Thursday , December 14 2017
Home / Miles Kimball / On When the Private Sector Being Smarter than the Government Is a Problem

On When the Private Sector Being Smarter than the Government Is a Problem

Summary:
Link to Sarah Rawlins's CEPR blog post above from which the quotation below is taken:We have all heard the argument from conservatives about the benefits of relying on the private sector rather than the government. Private companies are fast moving and can respond more quickly to changing conditions and technology. By contrast, the government is slow and bureaucratic. There is more than a bit of truth to this story.So what happens when we have the slow-moving bureaucratic government making payments to fast moving dynamic insurers in a program like Medicare. Well, all good believers in the superiority of the private sector will expect the insurers to rob the

Topics:
Miles Kimball considers the following as important:

This could be interesting, too:

Tyler Cowen writes Are younger societies more innovative?

Tyler Cowen writes How to understand modern China

Bradford DeLong writes Must-Read: Samuel Bowles, Alan Kirman, and Rajiv Sethi: Reflections on Hayek

Bradford DeLong writes Should-Read: Michael Tomasky: Republicans Have Lost Touch With Blue America

Link to Sarah Rawlins's CEPR blog post above from which the quotation below is taken:

We have all heard the argument from conservatives about the benefits of relying on the private sector rather than the government. Private companies are fast moving and can respond more quickly to changing conditions and technology. By contrast, the government is slow and bureaucratic. There is more than a bit of truth to this story.

So what happens when we have the slow-moving bureaucratic government making payments to fast moving dynamic insurers in a program like Medicare. Well, all good believers in the superiority of the private sector will expect the insurers to rob the government blind. And this seems to be the case.

Miles Kimball
Miles Kimball is Professor of Economics and Survey Research at the University of Michigan. Politically, Miles is an independent who grew up in an apolitical family. He holds many strong opinions—open to revision in response to cogent arguments—that do not line up neatly with either the Republican or Democratic Party.

Leave a Reply

Your email address will not be published. Required fields are marked *