OK, but you said "all government regulation stifles competition", which is complete nonsense.
How about anti-trust laws? They require a whole bunch of regulations for corporate reporting approval of mergers, etc. The whole purpose of these regulations is to increase competition. You might try to argue that you have some brilliant new set of anti-trust laws that would do a better job (and maybe you do, though I doubt it), but you're insane if you think that fewer anti-trust regulations will, necessarily, lead to more competition. We know what happened before anti-trust.
So look at anti-discrimination regulations. Insurance companies, for example, are not allowed to price based on race, even if their research shows that race is a predictor of life expectancy. Does this reduce competition among insurance companies? No - the companies just adjust their tables to price for the average across races. There's an even playing field for the companies, so the industry is every bit as competitive as it would be without these laws. In fact, this is a case where regulation is essential (unless you think that discrimination by race would be OK). If you left this to the unregulated free market, then any insurance company that advertised that it didn't use race in rating policies would rapidly go out of business, as it would attract mostly high-risk customers but would need to price to the average. Government regulations help keep the playing field even.