They essentially aren't describing a government. It's just a community, and yes, communities tend to suck because once you get over about 10 people you've got enough voices represented that no one anywhere can agree on anything. A majority rule just means you've got 10 people livid and 10 people maybe happy, and you can't even do that in these cases because you lack what a government has, which is authority.
As they pointed out it's hard to get anyone to do their fair share, and unlike a government which can just MAKE you, they have no such option.
Government is community