Government: The good and bad

As a libertarian, I must admit government does a few things well, or fairly well. The best government program ever may be Thomas Jefferson’s Lewis and Clark Expedition that opened up the West (1803 – 1806). And the Department of Defense created the original internet (but I’m glad we didn’t nationalize it). And our National Parks are quite magnificent and are a public, or “macro” good, such that it’s reasonable to have government run them (although Disney Land, a private park, is magnificent in its own way).

And our military did well in World War I and World War II. And government scientific research has discovered some good things (but still a tiny fraction of what private, for profit research has found). And government courts and police do a pretty good job (but note there are more private security officers than public ones). And government fire departments and ambulances save lives (but fire protection has been successfully privatized and some ambulances and helicopter air lifts now bill their patients and rescuees).

With macro public goods like national defense, national parks or super capital intensive goods like exploration (although private space tourism is growing), government involvement makes sense. And with micro (local) services that have a “free rider problem” (where if people don’t pay, they still get it, like not paying taxes, but still getting 911 service) like fire and police protection, government management makes sense because there’s a market failure.

But these are a tiny fraction of all goods and services. Police, courts and national defense; there’s your bare bones libertarian government. “Cops, courts and colonels,” that’s my cry. Throw in national parks and some roads, and we have a deal.

But let’s look at things governments have done poorly. Exhibit A is the Post Office. Stamp prices have risen way faster than inflation and there are always lines; not so at UPS Store. Same lines at the DMV. And Amtrak perpetually loses money.

The public schools: one-third of students aren’t graduating and schools are getting $10,000 per child, per year. This is educational malpractice. Border security: government gets a “D” grade here. Katrina, FEMA and disaster relief: “F.” Public HUD housing: poor and often dilapidated. Welfare is rife with fraud and a proven failure, keeping generations on it. Medicare is bankrupt. So is Social Security. Veteran’s health care is poor; remember Walter Reed hospital?

Health care is not a public good justifying government involvement. The one exception is vaccinations, which have public good qualities. Because without shots, disease can spread, like fire. And there’s a free rider problem. If I don’t pay for my child’s shots, she still gets the protection of everyone else getting immunizations, without paying: a “free ride.”

But governments do most things horribly. Because they don’t feel the spur of competition as a monopoly, they generate fraud, waste, red tape, bureaucracy, and always run over budget. National defense and security and parks, yes, police and courts, okay — because these are public goods or there’s a market failure. But beyond that, it should be left to the private sector and the free market.

Jeff E. Jared is a Kirkland resident and attorney.