I have 2 objections to the question. The first is that there are many countries that have some libertarian policies, but no countries that have adopted all of them. The fact that there are no perfectly libertarian countries is like saying that there are no perfect people. Just because things are imperfect does not mean we cannot judge them as being better or worse and look for trends. There are no perfect basketball players but it is clear that some are much better than others.
The second objection is for the related question "if libertarian policies are so great, why don't more countries adopt them?" To me, this is like saying "if it's better to stay fit, why are there fat people?" It is very hard to establish a limited-government and even harder to keep it that way. As Jefferson said, it is the natural tendency for government to grow and for liberty to shrink.
Libertarian policies were never claimed to make utopia. The only claim is that work better than the alternatives that have been tried already.
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