The state is given a social contract to make laws where it is expected to meet the basic needs of its own citizens. Legislation creates laws for conflict resolution and organizational cooperation hopefully with security, order and justice using a balanced use of force, power and authority.
We need to look at power and government, the values underlying these, the behaviour of people who exercise power and the people who are ruled. Bureaucrates and ethics are but two avenues to keep those in power accountable.
A basic challenge is the scarcity of resources. We devise rules via values through the political forum to guide its distribution which directs the distribution. Procedures are particularly tricky to ensure the follow-through of the intended legislation. Issues of fixed geographic boundaries and territorial possession enter into play.
Adam Smith was known as the laissez-faire economic theorist. Overly optimistic about abilities and intentions of people, there is little in the fabric of this design to give a helping hand, leg up for one another or working together to ensure no one is left behind. This model does acknowledge the need for rules of cooperation in the face of acknowledged self interests which are assumed to be something society will benefit from.
The state is the totality of all the groups in a particular geographic area needing a governmental mechanism with parlying of parliaments, police and courts. Government is only an agent and instrument of the state.
Sir John A. McDonald appointed someone from every interest group in cabinet. Canada was founded on strength in unity in diversity.