"Minor form of tyrannical government" sounds like an oxymoron to me :)

In general, though, indeed - completely unregulated systems are typically less efficient than systems with some form of central governance ("free market" being one of the few notable exceptions). Tricky paradoxes aside, most people would probably find it obvious, that a lot of the mechanisms that make up our current civilization "civilized" (science, medicine, social help, law and order) would not be possible without some level of centralization of resources and decisions. The governance may not be outright "tyrannical", but it is certainly against many of the selfish interest of individuals: most people would prefer not to pay taxes nor obey most of the laws.

(This is probably the fourth time I try to post this comment, yet Steemit resists somewhy - let us hope it won't "catch up" with all four copies later)