Market forces matter

The latest revelation in the VA scandal again highlights why governments are inherently incapable of doing private-sector jobs as well as the private sector: psychiatric patients received no evaluations for years.  (Hat tip.)  It gets better: “[The Office of Special Counsel} is reviewing even more cases — approximately 60 — of allegations that those who came forward with concerns about scheduling, understaffing, and patient care faced retaliation by their superiors.”

The private sector is not perfect, but this stuff would not last nearly as long in the competitive marketplace.  A competitive industry would take customers away from the one that performed poorly; those companies that retaliate against their employees, treat their patients/clients like dirt, and cook the books will lose people to other businesses.  Falling profits force such companies to either root out the problems or go out of business.

The government can also intervene: when aggrieved clients, patients, and customers can sue the offending company, the government is a neutral arbitrator.  However, when normal citizens attempt to seek redress through the court systems against a government institution, they are either outright barred by suing due to sovereign immunity, or they are seeking justice in a system wherein the defendant is on the same team as the judge. It would be like suing one of the Koch brothers, walking into the courtroom, and finding that the other brother is the presiding judge. See the problem?

See the problem?

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