The bureaucratic state simply gets in the way of the marketplace, which libertarians regard as absolutely untouchable, the paradigmatic expression of freedom. Underlying the free market, for libertarians, is the concept of property. Libertarians deny not just the efficacy but the moral legitimacy of income redistribution. They also argue that charity and private social-welfare organizations, like worker's guilds, would step in to fill the governmental void. Even if this did not happen, however, there would be no theoretical reason for libertarians to regulate the market.
Freedom is a higher virtue than equality.
Where the libertarians differ from traditional conservatives, however, is in their refusal to countenance the use of state power to impose morality. Individuals in a libertarian utopia can do pretty much anything they want, as long as they don't harm others. Conservatives may rejoice at a world in which a business owner can refuse to hire blacks simply because of their race, where there is no state provision for the poor and where no regulations of any kind, save perhaps on monopoly, are placed on business. Perhaps the best way to sum up the libertarian world is that it is a world with less rules. Liberals want to be your mommy, feeding you, tucking you in, and wiping your nose.