E.g. banking regulation - sure, it won't prevent all the bad behaviour, but it will help (see Poland where state control over some banking regulations prevented banks from getting into bad mortgages). Does that mean that government should control everything? of course not! It can be somewhere in the middle (think Keynes instead of Friedman) and where's that middle also depends on the local environment and such - what worked in Poland won't necessarily work the same in Spain.
Also, I disagree with the notion that he proposes fighting the State with the State - he wants people to be the State and I agree with that to a large extent. People like to complain about politics as if they (the politics) were some aliens from the different planet. Spain is a good example here, 2-3 years ago thousands of people were protesting with slogans like "no nos representan". Yet no one from the protesters had the guts to take that movement and actually do something with it, become a leader, a politician, take a responsibility, try to change something for real. Instead they preferred to shift that responsibility back to the politicians they were protesting against. Year later people went to elections and voted the same people as before, the ones that supposedly "no les representaron".