Whilst totally unfeasible, I'd love to have a society of isolated towns reaching no more than 10,000 people, with a buffer zone of around 10-20 miles between them dedicated to nature. The idea is that each town is relatively self-sufficient, but can trade with nearby towns for things they really need.
As for government, each town is ruled by a mayor of some sort, who then reports to someone in charge of the county, then the country, then the world (these are all democratically elected).
The guys at the top do the essential laws (don't kill anyone), and the guys at the bottom do the less important bylaws (don't drink alcohol outdoors after 6pm). So it'd sort of be small government but in a way I think would work well.