Libertarianism, in other words, is infallible. Wherever it fails, it does so because the people weren't ready for it, or there was too much violence to allow it to work, or because the government wasn't powerful enough to protect people from harm.

Libertarians fail to realize that there has never been--and never will be--a government that functions according to their principles because it runs entirely contrary to human nature.

As any libertarian understands when it comes to statist authoritarians, power corrupts. Absolute power corrupts absolutely. When you decentralize and remove the modern welfare state, leaving only essentially a glorified police force in charge to protect private property and personal safety, one of two things happens:

1) The central police force turns into a right-wing military dictatorship invested in stamping out all leftist thinking, then appropriating the country's wealth for themselves and their friends (e.g., Chile under Pinochet);

or

2) All central authority and protection break down completely as power localizes into the hands of local criminals and feudal/tribal warlords with little compunction about abusing and terrorizing the local population (e.g., feudal France, Afghanistan, Somalia, western Pakistan, etc.) As I said before:

Feudalism is the inevitable historical consequence of the decline of a centralized cosmopolitan state. That's because the exercise of power by those in a position to wield it does not end with the elimination of federal authority: rather, it simply shifts to those of a more localized, more tyrannical, and less democratically accountable bent.

This is a phenomenal piece on Libertarianism from Daily Kos. I urge my friends who still find Ayn Rand Libertarianism to be appealing to read this in its entirety.