I believe capitalism is the best economic model, but there is no "magic", "invisible hand", "religion of laissez-faire" that makes ANY sense, UNLESS you totally ignore some key parts of civil libertarian beliefs. I will highlight them for you.
What is really funny here is that YOU are the one that actually belies in the fairytale hand guiding the market - you like to call it government.
What is really not funny is you edited out my qualifiers. So tell me, should the market operate without any rules or laws? Should it be a free for all? Many corporations could maximize their profits by dumping their waste into nearby rivers, or into the air. Is THAT acceptable?
Since in the free market that would violate private property rights, no.
The problem with those who condemn the likes of Bachmann, Levin, Palin, Beck et al are that they buy into the idea that such people are extreme and a bit looney tunes--that certainly IS the drum beat mantra of the Left--but in fact, they have a difficult time coming up with any specifics to make that case. I don't know of any social or political views that any of those people hold that would disqualify them from being libertarian (little "L") Now do some have a different perspective of history or interpret things differently than other people do or have some ideas that might be considered fringe? Yes some do, but then pretty much everybody does. Sometimes I agree with them on the sociopolitical stuff and sometimes I don't. I have a tougher time catching Levin in a factual error though--in fact I'm not sure I ever have. And trust, me I try with everybody. But all of them qualify in every way as libertarian (little "L")
Ron Paul or Gary Johnson--Libertarians with a capital "L"? I am quite fond of both individuals--know Gary personally in fact--but I have a lot more problem with their point of view about several sociopolitical stances than I do Bachmann, Levin, Palin, or Beck. But all of them are good people.
But getting back to the point Kaz made in the OP, libertarians (little "L") are not opposed to government. Every single one, including those I've named here, know that some government is necessary to hold the 50 states together as one nation and that some laws and regulation are necessary to secure the unalienable rights of the individual and to prevent those in the 50 states from doing physical, economic, environmental, or cultural violence to each other.
Certainly the central government should do what has to be done and that the various states CANNOT do without assuming improper authority over each other.
But the central government should do nothing that the states, local communities, and/or private sector CAN do whether they do it or not.