Interesting idea. In this world, wouldn't the owners of the machines want to be paid for the effort of maintaining and iterating them? I'm hesitant to think that all goods will become completely free, just most consumer goods become near free as the true state of a free market -which is deflationary- is allowed to manifest. But other -more luxurious- goods, like an artisan wrist watch or a scarce painting, will not be subject to this effect (of price dropping to the marginal cost of production). Therefore, the owners of the machines (or any other productive member of society) would want to get paid for their efforts, in order to acquire such goods. If they would forego the fruits of their labour "for the greater good", wouldn't they also forego the incentive to be productive at all?