A coercive, centralized, non-minimal government or an arbitrary, subjective mob is the worst possible "arbiter for honest disagreements among men."
^^Fixed it for you.^^
Yeah, not really. Since "coercive government" is redundant, and "arbitrary, subjective mob" is pretty much the textbook definition of democracy, you've not really changed my statement much.
And if you want a non-coercive, decentralized, minimal government, then what you're looking for is AnCap.
"Coercive government" is not necessarily redundant. Coercion only occurs when a government initiates force.
Retaliatory use of force, in response to a criminal initiation of violence, is not coercion.
There is no government at all in AnCap. What you are describing ("non-coercive, decentralized, minimal government") is the ideal libertarian state.
Read Professor Nozick's classic treatise on the subject, and all will become clear.
http://en.wikipedia.org/wiki/Anarchy,_State,_and_Utopia
http://socioline.ru/files/5/315/nozick_robert_-_anarchy_state_and_utopia.pdf
http://www.amazon.com/Anarchy-State-Utopia-Robert-Nozick/dp/0465097200