Is Centralization Good When it Promotes Liberty?

Walter Block and Stephan Kinsella address an issue that has comcerned libertarians for a while now.

It's been my impression that paleolibertarians are more likely to favor federalism and neolibertarians are more likely to see centralization as a good thing if it reduces the size of local government.

I fall strongly on the federalism side, myself.

That is all.