It exists here too in small subsets of government. A parks dept that hires their own landscapers instead of contracting with a landscaping company is such an example of this utopia. A municipal power company with greatly reduced rates in comparison to a private utility. A university that runs its own prep kitchen facility over prepackaged GFS/cisco.
People talk about the industry like there was a time the government built it's rockets, then SpaceX stole money that was meant for NASA and now NASA can't build rockets anymore.
I am aware the US has operated in this reliance on for profit contractor model for a very long time. I just think it is stupid, costly, and only really serves to make connected individuals extremely rich, at the cost of wider innovation potential. People balk at the cost of large government in house projects like the manhattan project, well imagine that cost if the government had to pay contractor rates on that project instead of doing it in house. Twice as high perhaps given how these contracts usually are pricing in cost overruns in addition to profit margin?
Have you actually looked up the history of government owning its own defense contractors? Please tell me you have actually learned about this history. Because if you think having things like this be nationalized, I suggest you read some of that history.
> People balk at the cost of large government in house projects like the manhattan project, well imagine that cost if the government had to pay contractor rates on that project instead of doing it in house.
If you were actually serious, and not a political shill then you wouldn't pick one random example without anything to compare it to. You are just making assertions based on literally nothing.
And if you knew something about SpaceX and NASA you would know that NASA own internal investigation suggested that actually NASA should be in the business of doing basic things that companies are perfectly good at doing.
The Manhatten project was something large and very new on the cutting edge of science. Launching rockets in the 1960s was that, it isn't anymore. Instead of the government doing everything, allow fair contracting and companies can compete on offering the government a cheap price.
> how these contracts usually are pricing in cost overruns
Yeah I mean governments don't have cost overruns, I mean the great leader said there wouldn't be any, so we know they can't exist.
They dismiss them because if you know how something is made and your competitors don't, you always have a market edge. I consider the RD-180 engine from Russia better than Merlins from SpaceX, for example.
You can charge more or make higher margins at the market clearing price.
I thought everyone has done at least one semester of microeconomics at high school level, but the internet challenges my assumption frequently.
