Yes and No
To paraphrase the Libertarian presidentail candidate Michael Badnarik (who I think is a loon, but has said some worthwhile things nonetheless), "Every freedom comes with a responsibility."
If a man wants protection from murder, he must likewise forefeit his freedom to murder others.
However, I believe that a total implementation of the Social Contract (which would, in theory, allow people to simply "drop out" of the state) would be dangerous and lead to one of two things:
1) parasites (i.e. stateless people who still receive, for example, police protection because the police cannot differentiate), or
2) dangerous social collectivism (i.e. in an effort to make it possible for police to differentiate, they give people who are in the state markings - then people start getting kicked out).
As in most situations, it is the middle road which would work best.
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