Moral virtue is a mean between excesses, a balance point. Rage is not virtuous because it is excessive and uncontrolled. Courage is the virtue at the balance point between heedlessness and cowardice, which are both excessive forms of the same thing. Virtuous actions can only be done by conscious individuals making choices. Men of virtue form a minority, though they are able to promote what in fact are the greatest of human interests.
Mob rule is the rule of passion.
Virtue is possessed by the few. Those fit for virtuous or perfected friendship are also those fit for rule. The few can rule generally only by law. The developed polis depends on friendly relations among members, and lasting friendly relations depend on virtue. That is, by bringing out what is best in us, the law functions as would the virtuous friend to whom we are attracted by, again, what is best in us.