"Coercive government" is not necessarily redundant. Coercion only occurs when a government initiates force.
Which it necessarily does to acquire funding.
Retaliatory use of force, in response to a criminal initiation of violence, is not coercion.
Agreed, but this is not my complaint against government.
There is no government at all in AnCap. What you are describing ("non-coercive, decentralized, minimal government") is the ideal libertarian state.
Indeed it is, and that state is AnCap.
I'll definitely read Nozick, But I'd like you to read de Molinari. It might clear some things up for you.
http://mises.org/document/2716Edit: Oh, and while you're at it, don't forget Rothbard's response to Nozick:
http://www.mises.org/journals/jls/1_1/1_1_6.pdf