There is common ground. We both agree that the virus is real, and measures should be taken to avoid it and slow its spread. I think we also agree that the measures taken at present should be greater than the measures we would take in a normal flu season. We certainly disagree on the severity of those measures, and on whose responsibility it is to enact and enforce those measures (for the record, I believe the responsibility lies both with the individual and the State, not just with the State). We also agree that physically arresting people for simply being outside is, at the least, counterproductive and authoritarian.
The core purpose of a government is to serve and protect its citizens. When its citizens are in danger, it is the responsibility of that government to mitigate risk and provide relief in a way that is appropriate, effective, and efficient. Whether an action is appropriate depends on how much freedom the citizens are allowed by the nation's laws.
I'm not sure where you got your idea of the perspectives and motives of government workers (and I'd love to hear where you got it to better understand where you're coming from), but it's quite a bit off base. Of course there are government workers who are disconnected from anything outside their little bubble; every entity has those people, including in businesses. In government, those constitute a tiny fraction of the Federal workforce. There are very real consequences for government, especially for those in elected and appointed positions. Waste, fraud, and abuse carry very serious consequences, including getting fired and going to jail. And getting fired from a government job for one of those reasons completely destroys your career - you can't get another job in the government ever again, and no one outside the government with any sense will be willing to hire you either.
You seem to be an actual Capitalist, who believes the market should exist without any controls beyond those inherent to supply and demand. If that's the case, then you are incredibly naive.