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[quote user="schlimm"] [quote user="Bucyrus"]The fact that they hire sub-contractors and pay them far more than the military cost for doing the same work might just as well be regarded as evidence of the relative inefficiency of government compared to the private business.  [/quote]  Paying a private subcontractor far more than the military (government) for the same work is actually a great example of the inefficiency of the private business compared to the government!  Lower costs for the same work output is how business and everyone else define increased productivity, except with you in "bizarro world" where everything is backwards (special thanks to Seinfeld). "Privatization" of former government run services got going with Reagan and was supposed to save money, but mostly it has been used to put it straight into the hands of companies with connections, like Haliburton, Blackwater, etc. [/quote] Mr. Berthold,   My point may seem upside down, but I think you should take a closer look at it. <?xml:namespace prefix = o ns = "urn:schemas-microsoft-com:office:office" /><o:p></o:p> Consider this example:  The military pays a higher cost to a private contractor than what it would cost the military to do the same work itself. <o:p></o:p> On one level, it may seem logical to conclude that this proves that the public sector is more cost effective than the private sector. <o:p></o:p> But that conclusion from the example is faulty because, with that conclusion, the action of the example simply makes no economic sense.  Why would you pay someone else more to do something than it would cost you to do it yourself?  You could say that maybe the private contractor could get the job done faster.  But then if it is worth spending more to get the job done faster, how is it a bad bargain?  Faster delivery costs more.    In the final analysis, it is the military that decides whether going to a private contractor is worth it for whatever reason.  If the military is spending four times more than they should be for no good reason, are they not an example of inefficiency and incompetence?  How can the answer be anything but yes?
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