I think these ideas are mostly delusional because they rely on a fundamental misapprehension about the world around us — namely that we live in a society that can be made simple enough to comprehend.
Let's take a look at the superficial structures around us..."
He presents a characterization, says these ideas are delusional because, then leads on to his observations. It's not unreasonable to think he was making argument.
The straw man he creates is equating anyone who wants to reduce state expenditure as wanting or believing in an over-simplified world.
That said, the characterization was insulting to anyone on the right, and about half seem to have taken it as their main takeaway and about half seem to have passed it straight by. So that might be why.