In individualism the individual is sovereign, and collective action is by the consent of the individual.
In collectivism the collective is sovereign and all individual action is by consent of the collective.
The fundamental issue is that only an individual can have a mind.
If any individual chooses to use their mind at any point then the threat or use of violence is inevitable. Violence will be used either to steal the benefit of the action or prevent the action from occurring at all. i.e. Tax and other forms oppression and enslavement. As the use of tax, regulation and oppression increases, the mind is going to be used less often and typical behaviour will become less rational and less productive – we get poverty and crime. Simples.
Examples in support: welfare dependency, gang violence, a majority of inventions coming from other countries, self imposed tax exile, the royal mail.
I fail to see how collectivists and altruists can fail to recognise this, even at the level of the subconscious, or as some form of cognitive dissonance. They must be evil, or very stupid, I think mostly the latter.