And not the basic civil services - I may be using that incorrectly here. I'm thinking why should the government employ lawyers, doctors, economists, scientists etc.? What is the added benefit of the government employing them rather than having it all private?
Answer by information_police
If you think government wastes money, you should see what happens when they outsource.
I'm working on a project that is funded by the federal government through a major project management company. We have two people doing the actual work. The project mangement company has like 8 people overseeing what we do and tripping over each other and making stupid decisions that we have to fight like mad to change their minds. And they are sucking away most of the money the government is spending.
Answer by Michael B
This is an ongoing debate in all levels of government. The short answer is that sometimes it makes sense to use direct government to achieve a goal (meaning the doctors, lawyers, etc. are government employees) and sometimes it makes more sense to use a different tool, such as contracting with private firms. Simply because the government contracts a function out, does not mean it is cheaper. There are a myriad of regulatory and administrative mechanisms that must be used to make sure that taxpayer money is not being wasted and that they are achieving the goals they set out to achieve. This all costs money, and often it costs more money just to manage a contract than for the government to do it itself.
There is a large body of theory and research on this subject. If you're truly interested, google Lester Salamon and the tools of Governance. He's a leading political theorist on the subject.
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Orignal From: Why does the government need to provide civil services?
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