will be governments" - David Friedberg