No, everyone doesn't recognize this. The fundamental flaw in modern libertarianism (anarcho variants notwithstanding) is its blindness to economic power and it's relation to political power. Libertarianism's sanctification of private property, no matter how concentrated, ends that conversation before it even begins. Also, the assumption the governance is always bad or bad if powerful leaves the possibility for democratic decision making completely off the table.
As far as Bismark is concerned, power always and only seeks to maintain itself by whatever means are at its disposal. Lady Gaga, Prozac, and fear are doing pretty good right now. Not so much elsewhere...