And so the gun market becomes a monopoly exclusively sold to gangs, which results in gangs with enough guns to make SWAT look like kids with BB guns. Which eliminates the problem of smalltime burglary, but increases the gang problem and causes many other deleterious effects such as greater intimidation, drug smuggling, mugging, piracy, hijacking, and more organized criminals. What is more dangerous, an unaligned bunch of unaffiliated infighting thugs, or a dangerous, organized, lethal, intelligent bunch of gangsters.
To put it simply, which would you rather have?

A lot of these

Some of THESE.