The idea being, I guess, that random noise tends to cancel out, but genuine knowledge distributed throughout the crowd adds up, when averaged. I suspect that in the bigger picture, crowd-wisdom follows Col's rule ("Extensive research has shown that sometimes it works, and sometimes it doesn't.")
Crowd wisdom is only functional if they have proper information. Crowd wisdom gets quite poor when given excessively incomplete or wrong information. Take the jelly beans in jar example; how would the crowd have done, if asked to simply guess how many items were in a jar, without being shown the jar? What if they were told to guess how many jelly beans were in the jar, but were not allowed to see it and were not informed that there were jumbo jelly beans in it?
The comparable thing to my example in politics is what gets presented...or incentivized to present...to the public by governments, media, or both (depending on country). Garbage in, garbage out...only arguably worse, because the information is tailored in such a way as to create bias. "I have a jar of jelly beans, guess how many?!", but hidden in the back room, is a jar with a volume of a cubic meter, and extra tiny jelly beans. Smooth...you could probably have 1000+ people and they'd all fail to guess remotely near the vast quantity then.
I did make an argument that the lack of an inclusive state usually results in poverty and violence.
And he accurately pointed out that you used a logical fallacy to do it.
Also, correlation does not prove causation, especially because there are a ton of other patterns consistent with high-violence poor-economy countries, regardless of the effective presence of a government and its degree of regulation.
Perhaps a better avenue to explore is whether, in the absence of a governing body, force always takes over and creates one. If that is the case, what degree of force and regulation is preferable? If it isn't, what conditions prevent it?