> In this framing of small organizations kept small by the government the largest organization is the State. Indeed in this framing the State's job is to control other organizations.

That isn't necessarily the case.

Suppose there was only one federal law: It's illegal for any entity to have more than 15% market share in any market. If you do you have 30 days to figure out how to break yourself up so that isn't the case, e.g. by putting half your factories into a separate company and selling it off. You get to figure out how to do it, it's just that if you have more than 15% market share on two days more than 30 days apart in the same 5 year period, you get unconditionally fined into oblivion. You don't even need government prosecutors, just make it a strict liability offense that gives customers the right to sue for 100% of revenue. Companies can start planning to break themselves up ahead of time once they're getting close to the market share threshold if they feel like they want more time to do something about it.

Then the government isn't really doing any kind of central planning, it's just a strict unconditional ban on market concentration and nothing else.