How libertarians might prove useful -- and vindicate Calvin Coolidge
powerlineblog.com
powerlineblog.com
Fighting "the regulatory state" as an abstract project seems quixotic, unless you have an actual PLAN for doing so. Besides, when libertarian forces DO try to attack the regulatory state too directly, they tend to get marginalized by the left AND the right, as happened with the Tea Party.
One underlying problem is that we don't currently have anyone as prominent and capable as Milton Friedman arguing the issues. There are some great econobloggers (eg, at http://econlog.econlib.org/ ) but none sufficiently prominent to serve as a counterpoint to Krugman. There are a few libertarian celebrities (eg, Penn Jillette) but they don't have the gravitas to get taken seriously in intellectual debates.