I don't discuss this issue in my FAQ, so small wonder it is not explained. IMHO, libertarianism suffers from the problem of limiting the power of others, lest they include you in their state. I think that's the most likely reason there are no libertarian countries. Libertarians want to use force, too. First, everybody has always known that the world is organized by force.
Libertarians simply pretend that it is their great discovery.
For example, an egoist might refuse to haul his mother off to jail for any crime except a crime against himself. Or a mother herself might be quite willing to go to jail for a social goal, such as enacting prohibition. The answer is, of course, that it is an appeal to emotion, to encourage an irrational decision. Third, your criterion does not resolve the central social issue of what to do about cases where the populace is divided on whether or not to haul mom off to jail. You can't just wish that problem away.