If you live in NYC you'll learn quickly that there are a lot of rules and regulations that are just necessary because of the sheer number of people here. Other closely analogous situations are the ruthlessness of parking enforcement, or the draconian laws about street vending, and so on.
People here do understand that the sort of laissez faire approach that would theoretically be more "free" for everyone is not necessarily feasible in a city this dense and interconnected.