Just to help me better understand what you're saying, can you give an example of a program that's very popular, and which has bad effects?
Much of the special exemptions relating to health care and insurance which effectively tie it to employment, while restricting the ability for other groups to form for pooled risk. Addressed somewhat under Obamacare.
Big Ag subsidies.
Patent and copyright laws.
Our Federal Government is not responsible for most of the major functions of governance because our states cover most functions. Also, we aren't at war with a major foreign power.