Well, I defined Communism or Anarchy as idealistic. They are great ideas but in a real world, they don’t work. Both especially fail on the error tolerance side. E.g. the motivation in communism to abuse the rules to your advantage is a serious issue that eventually will lead to it failing.
Yeah, small groups are self-regulating and usually much closer to natural. In that case, anarchy works pretty well. But try to increase the number of people and it will become less and less stable.
No wild animal ever needed an explicit law. Why? Mainly because the organizational structures of wildlife are smaller than those of most humans on this planet. We basically where so vain and started to enforce our own, explicit rules instead of taking what’s given by nature. That allowed us to do things, no other life-form on this planet could do, including the maintenance of huge structures and quite dense populations concentrated in cities. (You could argue that both is true for ants and bees but they’re specialized for that and can pretty much ONLY do that while we still could decide to life in small, self-regulating groups instead)
Now, we have to struggle with our own laws and make them as nice as nature makes them. Of course, nature is quite brutal in enforcing its laws, e.g. failure implies death. But as said, those laws are merely implicit rules that are given for a self-regulating system.
Where the balance should be is indeed a bit difficult and probably, which is the culprit, comes down to personal opinion.
What I’m certain of is that currently, the situation is at over-regulation. Too many rules are currently given that lead to very artificial, distorted behavior which is essentially poison for the system. Exactly defining those laws is nontrivial. In most cases it probably comes down to combinations of laws where single ones seem nice or even necessary but coupled with others of similar kind, they result in a system-trap that can hardly be avoided.
Where I currently see over-regulation from my point of view is US-airports. The control is far bigger than the danger it tries to protect from.
An other example, here in Austria, is the this year new StEOP (StudienEingangs- und OrientierungsPhase ~ initial and orienting phase for studying). It essentially is a law that forces every single studying subject to behave as if it’s totally flooded.
While nice for subjects like Juristic or Medicine, it’s a terrible reverse step for such subjects that don’t need regulation and rather have too few students, e.g. Maths or Physics.
It really wouldn’t have been too hard to give a bit more freedom with less harsh outlines by simply phrasing that law as a right, rather than a duty.
In fact, education in general is over-regulated: Current teaching methods mostly kill creativity and lead to persons who learned lots and lots of stuff they never ever need in their life and feel terribly frustrated about learning all that, while they at the same time lower the morale of the whole class with a few people maybe actually trying to learn this same stuff.
In many cases, the fault isn’t the teachers’ though. Often, they are limited by the system.
The financial market is difficult to guess, as there isn’t much insight into the weird things that happen with all the money when it suddenly vanishes and millions loose their jobs and houses because of that.
Though I’d guess from how it looks, that it’s one of the few systems we currently rely on, that is under-regulated.
Or from a different point of view, it’s regulated by the wrong people.