Quote of the Day
I can’t remember ever hearing of any teachers or school administrators, anywhere, picketing in favor of a free market.
Lyle
November 15, 2005
Comment to Solving the world’s problems
This observation is applicable to many other products and services provided by the government. And I’m certain the reason is something other than the quality and total cost of the products.
My hypothesis is that it is because the costs are hidden. You do not easily see the costs at the individual level. The product appears to be “free.” And when you chose a free-market alternative you do not receive the savings of not paying for the government product.
That and Milton Friedman’s famous take on government spending which causes it to be lavish and wasted:
“There are four ways in which you can spend money. You can spend your own money on yourself. When you do that, why then you really watch out what you’re doing, and you try to get the most for your money. Then you can spend your own money on somebody else. For example, I buy a birthday present for someone. Well, then I’m not so careful about the content of the present, but I’m very careful about the cost. Then, I can spend somebody else’s money on myself. And if I spend somebody else’s money on myself, then I’m sure going to have a good lunch! Finally, I can spend somebody else’s money on somebody else. And if I spend somebody else’s money on somebody else, I’m not concerned about how much it is, and I’m not concerned about what I get. And that’s government. And that’s close to 40% of our national income.”
Real free markets have never been tried.