Government Efficiency: Public’s Lack of Knowledge

I was following a discussion the other day. It was between some liberals and conservatives.

What intrigued me and irritated me was the issue on which this particular group of people agreed. I don’t remember the exact discussion, but it had to do with government. Somehow the issue of efficiency came up. At least one liberal in the discussion agreed with the conservatives that government is inefficient. Can you believe that!?!

That is simply not true as a generalization. Studies have shown that in providing certain services the government does it more efficiently than the private sector. The private sector can have a lot of competition and hence redundancy. What the private sector excels at isn’t necessarily efficiency but choice. You get many choices. Some of those choices may be efficient or not, but it’s quite likely that the average customer isn’t getting the most efficient service. Government typically offers fewer choices, but the choices it offers tend to be very efficient (except in situations where a government is dominated by or obstructed by fiscal conservatives; making a fiscal conservative a poltician is like making an atheist the Pope or making an anarcho-socialist the CEO of a transnational corporation).

Even without looking at studies, this should be commonsense. Why do so many people not get this? Why has this misinformation become accepted as fact?

Furthermore, why is the implicit assumption that efficiency is always good? Fascists were known for their efficiency. The Italian fascists made the trains run on time and the German fascists also were good about making efficient train transport. Maybe we should put other values above mere efficiency. This is the failing of capitalism. Most value that creates benefit for individuals, for communities and for society as a whole can’t easily be measured in monetary terms.

That is what government is for. Even though government can be more efficient in doing many things, that isn’t it’s primary purpose. Government is there to create public good, a result of which capitalism is inferior in achieving in many cases. Government exists to step in to do the work that the private sector fails at doing well or doing at all.