>especially if you gather small-to-medium group of intelligent people together.
Hasn't everyone on HN read the Mythical Man-Month? Or, if you're a parent a corollary statement would be "The more boys you put in a group the faster the sum IQ reaches a negative number"
Small groups tend to be self selecting and typically more compatible. Large populations are not. If you have one group that wants to piss in the river because it's close, and another group that does not want that because it is poisoning the water, there is going to be conflict. Now, this could be settled economically/infrastructurally by providing a sanitary sewer system, or by the down river group getting cholera and dying off, or the downriver group violently killing the upriver group off. But at the end of the day you'll have an loss of happiness cause by one group being dead, or both groups paying taxes so the system works.
Anarchists tend to offer no solutions even for already solved problems, much less without introducing new ones.