Comment by Moru

5 months ago

They are only worse because they are bigger. If the private replacement organization gets as big, they get the same problems.

There is still a meaningful difference. Businesses usually need to have some profit even if minimum so they will run leaner for the same output because of efficiency.

I agree that there are many big businesses bureaucracies but they tend to be in areas closely linked to the state/government because of heavy regulation: banks and insurance for example. They tend to survive despite their terrible efficiency because it is way too costly to enter their business for a small actor. Any of their real competitors is already big enough that the bureaucracy is already well established...

  • A business only needs to make a profit efficiency is not required or desirable.

    • You need to have profit to make it worthwhile but the question is how much is actually desirable from a society standpoint.

      At some point profit extraction at the cost of everything else is undesirable...