Dec 11, 2010

Kevin Duffy on having successful CEOs run government agencies

Even if you put the brightest people in charge of government agencies they will fail. Companies serve customers peacefully and voluntarily; their decisions are rationally guided by the price system, making sure resources aren’t wasted. If they lose money for long they close their doors. Government bureaucrats, on the other hand, serve their customers through coercion (taxes). Their decisions are guided by votes and special interest bribes. They spend other peoples’ money, have no price system to guide them, have a limited feedback system (elections with no real choice every 2 years), and are essentially flying blind.

~ Kevin Duffy, December 10, 2010

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